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Searching 2019-2020 Session

The Vermont Statutes Online

The statutes were updated in November, 2018, and contain all actions of the
2018 legislative session.

Title 27 : Property

Chapter 005 : CONVEYANCE OF REAL ESTATE

Subchapter 004 : MORTGAGES

(Cite as: 27 V.S.A. § 464a)
  • § 464a. Discharge by licensed attorney

    (a) A recorded mortgage may be discharged by an attorney-at-law licensed to practice in this State if:

    (1) the mortgagee, after receipt of payment of the mortgage in accordance with the payoff statement furnished to the mortgagor by the mortgagee, or the mortgagee's agent, fails to execute and record a discharge of the mortgage in accordance with section 461, 462, or 463 of this title;

    (2) the discharge is executed by, or is in the name of, a purported mortgagee that is not holder of record of the mortgage; or

    (3) the discharge of record was not executed in accordance with section 461, 462, or 463 of this title.

    (b) An attorney-at-law who discharges a mortgage under this section shall execute and record with the discharge an affidavit in the record of deeds affirming that:

    (1) the affiant is an attorney-at-law in good standing and licensed to practice in Vermont;

    (2) the affidavit is made at the request of the mortgagor or the mortgagor's executor, administrator, successor, assignee, or transferee or the transferee's mortgagee;

    (3) the purported mortgagee has provided a payoff statement with respect to the loan secured by the mortgage;

    (4) the purported mortgagee has received payment of the mortgage in accordance with the payoff statement that has been proved by a bank check, certified check, or attorney client funds account check negotiated by the purported mortgagee or by evidence of receipt of payment by the purported mortgagee; and

    (5) more than 30 days have elapsed since the payment was received by the purported mortgagee.

    (c) The affidavit must include: the names and addresses of the mortgagor, the original mortgagee, and the purported mortgagee; the date of the mortgage; and the book and page number and similar information with respect to the most recent recorded assignment of the mortgage.

    (d) The affiant shall attach to the affidavit the following, certifying that each copy is a true copy of the original document:

    (1) photocopies of the documentary evidence that payment has been received by the mortgagee, provided that the payor's account number may be redacted; and

    (A) if paid by check, a photocopy of the mortgagee's endorsement of the payoff check; or

    (B) if paid by wire, written confirmation that the monies wired left the sender's account; and

    (2) a photocopy of the payoff statement received from the mortgagee or servicer.

    (e) An affidavit recorded under this section has the same effect as discharge under section 461, 462, or 463 of this title.

    (f) An attorney-at-law who executes and records a discharge of mortgage in accordance with this section shall not be liable to the holder of the mortgage on account of such discharge except in the event of negligence or fraud by the discharging attorney. (Added 1995, No. 162 (Adj. Sess.), § 38, eff. Jan. 1, 1997; amended 2007, No. 177 (Adj. Sess.), § 3; 2017, No. 24, § 1, eff. May 4, 2017.)