Chapter 29 - § 29.8 • CRIMES RELATING TO EQUITY PURCHASERS

• Jurisdiction: Colorado

§ 29.8 • CRIMES RELATING TO EQUITY PURCHASERS⁴³

An equity purchaser who fails, within ten days following receipt of a notice of cancellation, to return without condition the original contract and any other documents signed by the homeowner is guilty of a misdemeanor and subject to imprisonment in county jail for up to one year, a fine of up to $25,000, or both.⁴⁴

An equity purchaser who, until the time within which a home owner may cancel the transaction has fully elapsed:

• Accepts from a home owner an execution of, or induces a home owner to execute, an instrument of conveyance of any interest in the residence in foreclosure;
• Records with the county recorder any document, including but not limited to the contract or any lease, lien, or instrument of conveyance that has been signed by the home owner;
• Transfers or encumbers or purports to transfer or encumber an interest in the residence in foreclosure to a third party; or
• Pays the home owner any consideration

is guilty of a misdemeanor, and is subject to imprisonment in county jail for up to one year, a fine of up to $25,000, or both.⁴⁵

An equity purchaser who intentionally makes any untrue or misleading statement of material fact regarding the value of the residence in foreclosure, the amount of proceeds the home owner will receive after a foreclosure sale, any contract term, the home owner's rights or obligations incident to or arising out of the sale transaction, the nature of any document that the equity purchaser induces the homeowner to sign, or any other untrue or misleading statement concerning the...