Lightning Docs 11.19.25

We have issued an update to the system that modified the following:

• Updated Non-Dutch Options:
  Prior to the update, the only option for non-Dutch accrual of interest was tied to the Construction Reserve. We have added a question in the interview to allow a user to elect to apply non-Dutch interest to all of a transaction’s reserves. If this new option is selected, the changes occur in the following areas:
  1. Per Diem and Payment Calculations identified in the Closing Instructions, Key Provisions Summary, Note, and First Payment Letter will now use Loan Amount less aggregate amount of all reserves.
  2. Any provision in the Loan Agreement that provides that reserves will accrue interest from the close of the loan will include qualifying language to allow for non-Dutch interest.
  3. The Note provides that interest will accrue on the “unpaid principal balance” rather than “the entire Loan Amount.”
  4. The following sentence is added to the “Interest” section of the Note: “Notwithstanding the above, interest on the proceeds disbursed from the Lender Retained Funds (as defined in the Loan Agreement) shall begin to accrue upon the date the proceeds have actually been advanced to Borrower.”
  5. The “Payments” section of the Note now refers to an “initial” payment and adds the following sentence: “The payment is calculated based on the principal advanced at loan closing and shall increase based on amounts advanced.”
  6. The “Payments” described in the Key Provisions Summary now provides that the amount will increase as funds are advanced.

In order to access this question in your Lightning Docs account, it must first be enabled via our Permissions page in a loan Scenario. Once enabled, you will see the new question on the Standard Loan Terms page of the interview. If you need assistance accessing this feature, please reach out to support@lightningdocs.ai.

• Updated Partial Release Language: We updated our Partial Release provisions in Lightning Docs to improve how the release provisions appear in the Loan Agreement. The biggest change is that the provisions covering transactions where a table of release prices is needed and where “net proceeds” are requested are more consistent between the two options.
• Georgia Foreclosure Disclosure: We added a new Georgia Foreclosure Disclosure that will appear in the loan documents if the following conditions are present: (a) Borrower is a natural person, and (b) the Borrower’s primary residence is located in Georgia and is securing the loan.