Hawaii passed a bill requiring the release of a security instrument evidencing the assignment of the borrower’s interest in leases and rents upon full satisfaction of the underlying mortgage loan. Under the bill, if a mortgage loan is secured by an assignment of the borrower’s interest in leases or rents to the lender or servicer, the lender or servicer must provide to the borrower a reassignment or release of such security interest (as applicable) upon full satisfaction of the mortgage loan. The bill went into effect July 1, 2017.
See Hawaii State Legislature website for the full text of the Statutes
