Nebraska Amends its Residential Mortgage Licensing Act and Uniform Power of Attorney Act

Nebraska recently modified certain licensing requirements under the Residential Mortgage Licensing Act (RMLA) and the liability provisions in the Uniform Power of Attorney Act (UPAA).  These changes will go into effect on September 6, 2019.

With respect to the RMLA, Nebraska amended various provisions, including the fingerprint requirements in connection with licensing applications and the requirements regarding the renewal of inactive mortgage loan originator licenses.  Notably, the amendments also provide for temporary powers for mortgage loan originator license applicants.  Beginning November 24, 2019, upon becoming employed by a Nebraska Mortgage Banker Licensee, an individual who is a registered mortgage loan originator will be deemed to have temporary authority to act as a mortgage loan originator in Nebraska for 120 days after submitting a mortgage loan originator application when certain conditions are met. 

Nebraska also modified the liability provisions under the UPAA.  Specifically, the amendments relate to the UPAA’s liability provisions for refusing to accept an acknowledged power of attorney.  Among other things, the amendments provide that a person may bring an action or proceeding to mandate the acceptance of an acknowledged power of attorney or confirm the validity of an acknowledged power of attorney.  A person found liable for refusing to accept such power of attorney is subject to liability to the principal and to the principal’s heirs, assigns, and personal representative of the estate of the principal in the same manner as the person would be liable had the person refused to accept the authority of the principal to act on the principal’s own behalf.