OK HB1120

Mortgage holders must release mortgages within 50 days of debt payment and file the release with the county clerk, or mortgagors may request release in writing with a 10-day response period.

Mortgage holders who fail to release within the 10-day period after written request forfeit a penalty of 1% of principal debt, capped at $100 per day, with total penalties not exceeding 100% of principal debt.

Title insurance companies or their duly appointed agents may bring civil action on behalf of mortgagors to recover penalties for unreleased mortgages.

"Mortgagor" includes any subsequent purchaser of mortgaged real estate; "title insurance company" means any corporation or business entity licensed to insure titles to real property in Oklahoma.

Effective date: November 1, 2015.