<html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><title></title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s557fcac3-738f-4d59-acbf-7e73dd45fceeP0 { margin-top: 0; margin-bottom: 0; margin-left: 0; margin-right: 0; text-indent: 0.00in; text-align: justify; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; } span.s557fcac3-738f-4d59-acbf-7e73dd45fceeC0 { color: black; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000000 { color: #0000FF; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000001 { color: black; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s557fcac3-738f-4d59-acbf-7e73dd45fcee000002 { color: black; background: white; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000003 { color: #0000FF; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">    </span><a href="https://sdlegislature.gov/Rules?Rule=68:02:01:47"><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000000">68:02:01:47</span></a><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000001">.  Additional notification requirements.</span><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0"> The borrower shall provide </span><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">written notice to </span><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">the board </span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">with ten</span><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0"> business days of any</span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">:</span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fcee000002"> </span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">    (1)  C</span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">hange in top level management of the borrower's business</span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">;</span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fcee000002"> </span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">    (2)  Change in ownership of ten percent or more of the business's stock, membership interests, or ownership interests; or</span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fcee000002"> </span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">    (3)  P</span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">lans for sale, public offering, or lease of the business.</span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fcee000002"> </span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">    The</span><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0"> sale, public offering, or lease of the business requires prior written approval of the board. If the notification and prior approval requirements of this section are not satisfied, the board may call the loan immediately due and payable.</span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fcee000002"> </span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">    </span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000001">Source:</span><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0"> 34 SDR 68, effective September 13, 2007</span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">; 52 SDR 49, effective November 17, 2025</span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">.</span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">    </span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000001">General Authority:</span><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0"> SDCL </span><a href="https://sdlegislature.gov/Statutes?Statute=1-16G-5"><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000003">1-16G-5</span></a><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">, </span><a href="https://sdlegislature.gov/Statutes?Statute=1-16G-8"><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000003">1-16G-8</span></a><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">(5).</span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">    </span><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000001">Law Implemented:</span><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0"> SDCL </span><a href="https://sdlegislature.gov/Statutes?Statute=1-16G-5"><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0-000003">1-16G-5</span></a><span class="s557fcac3-738f-4d59-acbf-7e73dd45fceeC0">.</span></p><p dir="ltr" class="s557fcac3-738f-4d59-acbf-7e73dd45fceeP0"><span xml:space="preserve" class="s557fcac3-738f-4d59-acbf-7e73dd45fcee000002"> </span></p></div></body></html>