Utah § 7-3-20 - Bank acquiring, holding, or accepting as collateral its own stock.
Full text of Utah Utah Code § 7-3-20 — Bank acquiring, holding, or accepting as collateral its own stock., with citation guidance and answers to common questions.
§ 7-3-20. Bank acquiring, holding, or accepting as collateral its own stock.
7-3-20. Bank acquiring, holding, or accepting as collateral its own stock.
| (1) | A bank may not accept as collateral or acquire its own stock except when the taking of the collateral or acquisition of the stock is necessary to prevent loss upon a debt previously contracted in good faith. |
| (2) | If a bank acquires stock as permitted under Subsection (1), the bank shall sell the stock within 12 months from the date of the bank's acquisition. |
| (3) | The value of all the stock held after acceptance or acquisition may not exceed 10% of the total capital of the bank. |
Amended by Chapter 97, 2014 General Session
Source: official Utah text · Last verified 2026-08-27
Frequently Asked Questions About Utah § 7-3-20
What does Utah Code § 7-3-20 cover?
Section 7-3-20 ("Bank acquiring, holding, or accepting as collateral its own stock.") is part of the Utah Code, the codified statutory law of Utah. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Utah § 7-3-20?
A common citation format is "Utah Code § 7-3-20" (Utah). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Utah law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Utah official source linked on this page or consult a licensed Utah attorney.
How does Utah § 7-3-20 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Utah can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Utah.