State Codes and Statutes
Statutes > Utah > Title-07 > Chapter-07 > 7-7-127-7-12. Inspection of books and records -- Confidentiality -- Communicationbetween members or stockholders.
(1) Every member, stockholder, or borrower of an association shall have the right toinspect, upon paying any costs of retrieval or reproduction and upon reasonable notice and duringregular business hours:
(a) the books and records of the association which do not contain any confidentialinformation relating to a loan, savings account, or voting rights of another member, stockholder,or borrower; and
(b) such books and records of the association as pertain to the member's, stockholder's, orborrower's own loan, savings account, or the determination of the member's, stockholder's, orborrower's voting rights.
(2) Except as provided in Subsection (1), the right of inspection and examination of thebooks, accounts, and records shall be limited to:
(a) the commissioner and supervisor, or their duly authorized representatives;
(b) persons authorized to act for the association;
(c) any federal or state instrumentality or agency authorized to inspect or examine thebooks and records of an insured association;
(d) the Office of Thrift Supervision, the Federal Deposit Insurance Corporation, or theirsuccessor agencies; and
(e) any person acting under authority of a court of competent jurisdiction.
(3) Except as otherwise stated in this section, the books and records pertaining to theaccounts, loans, and voting rights of savers, borrowers, members, and stockholders shall be keptconfidential by the association, its directors, officers, and employees, and by the commissioner,the supervisor, and their examiners and representatives, unless disclosure is expressly orimpliedly authorized by the saver, borrower, member, or stockholder.
(4) Each member or stockholder of an association has the right to communicate withother members or stockholders of the same association with reference to any question pending orto be presented for consideration at a meeting of the members or stockholders. A member orstockholder, in order to communicate with other members or stockholders, shall submit to theassociation a request, subscribed by the member or stockholder, which includes:
(a) the member's or stockholder's full name and address;
(b) the nature and extent of the member's or stockholder's interest in the association atthe time the member's or stockholder's application for communication is made;
(c) a statement of the reasons for and purposes of the communication and that thecommunication is not for any reason other than the business welfare of the association;
(d) a copy of the communication; and
(e) if the communication concerns a question to be raised at a meeting of the members orstockholders of the association, the date of the meeting at which the matter will be presented.
(5) Within 10 days after receipt of the request referred to in Subsection (4) theassociation shall notify the requesting member or stockholder of:
(a) the approximate number of the members or stockholders and the estimated amount ofthe reasonable costs and expenses of mailing the communication; or
(b) its determination to refuse the request and the specific reasons for its refusal,including its determination whether or not the request has been made for a proper purpose.
(6) Unless the association has refused the request referred to in Subsection (5), the
association shall, within seven days after receipt of the sum specified by it under this Subsection(6) and sufficient copies of the communication, mail the communication to all its members orstockholders.
(7) If a request referred to in Subsection (4) is refused by an association, the requestingmember or stockholder may submit the member's or stockholder's request and the refusal of therequest to the supervisor for review. The supervisor may issue an order denying the request or, ifthe supervisor finds the request is not for any reason other than the business welfare of theassociation and is in all other respects proper, granting the request and directing the associationto mail the communication to all its members or stockholders in accordance with the provisionsof Subsections (5) and (6).
(8) Insofar as the provisions of this section are not inconsistent with federal law, thissection shall apply to a federal association whose home offices are located in this state, and to themembers or stockholders of that federal association except that any review of a refusal by anassociation under Subsection (5) shall be tendered to the Office of Thrift Supervision orsuccessor federal agency in the case of a federal association.
Amended by Chapter 306, 2007 General Session
