SB 1394
Initials PRB Page 1 House Engrossed
ARIZONA HOUSE OF REPRESENTATIVES
Fifty-fifth Legislature
Second Regular Session
Senate: FIN DP 9-0-1-0 | 3
rd
Read DP 29-0-1-0
House: COM DP 9-0-0-1
SB 1394: DIFI; business name; trade name
Sponsor: Senator Livingston, LD 22
House Engrossed
Overview
Provides requirements for certain licensees under the jurisdiction of the Arizona Department of
Insurance and Financial Institutions (DIFI) using an assumed or trade name.
History
DIFI regulates the insurance industry as well as financial institutions and enterprises by issuing
licenses, conducting examinations and investigating complaints.
Licensed mortgage brokers, mortgage bankers and loan originators are required to use the name
and license number as issued on the business license, except that certain licensees may employ
or refer to the commonly used name and any trademarks or service marks of any affiliate, when
advertising for or soliciting business in any manner. (A.R.S. §§ 6-903, 6-943, 6-991.02).
Provisions
1. Stipulates an enterprise or a consumer lender is not required to obtain a separate license
when doing business under an assumed name or trade name provided a written notification
is submitted to DIFI prior to using the assumed name or trade name. (Sec .1)
2. Prohibits the use of an assumed name or trade name that:
a) is so substantially similar to another licensee's name that it may cause uncertainty or
confusion; or
b) tends to deceive or mislead the public as to the nature of business that the licensee
conducts. (Sec. 1)
3. Prohibits a loan originator, real estate appraiser or property tax agent from using an assumed
name or trade name. (Sec. 1)
4. Directs a person to notify DIFI within 15 days after any material change to the information sent
to DIFI regarding the used assume name or trade name. (Sec. 1)
5. Requires the license name or other assumed name or trade name to be contained in a debt
management company's advertising, communication and sales materials. (Sec. 3)
6. Permits a licensed mortgage broker, mortgage banker or commercial mortgage banker to
advertise or solicit mortgage business using an assumed name or trade name that has been
submitted to DIFI. (Sec. 4, 5, 6)
7. Removes the authorization for certain licensees to employ or refer to the commonly used
name and any trademarks or service marks of any affiliate. (Sec. 4, 5)
☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note SB 1394
Initials PRB Page 2 House Engrossed
8. Clarifies a loan originator cannot advertise for or solicit mortgage business in any manner
without the employer's name, or other assumed name or trade name, and the employer's
license number. (Sec. 7)
9. Requires a sales finance company licensee, when transacting business, to use the license
name or other assumed name or trade name that was submitted to DIFI. (Sec. 8)
10. Makes technical and conforming changes. (Sec. 2, 4, 5, 6, 8)