Subpart 2 NONCOMPLIANCE WITH THE OSAGE NATION SECURED TRANSACTIONS ACT
§ 9-625. Remedies for secured party’s failure to comply with Osage Nation Secured Transactions Act.
A. Judicial Orders Concerning Noncompliance. If it is established that a secured party is not proceeding in a manner consistent with this Osage Nation Secured Transactions Act, the Osage Nation Trial Court or another court of competent jurisdiction may order or restrain collection, enforcement, or disposition of collateral on appropriate terms and conditions.
B. Damages for Noncompliance. Subject to subsections (C), (D), and (F) of this section, a person is liable for damages in the amount of any loss caused by a failure to comply with this Osage Nation Secured Transactions Act. Loss caused by a failure to comply may include loss resulting from the debtor’s inability to obtain, or increased costs of, alternative financing.
C. Persons Entitled to Recover Damages; Statutory Damages Where Collateral Is Consumer Goods. Except as otherwise provided in 27A ONC § 9-628, which deals with the nonliability and limitations on liability of a secured party and the liability of a secondary obligor:
1. A person that, at the time of the failure, was a debtor, was an obligor, or held a security interest in or other lien on the collateral may recover damages under subsection (B) of this section for its loss; and
2. If the collateral is consumer goods, a person that was a debtor or a secondary obligor at the time a secured party failed to comply with this part may recover for that failure in any event an amount not less than the credit service charge plus ten percent (10%) of the principal amount of the obligation or the time-price differential plus ten percent (10%) of the cash price.
D. Recovery When Deficiency Eliminated or Reduced. A debtor whose deficiency is eliminated under 27A ONC § 9-626, which deals with actions in which a deficiency or surplus is in issue, may recover damages for the loss of any surplus.
E. Statutory Damages – Noncompliance with Specified Provisions. In addition to any damages recoverable under subsection (B) of this section, the debtor, consumer obligor, or person named as a debtor in a filed record, as applicable, may recover Five Hundred Dollars ($500.00) in each case from a person that:
1. Fails to comply with the provisions of this Osage Nation Secured Transactions Act dealing with additional duties of a secured party having control of an investment account (27A ONC § 9-205(B));
2. Fails to comply with the provisions of this Osage Nation Secured Transactions Act dealing with duties of a secured party if an account debtor has been notified of assignment (27A ONC § 9-205(C));
3. Files a record that the person is not entitled to file under 27A ONC § 9-502(G);
4. Fails to file, cause to be filed or send a termination statement as required by 27A ONC § 9-502(F);
5. Fails to comply with the provisions of this Osage Nation Secured Transactions Act dealing with explanations of calculations of surplus or deficiency (27A ONC § 9-616(A)), and whose failure is part of a pattern, or consistent with a practice, of noncompliance.
F. Statutory Damages – Noncompliance with the Provisions of This Osage Nation Secured Transactions Act Dealing with a Request for an Accounting. A debtor or consumer obligor may recover damages under subsection (B) of this section and, in addition, Five Hundred Dollars ($500.00) in each case from a person that, without reasonable cause, fails to comply with a request for an accounting (27A ONC § 9-207). A recipient of a request under 27A ONC § 9-207 which never claimed an interest in the collateral or obligations that are the subject of a request under that section has a reasonable excuse for failure to comply with the request within the meaning of this subsection.
G. Limitation of Security Interest – Noncompliance with Osage Nation Secured Transactions Act. If a secured party fails to comply with a request regarding a list of collateral or a statement of account under 27A ONC § 9-207, the secured party may claim a security interest only as shown in the list or statement included in the request as against a person that is reasonably misled by the failure. ONCA 07-22, eff. June 18, 2007.