57-26-112 - Application of proceeds.
57-26-112. Application of proceeds.
Unless otherwise agreed, an assignee that collects rents under this chapter or collectsupon a judgment in an action under Subsection 57-26-114(4) shall apply the sums collected inthe following order to:
(1) the assignee's reasonable expenses of enforcing its assignment of rents, including, tothe extent provided for by agreement and not prohibited by law of this state other than thischapter, reasonable attorney fees and costs incurred by the assignee;
(2) reimbursement of any expenses incurred by the assignee to protect or maintain thereal property subject to the assignment;
(3) payment of the secured obligation;
(4) payment of any obligation secured by a subordinate security interest or other lien onthe rents if, before distribution of the proceeds, the assignor and assignee receive a notificationfrom the holder of the interest or lien demanding payment of the proceeds; and
(5) the assignor.
Enacted by Chapter 139, 2009 General Session