Keeping Track of the New Disclosure Laws

by Ken Greene

Ken Greene is an attorney at his SoCal firm, the Law Office of Kenneth Charles Greene. He began his career with BankAmerilease in 1981 and has been a partner in several firms, including Ross & Ivanjack, one of the first law firms devoted exclusively to the equipment finance industry. He continues representation of lenders, lessors and brokers in contract preparation, compliance, licensing, litigation and transactions. Greene is presently General Counsel to the AACFB, has served twice on the BOD of NEFA and was its Legal Committee Chairman, Legal Line Editor, Regional Committee Chair and Conference Chairman. He was Leasing News Legal Editor since early 2022. Greene received his BA from Brandeis University and his JD from Santa Clara University School of Law. He is frequent writer and speaker on matters of leasing law. Greene’s passions are family, music, travel and more. In his “spare” time, he plays and records with several bands and produces concerts and charity events.

Ken Greene of The Law Office of Kenneth Charles Greene reviews a list of the states with disclosure laws or bills and an update on where things stand.

Whether you are an expert in rocket science or, perhaps, alchemy, staying apprised of the panoply of new disclosure bills and laws is somewhat of a daunting challenge. This article is intended, as all lawyers intend, to make your lives easier. [laugh track]

Here is a list of the states (and at least one country) with disclosure laws or bills, or those which have considered or are considering them, and an update on where things stand:

  1. California: The world of disclosures invariably begins in the United States of California, the Mecca of all disclosure laws. The law and its attendant regulations have passed, and are in full force and effect right now.
  2. New York: I put New York in second place not because they will be second in enactment (they’ll be fourth), but because it’s where I generally expect the Yankees to land at the end of every season. The law has passed, but will not take effect until August 1, 2023.
  3. Utah: Its Commercial Financing Registration Act took effect on January 1, 2023. Keep in mind that this is more than a disclosure law. It also requires state registration through the Nationwide Mortgage Licensing System (“NMLS”).
  4. Virginia: This law became effective on April 11, 2022, but is limited to sales-based financing (aka Merchant Cash Advances).
  5. North Carolina: Its House bill was enacted May 11, 2021. It is still in committee.
  6. Illinois: Senate and House bills were both proposed this year. Both remain pending.
  7. Maryland: A Senate bill was proposed this year. Still pending.
  8. Connecticut: Proposed a Senate bill this year, which is also still pending.
  9. Florida: Its bill has passed both chambers. If signed by Gov. DeSantis, and approved by Disneyland, the law will go into effect on July 1, 2023.
  10. Georgia: Echoing Florida, the Senate bill hit Gov. Kemp’s desk two months after it was passed by the legislature. If, as expected, the bill becomes law, it will go into effect on January 1, 2024.
  11. Missouri: Both Senate and House bills were proposed this year, and both are still pending.
  12. New Jersey: Senate and House bills remain pending during the carry-over session.
  13. Kansas: A Senate bill was proposed this year. It is pending.
  14. Mississippi: Both Senate and House bills were proposed this year, both of which have since failed. It is expected that they will be resurrected in one form or another.
  15. United States: A uniform federal disclosure bill, although deeply flawed, was introduced in late 2021. Not surprisingly, given the state of the Federal government these past few years, it is mired in political quicksand.

If the foregoing list is any indication, the disclosure trend will continue, and perhaps envelope the country. Alternatively, the proposed federal bill, will be much more finely tuned, and develop bipartisan support for passage.

This article is presented by the Law Office of Kenneth Charles Greene. All copyrightable text, the selection, arrangement, and presentation of all materials (including information in the public domain), and the overall design of this presentation are the property of the Law Office of Kenneth Charles Greene. All rights reserved. Permission is granted to download and reprint materials from this article for the purpose of viewing, reading, and retaining for reference. Any other copying, distribution, retransmission, or modification of information or materials from this article, whether in electronic or hard copy form, without the express prior written permission of Kenneth C. Greene, is strictly prohibited. The materials available from this article are for informational purposes only and not for the purpose of providing legal advice. You should contact your attorney to obtain advice with respect to any particular issue or problem. Use of and access to these materials does not create an attorney-client relationship between the Law Office of Kenneth Charles Greene and the user or viewer. The opinions expressed herein are the opinions of the individual author.

Leave a comment

View Latest Digital Edition

Terry Mulreany
Subscriptions: 800 708 9373 x130
Susie Angelucci
Advertising: 484.459.3016

View Latest Digital Edition

Visit our sister website for news, information, exclusive articles,
deal tables and more on the asset-based lending, factoring,
and restructuring industries.

No categories available