28-2-709. Illegality of agreement to allow another person to confess judgment, accept service of process, or accept default. (1) A contract in writing by which any promise to pay money is created may not contain any provision either empowering any person to enter judgment by confession against any party to the contract or empowering any person as the agent of any party to the contract to either confess judgment, accept service of process, or consent on behalf of the party to the entry of the party's default in any proceeding in court upon the contract. The described provision in a contract is illegal and void and is unenforceable in the courts of this state against any party to the contract.
(2) The term "contract", as used in this section, includes all writings executed contemporaneously with and constituting a part of the same transaction, whether the writings are negotiable or nonnegotiable in form.
History: En. Sec. 1, Ch. 197, L. 1935; re-en. Sec. 7562.1, R.C.M. 1935; R.C.M. 1947, 13-811; amd. Sec. 783, Ch. 56, L. 2009.
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