§507D-4  Contesting validity of recorded instruments; injunctions.  (a)  Any party in interest in real or personal property which is subject to a claim of nonconsensual common law lien, who believes the claim of lien is invalid, may file a petition in the appropriate circuit court to contest the validity of that purported lien and to enjoin the lien claimant from making further filings with the registrar.  The petition shall state the grounds upon which relief is requested, and shall be supported by the affidavit of the petitioner or the petitioner's attorney setting forth a concise statement of the facts upon which the petition is based.  The procedure for obtaining injunctions and temporary restraining orders shall apply in cases brought under this section or section 507D-7(b).

     (b)  A debtor who believes the filing of a financing statement was unauthorized, may file a request with the registrar to determine the validity of the filing.  Each such request shall identify the financing statement by document number and the requester shall be assessed a reasonable processing fee determined by the registrar.  Upon the receipt of the request, the registrar shall send a demand to the secured party by certified or registered mail, at the address set forth on the financing statement, that the secured party provide a copy of the security agreement which purportedly authorized the filing of the financing statement to the registrar no later than thirty days following the postmarked date of the registrar's notice.  If the registrar does not receive the security agreement within the thirty-day period, the registrar shall issue to the debtor and accept for filing, a notice of unauthorized filing of financing statement.  The filing of a notice of unauthorized filing of financing statement shall effectively terminate the unauthorized financing statement.

     (c)  Subsections (a) and (b) shall not apply to any instrument that is recorded by the United States, the State, or any county. [L 1996, c 24, pt of §1; am L 1997, c 284, §3; am L 2002, c 145, §4]