N.Y. Comp. Codes R. & Regs. tit. 23 § 600.18

Current through Register Vol. 46, No. 43, October 23, 2024

Section 600.18 - Signatures

(a) Pursuant to Financial Services Law section 809, prior to consummating a commercial financing, a provider shall obtain the recipient's signature, which may be fulfilled by an electronic signature, on all disclosures required to be presented to the recipient pursuant to the CFDL. Where the recipient is not a natural person, a natural person authorized to sign on behalf of the legal entity may sign the disclosure, provided that the natural person is not a broker. Such disclosures may be transmitted between the recipient and the provider via electronic transmission and utilizing electronic signatures, regardless of whether subsequent financing agreements, amendments and supplements are provided to the recipient in person, by mail or electronically.

(b) If a commercial financing transaction is consummated electronically, then a provider may obtain a recipient's signature on the required disclosures electronically or by facsimile.

(c) A provider is not required to obtain the recipient's signature on any disclosure for a commercial financing transaction that is not consummated. When a provider provides multiple disclosures to a recipient during the negotiation of a commercial financing transaction that is ultimately consummated, the provider need only obtain the recipient's signature on the final disclosure that corresponds to the consummated transaction.

N.Y. Comp. Codes R. & Regs. Tit. 23 § 600.18

Adopted New York State Register February 1, 2023/Volume XLV, Issue 05, eff. 2/1/2023