Equity Control Associates, Ltd. v. Root

TERNUS, Justice.

This case provides our court with its first opportunity to interpret and apply the Iowa Loan Brokers Act, Iowa Code chapter 535C (1995). The district court held that the appellant, Equity Control Associates, Ltd., charged an advance fee to the appellees, David and Rita Root, when it contracted with them to assist in obtaining financing for their turkey operation. Be cause such a fee is prohibited by Iowa Code section 535C.2A, the court rejected Equity Control’s claim to recover its contractual fees and awarded the Roots statutory penalties and attorney fees. Equity Control…