Michigan Compiled Laws, Chapter 565. Conveyances of Real Property § 565.901
Current as of February 09, 2022 | Updated by FindLaw Staff
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Sec. 1. As used in this act:
(a) “Future advance” means an indebtedness or other obligation that is secured by a mortgage and arises or is incurred after the mortgage has been recorded, whether or not the future advance was obligatory or optional on the part of the mortgagee.
(b) “Future advance mortgage” means a mortgage that secures a future advance and is recorded either prior to or after the effective date of this act. If a recorded mortgage is amended to secure, expressly and not by implication, a future advance arising after the amendment, the mortgage becomes a future advance mortgage at the time the amendment is recorded.
(c) “Protective advance” means a future advance that arises because the mortgagee makes an expenditure or expenditures for 1 or more of the following:
(i) To fulfill or perform an obligation of the mortgagor under the mortgage, with respect to the mortgaged property, that the mortgagor has failed to fulfill or perform.
(ii) To preserve the priority of the mortgage or the value of the mortgaged property.
(iii) For attorneys fees or other expenses that are incurred in exercising a right or remedy under the mortgage or that the mortgagor has agreed in the mortgage to reimburse to the mortgagee.
(d) “Residential future advance mortgage” means a future advance mortgage upon 1 or more of the following:
(i) A single structure designed principally for the occupancy of from 1 to 4 families.
(ii) A single manufactured home designed principally for the occupancy of from 1 to 4 families.
(iii) A single condominium unit or cooperative unit, designed principally for the occupancy of from 1 to 4 families.
(iv) Land upon which the mortgagor intends to construct a single structure designed principally for the occupancy of from 1 to 4 families, if the structure is to be constructed using proceeds of a loan secured by the mortgage, unless the mortgagor intends to resell the structure without occupying it as a dwelling.
(v) Land upon which the mortgagor intends to place a single manufactured home, if it will be purchased using proceeds of a loan secured by the mortgage, unless the mortgagor intends to resell the manufactured home without occupying it as a dwelling.
(e) Notwithstanding subdivision (d), a mortgage is not a “residential future advance mortgage” if the land subject to the mortgage is more than 25 acres in size.
Any local public entity located in this state specified in paragraph (3) of subdivision (a) of Section 135 or Indian tribe specified in paragraph (6) of subdivision (a) of Section 135 may elect to become an employer subject to Part 2 (commencing with Section 2601) of this division with respect to all its employees, including those with civil service or tenure positions, and may file its written election with the director.That election may be made on its own motion by the appropriate governing board of the local public entity or Indian tribe making the election, or may be made by the governing board pursuant to a petition signed by a majority of the employees (including those with civil service or tenure positions) requesting the governing board to file an election with the director. Upon the filing of an election, the filing local public entity or Indian tribe shall, upon approval by the director, become an employer subject to Part 2 (commencing with Section 2601) to the same extent as other employers, and services performed by its employees, including those with civil service or tenure positions, shall constitute employment subject to that part. Beginning at that time, it shall withhold from the wages of employees the contributions required for unemployment compensation disability benefits.
Cite this article: FindLaw.com - Michigan Compiled Laws, Chapter 565. Conveyances of Real Property § 565.901 - last updated February 09, 2022 | https://codes.findlaw.com/mi/chapter-565-conveyances-of-real-property/mi-comp-laws-565-901/
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