Termination Statement

(1)Whenever there is no outstanding secured obligation and no commitment to make advances, incur obligations or otherwise give value, the secured party of record must on written demand by the debtor send the debtor a statement that he no longer claims a security interest under the financing statement, which shall be identified by date, names of parties thereto and file number. If the affected secured party of record fails to send such a termination statement within 10 days after proper demand therefor he shall be liable to the debtor for all actual damages suffered by the debtor by reason of such failure, and if the failure is in bad faith for a penalty of one hundred dollars ($100).

(2)The filing officer shall mark each such termination statement with the date and time of filing and shall index the same under the name of the debtor and under the file number of the original financing statement. If the filing officer has a microfilm or other photographic record of the financing statement and related filings, he may remove the originals from the files at any time after receipt of the termination statement and destroy them, or if he has no such record, he may remove them from his files at any time after one year after receipt of the termination statement and destroy them.

(3)The uniform fee for filing, indexing and furnishing filing data (subdivision 1 of §9407) for a termination statement, shall be Ten Dollars ($10.00).