Minnesota Legislative Update

Minnesota Legislative Update

The Minnesota legislature recently amended its laws governing a certificate of satisfaction of mortgage (a “certificate”) and the release and partial release of mortgage liens, effective March 19, 2013.




The certificate must be executed and acknowledged as required by law in the case of a deed, and, in addition to the prior requirements, must contain substantially all of the following:

·        A statement that the entity or person executing the certificate is the current holder, owner, assignee, or successor of the lender’s interest in the mortgage; and

·        If a partial release, a legal description of the real property being released from the lien of the mortgage.



For purposes of releasing or partially releasing the lien of a mortgage, a certificate that is properly executed and contains the required information is prima facie evidence of the facts contained in it, and operates as a satisfaction or release or partial release of the lien.  The county recorder and the Registrar must rely upon it to satisfy or release or partially release the lien.



The following provisions have been deleted from the laws governing a certificate:



A certificate of satisfaction must be executed and acknowledged as required by law in the case of a deed by a duly authorized officer or duly appointed agent of the assignee, but will not relieve any person of any liability for damages caused by the person’s wrongful or erroneous execution of a certificate of satisfaction.



If a mortgage is recorded in more than one county and a certificate of satisfaction is recorded in one of them, a certified copy of the certificate may be recorded in the other county with the same effect as the original.  In every case, the certificate must be entered and indexed as a satisfaction of the mortgage described in the certificate.