§ 45-10. Substitution of trustees in mortgages and deeds of trust. - North Carolina Statutes

§ 45‑10.  Substitutionof trustees in mortgages and deeds of trust.

(a)        In addition to therights and remedies now provided by law, the holders or owners of a majority inamount of the indebtedness, notes, bonds, or other instruments evidencing apromise or promises to pay money and secured by mortgages, deeds of trust, orother instruments conveying real property, or creating a lien thereon, may, intheir discretion, substitute a trustee whether the trustee then named in theinstrument is the original or a substituted trustee, by the execution of awritten document properly recorded pursuant to Chapter 47 of the North CarolinaGeneral Statutes.

(b)        If the name of atrustee is omitted from an instrument that appears on its face to be intendedto be a deed of trust, the instrument shall be deemed to be a deed of trust,the owner or owners executing the deed of trust and granting an interest in thereal property shall be deemed to be the constructive trustee or trustees ofrecord for the secured party or parties named in the instrument, and asubstitution of trustee may be undertaken under subsection (a) of this section.However, no such constructive trustee shall have the authority or power to takeany of the following actions without the consent and joinder of the holders orowners of a majority in amount of the obligations secured by the deed of trust:(i) effect a substitution of trustee, (ii) effect the satisfaction of the deedof trust, (iii) release any property or any interest therein from the lien of thedeed of trust, or (iv) modify or amend the terms of the deed of trust. Anysubstitute trustee named under the authority of subsection (a) of this sectionshall succeed to all the rights, titles, authority, and duties of the trusteeunder the terms of the deed of trust without regard to the limitations imposedby this subsection on the authority of a constructive trustee.  (1931, c. 78, ss. 1, 2;1935, c. 227; 1943, c. 543; 1967, c. 562, s. 2; 1975, c. 66; 1985, c. 320; c.689, s. 14; 2009‑176, s. 1.)