For purposes of determining whether financing is commercial financing, a provider may rely on any statement of intended purpose made by the recipient. The statement may be

1. (1) a separate statement signed by the recipient,
2. (2) contained in the financing application, financing agreement or other document signed or consented to by the recipient, or
3. (3) provided orally by the recipient if such oral statement is documented in the recipient's application file by the provider. Electronic signatures and consents are valid for purposes of this section. A provider shall not be required to ascertain that the proceeds of commercial financing are used in accordance with the recipient's statement of intended purpose.

(P.A. 23-201, S. 2.)

History: P.A. 23-201 effective July 1, 2024.