A.A person who causes a record to be filed or recorded in a filing office and who knows or has reason to know that the record is unauthorized under section 47-9509 or that the record contains a material misstatement or false claim is liable to a debtor, a consumer obligor, a person named as a debtor or the owner or holder of collateral affected by the record for the sum of at least $500 or for treble the actual damages caused by the record, whichever is more, and reasonable attorney fees and costs of the action, if the person who causes the record to be filed or recorded wilfully refuses to terminate or correct the record within twenty days after the date of a written request from the debtor, the consumer obligor, the person named as a debtor or the owner or holder of collateral affected
Free access — add to your briefcase to read the full text and ask questions with AI
A. A person who causes a record to be filed or recorded in a filing office and who knows or has reason to know that the record is unauthorized under section 47-9509 or that the record contains a material misstatement or false claim is liable to a debtor, a consumer obligor, a person named as a debtor or the owner or holder of collateral affected by the record for the sum of at least $500 or for treble the actual damages caused by the record, whichever is more, and reasonable attorney fees and costs of the action, if the person who causes the record to be filed or recorded wilfully refuses to terminate or correct the record within twenty days after the date of a written request from the debtor, the consumer obligor, the person named as a debtor or the owner or holder of collateral affected by the record.
B. Any debtor, any consumer obligor, any person named as a debtor or the owner or holder of collateral affected by a record that is unauthorized under section 47-9509 or that contains a material misstatement or false claim may bring an action pursuant to this section in the superior court for any temporary or permanent relief as is necessary to clear or otherwise correct the records of the filing office of the record as provided for in the rules of procedure for special actions. The relief shall be consistent with the practical limitations of the filing system used by the filing office. This special action may be brought based on the ground that the record is not authorized under section 47-9509 or contains a material misstatement or false claim. A debtor, a consumer obligor, a person named as a debtor or the owner or holder of collateral affected by the record may bring a separate special action to clear or otherwise correct the records of a filing office of the record or join the special action with an action for damages as described in this section.
C. If a debtor, a consumer obligor, a person named as a debtor or the owner or holder of collateral affected by a record that is unauthorized under section 47-9509 or that contains a material misstatement or false claim prevails in a special action pursuant to this section, both of the following apply:
1. The court may mandate any legal or equitable remedy that is consistent with the practical limitations of the filing system used by the filing office and that is necessary to immediately and effectively clear or otherwise correct the records of the filing office of the record, including ordering the person responsible for filing the record to file a termination statement or take any other action as is necessary to clear or otherwise correct the records of a filing office of the record.
2. The debtor, the obligor, the person named as a debtor or the owner or holder of collateral affected by the record may recover reasonable attorney fees and costs of the action.
D. The remedies provided in this section are cumulative and are not exclusive to and do not limit any other legal or equitable remedies that may be available to any debtor, any obligor, any person named as a debtor or the owner or holder of collateral affected by a record that is unauthorized under section 47-9509 or contains a material misstatement or false claim.
E. A person who is not entitled to file a record under section 47-9509, who causes a record to be filed in the records of a filing office and who knows or has reason to know that the record is unauthorized under section 47-9509 or the record contains a material misstatement or false claim is guilty of a class 3 felony.
F. The attorney general or county attorney for the county in which an alleged violation of this section occurred may prosecute a violation of this section.