SECTION 160:55-9-10. Oklahoma Mortgage Broker and Mortgage Loan Originator Recovery Fund

(a)   Purpose. This section establishes a procedure required by 59 O.S. § 2095.20 for expending monies from the Oklahoma Mortgage Broker and Mortgage Loan Originator Recovery Fund ("Fund") in connection with reimbursements of approved claims.

(b)   Definitions. The following words or terms, when used in this section, shall have the following meaning, unless the context clearly indicates otherwise:

(1)   "Claimant" means a person who has been adjudged by a court of competent jurisdiction to have suffered monetary damages as specified by 59 O.S. § 2095.20(B)(1) and who has filed a claim for reimbursement from the Fund.

(2)   "Court of competent jurisdiction" means a court having power and authority to hear and decide a civil action filed by a claimant.

(3)   "Final judgment" means a written final determination by a court of competent jurisdiction of the rights of the claimant and the judgment debtor arising from a transaction or series of transactions as described by 59 O.S. § 2095.20(B)(1). A final judgment under this section shall not include a default or a judgment by default unless the time to file a motion or petition to set aside, correct, open, modify or vacate the default or judgment by default has run and no proceedings to set aside, correct, open, modify or vacate the default or judgment by default have commenced.

(4)   "Judgment debtor" means a person obligated through a final judgment to pay monetary damages to a claimant.

(c)   Required documentation. To apply for reimbursement from the Fund, a claimant shall file a written claim to the Administrator. The claim shall include the following documentation:

(1)   A certified copy of the affidavit or petition filed in a court of competent jurisdiction;

(2)   Certified copies of the final judgment and any orders issued by a court of competent jurisdiction;

(3)   Evidence that the final judgment has been enforced as provided by statute for enforcement of judgments in civil actions and the amount realized was insufficient to satisfy the final judgment; and

(4)   Evidence that any compensation recovered by the claimant from the judgment debtor, or from any other source for monetary loss arising out of the transaction or series of transactions has been applied to the final judgment awarded by a court of competent jurisdiction.

(d)   Commission review. The Administrator is authorized to determine the sufficiency of the claim and submitted documentation. After the Administrator receives the required documentation indicated in paragraph (c) of this section, he or she shall make a recommendation to the Commission concerning approval or denial of the claim. The Commission may take one of the following actions:

(1)   Approve or deny the claim based on the Administrator's recommendation;

(2)   Approve or deny the claim independent of the Administrator's recommendation; or

(3)   Request additional information and or documentation it deems necessary to render a decision in accordance with the requirements of 59 O.S. § 2091 and Oklahoma law.

(e)   Notification. The Administrator shall submit written notification to the claimant of the Commission's decision regarding the claim.

(f)   Expenditures.

(1)   If the Commission approves a claim, expenditures from the Fund shall be made by the Administrator in accordance with 59 O.S. § 2095.20 and Oklahoma law.

(2)   If at any time monies in the Fund are insufficient to satisfy existing obligations and encumbrances on the Fund or an approved claim, or portion(s) thereof, the Administrator may satisfy such unpaid claims or portion(s) thereof as soon as a sufficient amount of money has been deposited in the Fund. When there is more than one outstanding approved claim, the Commission may determine the order of payment.

(g)   Restrictions. A claimant shall not be qualified to file a claim for reimbursement from the Fund if:

(1)   The claimant is the spouse of the judgment debtor or a personal representative of such spouse;

(2)   The claimant is a licensee that acted in their own behalf in the transaction or series of transactions that are the subject of the claim;

(3)   The claimant has previously been reimbursed the maximum amount allowed from the Fund involving the same transaction or series of transactions.

[Source: Added at 26 Ok Reg 8, eff 8-11-08 (emergency); Added at 26 Ok Reg 2490, eff 7-11-09; Amended at 27 Ok Reg 1763, eff 7-1-10]