Effect of enforcement by mortgagee.

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  • (1) A request by a mortgagee for appointment of a receiver, the appointment of a receiver, or application by a mortgagee of receivership property or proceeds to the secured obligation does not:
    • (a) make the mortgagee a mortgagee in possession of the real property;
    • (b) make the mortgagee an agent of the owner;
    • (c) constitute an election of remedies that precludes a later action to enforce the secured obligation;
    • (d) make the secured obligation unenforceable;
    • (e) limit any right available to the mortgagee with respect to the secured obligation;
    • (f) constitute an action within the meaning of Section 78B-6-901; or
    • (g) except as otherwise provided in Subsection (2), bar a deficiency judgment pursuant to law of this state other than this chapter governing or relating to a deficiency judgment.
  • (2) If a receiver sells receivership property that pursuant to Subsection 78B-21-116(3) is free and clear of a lien, the ability of a creditor to enforce an obligation that had been secured by the lien is subject to law of the state other than this chapter relating to a deficiency judgment.




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