October 8, 2019

"New SAM Requirements: Documenting SAM Review as Part of Due Diligence" published by David Tomenes

On September 18, 2019, the United States Office of Inspector General completed an audit of the SBA . One of the recommendations of that report was that additional steps be implemented “to […]

September 26, 2019

"Protecting OREO Property" published by Joshua D. Christensen

Nothing is more disheartening than to enter OREO, post-foreclosure, and realize that a borrower has damaged the property or removed items such as furnaces; water heaters; sinks; cabinets; flooring; carpeting; […]

August 31, 2019

"Blockchain Technology and Banking Applications" published by James T. Keig

While some banks are at the forefront of the “cryptography” revolution, utilizing shared encrypted databases amongst multiple parties to access a constantly updated unalterable digital ledger, and are fluent in […]

August 8, 2019

"Offer in Compromise Process" published by Lindsay W. Cremona

When a lender makes an SBA 7(a) loan, there are certain actions that the lender cannot unilaterally take without first obtaining approval from SBA. This includes certain workout and settlement […]

July 26, 2019

"Getting the Most from Your Judgment: Understanding Statutory Interest Rates" published by David Tomenes

When obligors default on their credit obligations, creditors will usually attempt to use work-out options before going to court. However, it is sometimes necessary to go through the courts and […]

July 26, 2019

"Considerations in Transfers of SBA 7(a) Loans" published by Anastasi Jellum

Increasingly, we have heard from lenders that the SBA has given much scrutiny to the refinance of an existing SBA 7(a) loan with a new 7(a) loan. As a result, […]

July 17, 2019

"Navigating the SBA’s Rules for Franchises" published by Wayne Spangler

One of the important determinations that must be made on all SBA guaranteed loans is whether any affiliation concerns exist, and one of the more complicated affiliation issues that arises […]

June 21, 2019

"Non-U.S. Citizen SBA Lending" published by Thomas Bush

Almost twenty-five percent of new businesses started in the United States each year are launched by first-generation immigrants. In States with higher populations, such as New York and California, this […]

April 3, 2019

"Strategies for Managing the Commercial Loan Post-Closing Process" published by Wayne Spangler

After a commercial loan transaction closes, it’s easy to feel that all the important work has been completed, but the truth is there are many post-closing matters that still require […]

January 30, 2019

"Compliance With Beneficial Ownership Identification Requirements" published by Troy Eickhoff

Starting on May 11, 2018, financial institutions operating in the United States have been required to create written policies and procedures designed to identify certain beneficial owners of most legal […]

January 16, 2019

"Considerations for a Request to Modify or Release Collateral Securing an SBA 7(a) Loan" published by Garth G. Gavenda

From time-to-time, a lender will encounter a scenario with an SBA 7(a) loan wherein an obligor requests that the lender modify or release the lender’s lien against collateral, which may […]

December 26, 2018

"Notarious Changes" published by Wayne Spangler

Effective January 1, 2019, Minnesota licensed notaries will be able to register to perform remote online notarizations. Also known as “webcam notarization” or “online notarization”, remote online notarization enables a […]

December 12, 2018

"Recouping Recoverable Expenses" published by Lindsay W. Cremona

Once an SBA loan is classified into liquidation status, as set forth in SOP 50 57 2 page 77, a lender will likely incur expenses relative to repossession and preservation […]

November 21, 2018

"Work It Out: The Benefits of Loan Workouts for Lenders" published by Lindsay W. Cremona

When a loan goes into default, it may feel as if a lender’s options are limited —accelerate, liquidate, and collect. However, a lender has various workout tools at its disposal […]

May 30, 2018

"Property Tax Forfeiture" published by Lindsay W. Cremona

What is Property Tax Forfeiture? Property tax forfeiture is a process where the state takes ownership of real property if property taxes are not paid. When property taxes are not […]

November 28, 2015

"Environmental Considerations in SBA Gas Station Loans" published by Anastasi Jellum

Loans made to or involving gas stations can present the lender with some unique environmental concerns. As such, the SBA Standard Operating Procedures (“SOPs”) include specific requirements for all loans […]

November 12, 2015

"CFPB Finalizes Rules for Small Creditors" published by Anastasi Jellum

Various provisions in the new mortgage rules issued by the Consumer Financial Protection Bureau in January 2013 and May 2013 affected small creditors. Acknowledging that small creditors are a significant […]

November 12, 2015

"Mortgage Registration Tax in Minnesota on Mortgage Modifications" published by Troy Eickhoff

When filing a mortgage, determining the amount of mortgage registration tax (“MRT”) is relatively simple. Except in the counties of Ramsey and Hennepin, MRT is calculated by simply multiplying the […]

March 12, 2015

"MBA Article – Dos and Don’ts of Loan Participations" published by Troy Eickhoff

Loan participations have been a valuable tool in commercial lending for years.  This is true primarily because they allow banks to participate in transactions that would otherwise present too much […]

February 12, 2015

"Tax Forfeitures" published by Lindsay W. Cremona

This is a follow-up to our Advisor article “Property Tax Forfeiture”. The beginning of the year is the time to start thinking about property taxes in Minnesota. When property taxes […]

November 29, 2014

"CFPB – Small Servicers, Published in MBA News" published by Anastasi Jellum

The September/October 2014 issue of MBA News published our following article: In January of 2013, the Consumer Financial Protection Bureau (“CFPB”) issued new rules implementing various provisions of the Real […]

October 12, 2014

"First Steps in Liquidation and Collection of a 7(a) SBA Loan" published by Lindsay W. Cremona

While borrowers should repay their indebtedness in accordance with the terms and conditions of the loan, this is not always the case.  Borrowers default and, as a result, lenders must […]

July 12, 2014

"Why You Shouldn’t Waive the Landlord’s Waiver" published by Anastasi Jellum

Although seemingly a relatively straightforward document, Landlord’s Waivers (sometimes referred to as Landlord’s Agreements, Lessor’s Agreements, Landlord’s Consents, Landlord’s Certificates, etc., generally referred to as a “Landlord’s Waiver” herein) are […]

June 12, 2014

"2014 Legislative Session Update" published by Anastasi Jellum

This year the Minnesota legislature made some significant changes to laws which affect banking and lending. The following is a brief summary of some noteworthy changes adopted by the legislature […]

May 12, 2014

"Renewal of Judgements" published by Anastasi Jellum

Our office often works with our financial institution clients to determine not only how to collect on a judgment, but also when to collect on a judgment. There is no […]

March 12, 2014

"Property Tax Appeals" published by Lindsay W. Cremona

PROPERTY TAX APPEALS MUST BE FILED BY APRIL 30, 2014. April is the month to be thinking about property taxes in Minnesota.  Each spring, property owners are notified of their […]

February 7, 2014

"The New CFPB Mortgage Rules: A Summary of What They Are and What They Mean" published by Anastasi Jellum

The Dodd-Frank Wall Street Reform Act and Consumer Protection Act (“Dodd-Frank Act”) amended both the Real Estate Settlement Procedures Act (“RESPA”), which is implemented by Regulation X, and the Truth […]

January 12, 2014

"Working With Borrowers Following Bankruptcy Discharge" published by Anastasi Jellum

Our firm serves as the outside in-house legal counsel for many financial institution clients. In that capacity, we receive calls and emails from our clients every day with questions relating […]

December 12, 2013

"Important Power of Attorney Alert!" published by Anastasi Jellum

Powers of Attorney – New Statutory Short Form Power of Attorney Effective January 1, 2014 This is a follow-up to our Advisor article sent on June 18, 2013, “Powers of […]

November 12, 2013

"Foreclosures and Loan Workouts Requiring 1099 Reporting" published by Anastasi Jellum

In 2013 the economy has shown signs of improvement, and for financial institutions this has resulted in an increase of new loans, and, in general, a decrease in real estate […]

October 12, 2013

"Practice Tips for Preserving SBA Guarantees" published by Anastasi Jellum

If an SBA 7(a) loan does not comply with with the applicable SBA Standard Operating Procedures (“SOPs”) and SBA Authorization, and a loss results, the SBA can either deny a […]

October 12, 2013

"Beyond Building Requirements: Accessibility under The Americans with Disabilities Act" published by Anastasi Jellum

A reference to the Americans with Disabilities Act (ADA) tends to bring to mind building accessibility requirements, like ramps, and other adjustments that make a building more accessible. However, the […]

August 12, 2013

"Lessons from the Past can Protect you in the Future" published by Lindsay W. Cremona

The past several years can provide valuable lessons to lenders in the unfortunate event that current or new loans end up in foreclosure. A proactive eye towards certain aspects of […]

July 12, 2013

"Important UCC Alert!" published by Anastasi Jellum

2010 Amendments to the Uniform Commercial Code go into effect Monday, July 1, 2013. We are sending this as a follow-up to our The Advisor article sent on April 16, […]

July 12, 2013

"New Notice Requirements for Residential Contracts for Deed" published by Anastasi Jellum

During the recession of the last several years, the amount of financial institution-owned real property reached historically record levels. As the economy continues to improve we are seeing, for the […]

May 12, 2013

"Right of Setoff vs. Perfected Security Interest in Deposit Accounts" published by Anastasi Jellum

We often receive calls from our financial institution clients when they are served with a garnishment (most often from a private-party creditor), or a levy from a taxing authority (most […]

May 7, 2013

"Important SBA Alert!" published by Anastasi Jellum

There have been changes to SOP 50 10 5(E); SOP 50 57; and the 7(a) Lender Matrix. Please reference the links below for the current versions: Updated SOP 50 10 […]

April 12, 2013

"What to Know about Filing UCC Financing Statements under the 2010 Amendments" published by Anastasi Jellum

In 2010, a review committee finalized several changes (“2010 Amendments”) to the Uniform Commercial Code’s Revised Article 9.  The 2010 Amendments have been enacted by the State of Minnesota, and […]

December 7, 2012

"Foreclosing SBA 504 Mortgages" published by Nick C. Jellum

As many banking institutions continue to react to the effects of the economy, many are faced with the need to foreclose commercial mortgages originated under the U.S. Small Business Administration […]

June 12, 2012

"Ambiguous Language Can Absolve Liability Under Personal Guaranty" published by Anastasi Jellum

Precise drafting of loan documents is essential when documenting a loan. Clear and unambiguous loan documents accurately reflect the agreement of the parties and protect both lenders and borrowers. When […]

October 12, 2011

"Marital Purpose Statements For Wisconsin Residents" published by Troy Eickhoff

Many lenders are aware that Wisconsin law requires them to obtain a marital purpose statement when making a loan to a Wisconsin resident. However, there is a significant amount of […]

August 12, 2011

"Criminal Prosecution for Damages to Property Subject to a Mortgage" published by Joshua D. Christensen

Nothing is more disheartening than to enter OREO, post-foreclosure, and realize that a borrower has damaged the property or removed items such as furnaces, water heaters, sinks, cabinets, flooring, carpeting, […]

May 12, 2011

"Reaffirmation Agreements" published by Anastasi Jellum

When a borrower files for relief under Chapter 7 of the United States Bankruptcy Code, the borrower is typically entitled to a discharge of the borrower’s debts. One of the […]

April 12, 2011

"Reminder! Property Tax Appeals Must Be Filed By April 30, 2011!" published by Garth G. Gavenda

April is the month to be thinking about property taxes in Minnesota. With the widespread decline in the market value of real property, many properties are being taxed at an […]

January 12, 2011

"Issues to Consider Prior to Acquiring OREO" published by Joshua D. Christensen

When an event of default occurs with respect to a loan that is secured by a mortgage encumbering real estate, there are a number of issues that should be investigated […]

December 12, 2010

"Foreclosing a Perfected Security Interest in LLC Membership Units/Interests" published by Garth G. Gavenda

In our most recent edition of The Advisor, we discussed the process for a lender to obtain and perfect a security interest in membership units/interests in a limited liability company […]

November 12, 2010

"Membership Interests in a Limited Liability Company as Collateral" published by Nick C. Jellum

A limited liability company (“LLC”) is one of the most commonly chosen entity structures used by new businesses today. LLCs are owned by its members, who hold either membership units […]

October 12, 2010

"Shortening Foreclosure Redemption Periods in Minnesota" published by Anastasi Jellum

Whether a lender is foreclosing a mortgage by publication or action, the process can be long and drawn out. This is especially true considering the fact that mortgagors in Minnesota […]

September 12, 2010

"Management of Vacant and Foreclosed Properties" published by Joshua D. Christensen

With winter fast approaching, it is important for lenders to pay a visit to real estate which is, or is about to become, subject to a foreclosure proceeding to determine […]

August 12, 2010

"It’s That Time of Year! 2010 Legislative Session Changes" published by Joshua D. Christensen

Almost every year the legislature amends and changes laws that affect the banking and lending community. This year is no exception. The following is a brief summary of some of […]

July 12, 2010

"Reporting Acquired or Abandoned Secured Property and Cancelled Debts: FAQS About 1099-A & 1099-C" published by Nick C. Jellum

Now, more than in recent history, banks are faced with the realities of foreclosed, repossessed, or surrendered collateral, as well as forgiven or cancelled indebtedness. Accordingly, it is important that […]

June 12, 2010

"Acceptance of Partial Payments After Demand" published by Garth G. Gavenda

The question is often raised: “After sending a default notice demanding payment, can a lender accept a partial payment?” The easy answer is that a lender can, of course, accept […]

April 12, 2010

"Garnishment Update: Breaking News!" published by Anastasi Jellum

In our recent Garnishment Update, which was circulated on March 30, 2010, we discussed the issues related to garnishments on joint accounts in light of the case of Enright v. […]

March 12, 2010

"Garnishment Update" published by Anastasi Jellum

The Minnesota state legislature made a number of modifications to the garnishment section of the Minnesota Statutes. The legislature intended to make the garnishment process easier and more understandable for […]