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Minnesota Commerce Department grants flexibility to domestic insurers for annual meetings
On March 30, the Minnesota Commerce Department issued Regulatory Guidance 20-13 to domestic insurers regarding annual meetings. The guidance urges insurers to be flexible in rescheduling meetings or allowing alternatives to in-person annual policyholder or shareholder meetings. Temporary amendments to an insurer’s bylaws to adopt statutory provisions that allow more flexibility regarding the scheduling of annual shareholder or policyholder meetings and remote meetings of the board of directors and board committees in response to Covid-19 are deemed approved by the Commerce Department for the duration of the public health emergency. In addition, corporate actions are not rendered invalid by the failure to hold an annual meeting.
Minnesota Commerce Department extends filing deadlines for subdivided land registrants
On March 30, the Minnesota Commerce Department issued Regulatory Guidance 20-12 to subdivided land registrants. The guidance extends the deadline for subdivided land registrants to file annual reports that were due by April 30, 2020, pursuant to Minn. Stat. § 83.30, subdivision 1, to June 30, 2020, and provides instructions for submission of the filing.
Minnesota Commerce Department extends filing deadlines for consumer credit licensees
On March 30, the Minnesota Commerce Department issued Regulatory Guidance 20-09 to consumer credit licensees. The guidance extends the deadlines to file annual reports originally due March 1 or March 15, 2020 to April 30, 2020, for the following consumer credit-related licensees: regulated lenders, motor vehicle sales finance companies, industrial loan and thrift companies, consumer small lenders, insurance premium finance companies, debt settlement services providers, and debt management services providers.
Minnesota Commerce Department provides relief to financial professionals
On March 30, the Minnesota Commerce Department issued Regulatory Guidance 20-08 to provide certain relief to broker-dealers, state registered investment advisers, federal covered investment advisers, and their registered agents or representatives (collectively, “financial professionals”). The guidance provides the following relief:
- Certain financial professionals who are not registered or notice filed with the commissioner and have been displaced from their ordinary business locations are granted a temporary exemption from the registration and filing requirements of certain provisions of the Minnesota Securities Act, provided that certain requirements are met. Qualifying financial professionals may engage in certain enumerated activities without registering or filing with the commissioner.
- Broker-dealers, state registered investment advisors, and federal covered investment advisors are permitted to submit Forms U4 without first obtaining physical signatures from individual agents and representatives, provided that certain requirements are met.
- State registered investment advisors are provided relief from annual update filings and certain document delivery requirements.
Minnesota Commerce Department offers relief to vehicle protection product warrantor registrants
On March 30, pursuant to the Commissioner Order issued on the same day, the Minnesota Commerce Department issued Regulatory Guidance 20-14E to vehicle protection product warrantor registrants. The guidance provides temporary, emergency relief to vehicle protection product warrantors with respect to March and April registration renewals under Minn. Stat. § 59C.04. Renewal deadlines for registered vehicle protection product warrantors whose registration will expire during April or May, are extended up to 45 days from the prescribed due date.
Minnesota Commerce Department offers relief to service contract provider registrants
On March 30, the Minnesota Commerce Department issued Regulatory Guidance 20-14D to service contract provider registrants. The guidance provides temporary, emergency relief with respect to March and April registration renewals related to service contract providers under Minn. Stat. § 59B.03. Renewal deadlines for registered service contract providers whose registration will expire during April or May, are extended up to 45 days from the prescribed due date.
Minnesota Commerce Department waives certain notary requirements
On March 30, pursuant to a Commissioner Order issued on the same day, the Minnesota Commerce Department issued Regulatory Guidance 20-11 regarding notary requirement waivers. In light of the disruption caused by Covid-19, the guidance waives notarization requirements for franchises pursuant to Minn. R. Chapter 2860.9920 and 2860.9930 for new applications, amendments, and annual reports filed through June 30, 2020.
Minnesota Commerce Department offers relief to franchise registrants
On March 30, pursuant to a Commissioner Order issued on the same day, the Minnesota Commerce Department issued Regulatory Guidance 20-10 to franchise registrants. The guidance extends the deadline for franchisors to file annual reports that were due by April 30, pursuant to Minn. Stat. § 80C.08, subd. 1, to June 30. Franchisors are encouraged to submit annual reports through the department’s online e-File system.
Minnesota issues executive order suspending evictions and writs of recovery, requesting moratorium on foreclosures
On March 23, the Minnesota governor issued an executive order suspending evictions and writs of recovery during the Covid-19 pandemic. The order also requests that financial institutions holding home mortgages implement an immediate moratorium on all pending and future foreclosures and related evictions when the foreclosure or foreclosure-related eviction is caused by the Covid-19 pandemic. Financial institutions are also strongly urged not to impose late fees or other penalties for late mortgage payments related to the Covid-19 pandemic. The executive order will remain in effect until the declared emergency is terminated or rescinded.
Minnesota issues executive order providing relief to small businesses during Covid-19
On March 23, the Minnesota governor issued an executive order providing relief to small businesses during the Covid-19 pandemic. The order directs the Department of Employment and Economic Development to develop a forgivable loan program to award grants to nonprofit corporations to fund forgivable loans to small businesses. For a business to participate, it must demonstrate to the lender that it was “directly and adversely affected” by Covid-19. The order provides additional information on the administration and parameters of the loan program, such as reporting requirements for participating lenders and loan forgiveness.