§763.22. Negligence and negligent servicing.
7 C.F.R. § 763.22
The Agency may deny a loss claim in whole or in part due to negligence that contributed to the loss claim. This could include, but is not limited to:
The escrow and servicing agent failing to seek payment of a missed installment from the buyer within the prescribed timeframe or otherwise does not enforce the terms of the land contract;
Losing the collateral to a third party, such as a taxing authority, prior lien holder, etc;
Not performing the duties and responsibilities required of the escrow or servicing agent;
The seller's failure to disclose environmental issues; or
Any other action in violation of the land contract or guarantee agreement that does not terminate the guarantee.
[Reserved]
Notes, amendments, and revision history
Authority
Authority: 5 U.S.C. 501 and 7 U.S.C. 1989.
Source
Source: 76 FR 75430, Dec. 2, 2011, unless otherwise noted.