8-113 Unauthorized use of word bank or its derivatives; penalty. - Nebraska Statutes

8-113. Unauthorized use of word bank or itsderivatives; penalty.(1) No individual, firm, company, corporation,or association doing business in the State of Nebraska, unless organized asa bank under the Nebraska Banking Act or the authority of the federal government,or as a building and loan association, savings and loan association, or savingsbank under Chapter 8, article 3, or the authority of the federal government,shall use the word bank or any derivative thereof as any part of a title ordescription of any business activity.(2) This section does not apply to:(a) Banks,building and loan associations, savings and loan associations, or savingsbanks chartered and supervised by a foreign state agency;(b) Bank holding companies registered pursuant tosection 8-913 if the term holding company is also used as any part of thetitle or description of any business activity or if the derivative banc isused;(c) Affiliates or subsidiaries of (i) a bank organizedunder the Nebraska Banking Act or the authority of the federal governmentor chartered and supervised by a foreign state agency, (ii) a building andloan association, savings and loan association, or savings bank organizedunder Chapter 8, article 3, or the authority of the federal government orchartered and supervised by a foreign state agency, or (iii) a bank holdingcompany registered pursuant to section 8-913 if the term holding company isalso used as any part of the title or description of any business activityor if the derivative banc is used;(d) Organizations substantially owned by (i) a bankorganized under the Nebraska Banking Act or the authority of the federal governmentor chartered and supervised by a foreign state agency, (ii) a building andloan association, savings and loan association, or savings bank organizedunder Chapter 8, article 3, or the authority of the federal government orchartered and supervised by a foreign state agency, (iii) a bank holding companyregistered pursuant to section 8-913 if the term holding company is also usedas any part of the title or description of any business activity or if thederivative banc is used, or (iv) any combination of entities listed in subdivisions(i) through (iii) of this subdivision;(e) Mortgage bankers licensed or registered underthe Residential Mortgage Licensing Act, if the word mortgage immediately precedesthe word bank or its derivative;(f) Organizations which are described in section501(c)(3) of the Internal Revenue Code as defined in section 49-801.01, which are exempt from taxation under section 501(a)of the code, and which arenot providing or arranging for financial services subject to the authorityof the department, a foreign state agency, or the federal government;(g) Trade associations which are exempt from taxationunder section 501(c)(6) of the code and whichrepresent a segment of the banking or savings and loan industries, and anyaffiliate or subsidiary thereof;(h) Firms, companies, corporations, or associationswhich sponsor incentive-based solid waste recycling programs that issuereward points or credits to persons for their participation therein; and(i) Such other firms, companies, corporations, orassociations as have been in existence and doing business prior to December1, 1975, under a name composed in part of the word bank or some derivativethereof.(3) This section doesnot apply to an individual, firm, company, corporation, or association doingbusiness in Nebraska which uses the word bank or any derivative thereof asany part of a title or description of any business activity if such use isunlikely to mislead or confuse the public or give the impression that suchindividual, firm, company, corporation, or association is lawfully organizedand operating as a bank under the Nebraska Banking Act or the authority ofthe federal government, or as a building and loan association, savings andloan association, or savings bank under Chapter 8, article 3, or the authorityof the federal government.(4) Anyviolation of this section shall be a Class V misdemeanor. SourceLaws 1921, c. 297, § 1, p. 949; Laws 1921, c. 313, § 1, p. 1000; C.S.1922, § 7985; Laws 1929, c. 37, § 1, p. 155; C.S.1929, § 8-116; Laws 1933, c. 18, § 12, p. 141; C.S.Supp.,1941, § 8-116; R.S.1943, § 8-113; Laws 1963, c. 29, § 13, p. 139; Laws 1977, LB 40, § 38; Laws 1987, LB 2, § 2; Laws 1998, LB 1321, § 2; Laws 2004, LB 999, § 1; Laws 2005, LB 533, § 1; Laws 2007, LB124, § 2; Laws 2009, LB32, § 1; Laws 2009, LB328, § 1; Laws 2010, LB762, § 1.Effective Date: March 4, 2010 Cross ReferencesResidential Mortgage Licensing Act, see section 45-701.