6-840. Prohibitions; definitions


A. An escrow agent shall not accept any escrow in which a participant in the escrow
is an affiliate of the escrow agent unless:


1. The affiliation is disclosed to all nonaffiliated participants in writing by the
escrow agent.


2. Use of the affiliated escrow agent is not required by the affiliate as a
condition of making a loan or entering into any other agreement with the nonaffiliated
participants.


B. For the purpose of this section:


1. "Controlled escrow business" means the handling of an escrow by an escrow agent
where an affiliate of the escrow agent is a participant in the escrow transaction.


2. "Participant" means the buyer, seller, lender, mortgage broker, mortgage banker,
real estate broker or real estate salesman or any person who is a party to the escrow
transaction.