Appendix D to Part 1008 - Attorneys: Circumstances That Require a State Mortgage Loan Originator License
12:8.0.2.1.9.7.1.1.28 : Appendix D
Appendix D to Part 1008 - Attorneys: Circumstances That Require a
State Mortgage Loan Originator License
This appendix D clarifies the circumstances in which the
S.A.F.E. Act requires a licensed attorney who engages in loan
origination activities to obtain a state loan originator license
and registration. This special category recognizes limited, heavily
regulated activities that meet strict criteria that are different
from the criteria for specific exemptions from the S.A.F.E. Act
requirements and the exclusions set forth in the regulations and
illustrated in other appendices of part 1008.
(a) S.A.F.E. Act-compliant licensing required. An
individual who is a licensed attorney is required to be licensed if
the individual is engaged in the business of a loan originator as
defined in § 1008.103 and such loan origination activities are not
all of the following:
(1) Considered by the state's court of last resort (or other
state governing body responsible for regulating the practice of
law) to be part of the authorized practice of law within the
state;
(2) Carried out within an attorney-client relationship; and
(3) Accomplished by the attorney in compliance with all
applicable laws, rules, ethics, and standards.
(b) S.A.F.E. Act-compliant licensing not required. A
licensed attorney performing activities that come within the
definition of a loan originator is not required to be licensed,
provided that such activities are:
(1) Considered by the state's court of last resort (or other
state governing body responsible for regulating the practice of
law) to be part of the authorized practice of law within the
state;
(2) Carried out within an attorney-client relationship; and
(3) Accomplished by the attorney in compliance with all
applicable laws, rules, ethics, and standards.