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photo, Ron Swafford
DocuTech Corp. here has released two Web-based products this year, ConformX and Lender Advocate, that have this document preparation and delivery company calling itself a compliance company as well. While this may seem out of the ordinary, based on the current plethora of predatory lending laws, the thinking is that a successful doc prep and delivery company will have to adopt some kind of compliance functionality within its product offering to remain competitive.
"Every year as we've gone along more customers want compliance guarantees so they feel like you, as their doc prep vendor, have them covered," said Ron Swafford, chief legal counsel and director of the compliance department for DocuTech. "Many people now consider compliance an art and not a legal science because there are so many ambiguities and contradictions in the law between state, county and federal regulations.
"Lenders know that they have only two options really," he continued. "They either have to have an extensive compliance department of their own, meaning that they have to staff and put in the money to monitor the industry as they go along, which the bigger lenders actually do because lenders are getting pinched continuously for mistakes that they didn't see coming. The other more cost- effective way is to get...