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This entry was published on 2014-09-22
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SECTION 598
Additional penalties for violation of this article; civil, criminal; liquidated damages
Banking (BNK) CHAPTER 2, ARTICLE 12-D
§ 598. Additional penalties for violation of this article; civil,
criminal; liquidated damages. 1. In addition to such penalties as may
otherwise be applicable by law, the superintendent may, after notice and
hearing as provided elsewhere in this article, require any entity,
licensee, servicer, registrant or exempt organization found violating
the provisions of this article or the rules or regulations promulgated
hereunder to pay to the people of this state an additional penalty for
each violation of the article or any regulation or policy promulgated
hereunder a sum not to exceed an amount as determined pursuant to
section forty-four of this chapter for each such violation.

2. Whoever violates any provision of the licensing requirements of
subparagraphs (a) and (b) of subdivision two of section five hundred
ninety of this article by making a mortgage loan without being licensed
or specifically exempted from licensing, or soliciting, processing,
placing or negotiating a mortgage loan without being registered or
specifically exempted from registration, shall be guilty of a class A
misdemeanor, punishable as provided in articles seventy and eighty of
the penal law.

3. Liquidated damages. In addition to any other remedy which an
applicant for a mortgage loan or mortgagor may have against a licensee,
registrant or exempt organization for breach of contract or agreement to
make a mortgage loan, the court after considering the circumstances may
award the plaintiff, upon granting a judgment in his favor in an
individual action on such claim, liquidated damages an amount equal to
twice the amount of any fees or other charges paid by the applicant or
mortgagor in connection with such contract or agreement exclusive of any
amounts paid or payable after the mortgage or other security instrument
is executed.

4. Statutory or common-law remedies. Nothing in this article shall
limit any statutory or common-law right of any person to bring any
action in any court for any act, or the right of the state to punish any
person for any violation of any law.

5. Civil penalties assessable against unlicensed or unregistered
persons or entities. If any non-exempt unlicensed or unregistered person
or entity engages in activities encompassed by this article, he shall be
liable to any person or entity affected by such activities for a sum of
money of not less than the amount of money paid to an affected person or
entity in connection with such activities, nor more than four times such
sum. Such sum may be sued for and recovered by any person or entity for
his use and benefit in any court of competent jurisdiction.