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S.B. 92

             1     

REAL PROPERTY RECORDING AMENDMENTS

             2     
2008 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: Dennis E. Stowell

             5     
House Sponsor: Stephen H. Urquhart

             6     
             7      LONG TITLE
             8      General Description:
             9          This bill addresses the recording of documents concerning real property.
             10      Highlighted Provisions:
             11          This bill:
             12          .    addresses policies and procedures established by a county recorder;
             13          .    requires a county recorder to endorse a document upon acceptance, instead of upon
             14      receipt;
             15          .    addresses a tenancy by the entirety;
             16          .    requires an affidavit concerning a terminated interest in real property due to death to
             17      be accompanied by a government-issued document certifying the death;
             18          .    forbids certain documents from being presented for recording; and
             19          .    makes technical changes.
             20      Monies Appropriated in this Bill:
             21          None
             22      Other Special Clauses:
             23          None
             24      Utah Code Sections Affected:
             25      AMENDS:
             26          17-21-1, as last amended by Laws of Utah 2003, Chapter 211
             27          17-21-12, as last amended by Laws of Utah 2007, Chapter 268


             28          57-1-5, as last amended by Laws of Utah 2006, Chapter 236
             29          57-1-5.1, as last amended by Laws of Utah 2007, Chapter 268
             30          57-3-105, as last amended by Laws of Utah 2007, Chapter 268
             31          57-3-106, as last amended by Laws of Utah 2007, Chapters 268 and 287
             32     
             33      Be it enacted by the Legislature of the state of Utah:
             34          Section 1. Section 17-21-1 is amended to read:
             35           17-21-1. Recorder -- Document custody responsibility -- Electronic submission
             36      procedures and guidelines.
             37          The county recorder:
             38          (1) is custodian of all recorded documents and records required by law to be recorded;
             39          (2) shall establish policies and procedures that the recorder considers necessary to
             40      protect recorded documents and records in the recorder's custody, including determining the
             41      appropriate method for the public to obtain copies of the public record under Section 17-21-19
             42      and supervision of those who search and make copies of the public record; and
             43          (3) may establish procedures and guidelines to govern the electronic submission of
             44      plats, records, and other documents to the county recorder's office consistent with Title 46,
             45      Chapter 4, Uniform Electronic Transactions Act.
             46          Section 2. Section 17-21-12 is amended to read:
             47           17-21-12. Recording procedures -- Endorsements of entry number required on
             48      documents.
             49          (1) [If] When a document is accepted by the recorder's office for recording, the
             50      recorder shall:
             51          (a) endorse upon the first page of the document an entry number and the time when the
             52      document was [received] accepted, noting the year, month, day, hour, and minute of its
             53      reception, and the amount of fees for recording it; and
             54          (b) record the document during office hours in the order it was accepted.
             55          (2) Each county recorder shall place an entry number or a book and page reference on
             56      each page of a document that the recorder accepts for recording only if the original document
             57      or a copy of the document is kept as a public record under Section 17-21-3 .
             58          (3) (a) A county recorder may[, but is not required to,] endorse each document that the


             59      recorder accepts for recording with a book and page reference.
             60          (b) If a county recorder elects not to endorse a document with a book and page
             61      reference, the book and page reference may be omitted:
             62          (i) in each index required by statute; and
             63          (ii) on each document presented for recording that is required to recite recording data.
             64          (4) Subject to Section 17-21-3 , the county recorder shall return the document to the
             65      person that the recorder considers appropriate.
             66          Section 3. Section 57-1-5 is amended to read:
             67           57-1-5. Creation of joint tenancy presumed -- Tenancy in common -- Severance of
             68      joint tenancy -- Tenants by the entirety.
             69          (1) (a) Beginning on May 5, 1997, every ownership interest in real estate granted to
             70      two persons in their own right who are designated as husband and wife in the granting
             71      documents is presumed to be a joint tenancy interest with rights of survivorship, unless
             72      severed, converted, or expressly declared in the grant to be otherwise.
             73          (b) Every ownership interest in real estate that does not qualify for the joint tenancy
             74      presumption as provided in Subsection (1)(a) is presumed to be a tenancy in common interest
             75      unless expressly declared in the grant to be otherwise.
             76          (2) (a) Use of words "joint tenancy" or "with rights of survivorship" or "and to the
             77      survivor of them" or words of similar import means a joint tenancy.
             78          (b) Use of words "tenancy in common" or "with no rights of survivorship" or
             79      "undivided interest" or words of similar import declare a tenancy in common.
             80          (3) A sole owner of real property creates a joint tenancy in himself and another or
             81      others:
             82          (a) by making a transfer to himself and another or others as joint tenants by use of the
             83      words as provided in Subsection (2)(a); or
             84          (b) by conveying to another person or persons an interest in land in which an interest is
             85      retained by the grantor and by declaring the creation of a joint tenancy by use of the words as
             86      provided in Subsection (2)(a).
             87          (4) In all cases, the interest of joint tenants shall be equal and undivided.
             88          (5) (a) Except as provided in Subsection (5)(b), if a joint tenant makes a bona fide
             89      conveyance of the joint tenant's interest in property held in joint tenancy to himself or another,


             90      the joint tenancy is severed and converted into a tenancy in common.
             91          (b) If there is more than one joint tenant remaining after a joint tenant severs a joint
             92      tenancy under Subsection (5)(a), the remaining joint tenants continue to hold their interest in
             93      joint tenancy.
             94          (6) The amendments to this section in Chapter 124, Laws of Utah 1997 have no
             95      retrospective operation and shall govern instruments executed and recorded on or after May 5,
             96      1997.
             97          (7) Tenants by the entirety are considered to be joint tenants.
             98          Section 4. Section 57-1-5.1 is amended to read:
             99           57-1-5.1. Termination of an interest in real estate -- Affidavit.
             100          (1) Joint tenancy, tenancy by the entirety, life estate, or determinable or conditional
             101      interest in real estate may be terminated by an affidavit that:
             102          (a) meets the requirements of Subsection (2); and
             103          (b) is recorded in the office of the recorder of the county in which the affected property
             104      is located.
             105          (2) Each affidavit required by Subsection (1) shall:
             106          (a) cite the interest [which] that is being terminated;
             107          (b) contain a legal description of the real property that is affected;
             108          (c) reference the entry number and the book and page of the instrument creating the
             109      interest to be terminated; and
             110          (d) if the termination is the result of a death, have attached as an exhibit, a copy of the
             111      death certificate or other document [witnessing] issued by a governmental agency certifying the
             112      death.
             113          (3) The affidavit required by Subsection (1) may be in substantially the following form:
             114                              "Affidavit
             115      State of Utah )
             116      ) ss
             117      County of ___________)
             118          I, (name of affiant), being of legal age and being first duly sworn, depose and state as
             119      follows:
             120          (The name of the deceased person), the decedent in the attached certificate of death or


             121      other document witnessing death is the same person as (the name of the deceased person)
             122      named as a party in the document dated (date of document) as entry _______ in book _______,
             123      page _______ in the records of the (name of county) County Recorder.
             124          This affidavit is given to terminate the decedent's interest in the following described
             125      property located in ___________________ County, State of Utah: (description of the
             126      property).
             127          Dated this ______ day of ___________________, ________.
             128                              _____________________________________
             129                              (Signature of affiant)
             130          Subscribed to and sworn before me this _______ day of _______________,
             131      _________.
             132                              ____________________________________
             133                              Notary public"
             134          Section 5. Section 57-3-105 is amended to read:
             135           57-3-105. Legal description of real property and names and addresses required in
             136      documents.
             137          (1) Except as otherwise provided by statute, a person may not present a document for
             138      recording unless [it] the document complies with [the requirements of] this section.
             139          (2) A document executed after July 1, 1983, [is entitled to] may be recorded in the
             140      office of the recorder of the county in which the property described in the document is located
             141      only if the document contains a legal description of the real property [affected].
             142          (3) (a) A document conveying title to real property presented for recording after July 1,
             143      1981, [is entitled to] may be recorded in the office of the recorder of the county in which the
             144      property described in the document is located only if the document contains the names and
             145      mailing addresses of the grantees in addition to the legal description required under Subsection
             146      (2).
             147          (b) The address of the management committee may be used as the mailing address of a
             148      grantee as required in Subsection (3)(a) if the interest conveyed is a timeshare interest as
             149      defined by Section 57-19-2 .
             150          (4) A person may not present and a county recorder may refuse to accept a document
             151      for recording if the document does not conform to [the requirements of] this section.


             152          (5) Notwithstanding Subsections (2), (3), and (4), a master form, as defined in Section
             153      57-3-201 , that does not meet the requirements of Subsections (2) and (3) is entitled to be
             154      recorded in the office of the recorder of the county in which the property described in the
             155      master form is located if it complies with Part 2, Master Mortgage and Trust Deeds.
             156          Section 6. Section 57-3-106 is amended to read:
             157           57-3-106. Original documents required -- Captions -- Legibility.
             158          (1) A person may not present and a county recorder may refuse to accept a document
             159      for recording if the document does not comply with this section.
             160          [(1)] (2) (a) Unless otherwise provided, [documents] a document presented for
             161      recording in the office of the county recorder shall:
             162          (i) be [originals] an original;
             163          (ii) contain a brief caption on the first page of the document stating the nature of the
             164      document; and
             165          (iii) contain a legal description of the property as required under Section 57-3-105 .
             166          (b) If a document is a master form, as defined in Section 57-3-201 , the caption required
             167      by Subsection [(1)] (2)(a)(ii) shall state that the document is a master form.
             168          [(2)] (3) A court judgment or an abstract of a court judgment presented for recording in
             169      the office of the county recorder in compliance with Section 78-22-1 shall:
             170          (a) be an original or certified copy; and
             171          (b) include the information identifying the judgment debtor as referred to in Subsection
             172      78-22-1.5 (4) either:
             173          (i) in the judgment or abstract of judgment; or
             174          (ii) as a separate information statement of the judgment creditor as referred to in
             175      Subsection 78-22-1.5 (5).
             176          [(3) Judgments, abstracts of judgments, and separate information statements]
             177          (4) A judgment, abstract of judgment, and separate information statement of the
             178      judgment creditor [do] does not require an acknowledgment or a legal description to be
             179      recorded.
             180          [(4)] (5) A foreign judgment or an abstract of a foreign judgment recorded in the office
             181      of a county recorder shall include the affidavit as required in Section 78-22a-3 .
             182          [(5)] (6) Any document recorded in the office of the county recorder to release or


             183      assign a judgment lien shall include:
             184          (a) the name of any judgment creditor, debtor, assignor, or assignee;
             185          (b) the date of recording; and
             186          (c) the entry number of the instrument creating the judgment lien.
             187          [(6) Documents] (7) A document presented for recording shall [also] be sufficiently
             188      legible for the recorder to make certified copies of the document.
             189          [(7)] (8) (a) (i) A document that is of record in the office of the appropriate county
             190      recorder in compliance with this chapter may not be recorded again in that same county
             191      recorder's office unless the original document has been reexecuted by all parties who executed
             192      the document.
             193          (ii) Unless exempt by statute, an original [documents] document that [are] is
             194      reexecuted [must also] shall contain the appropriate acknowledgment, proof of execution, jurat,
             195      or other notarial certification for all parties who are reexecuting the document as required by
             196      Title 46, Chapter 1, Notaries Public Reform Act, and Title 57, Chapter 2, Acknowledgments.
             197          (iii) [Documents] A document submitted for rerecording shall contain a brief statement
             198      explaining the reason for rerecording.
             199          (b) A person may not present and a county recorder may refuse to accept a document
             200      for rerecording if that document does not conform to [the requirements of] this section.
             201          (c) This Subsection [(7)] (8) applies only to documents executed after July 1, 1998.
             202          [(8)] (9) Minor typographical or clerical errors in a document of record may be
             203      corrected by the recording of an affidavit or other appropriate instrument.
             204          [(9)] (10) Subject to federal bankruptcy law, neither the recordation of an affidavit
             205      under Subsection [(8)] (9) nor the reexecution and rerecording of a document under Subsection
             206      [(7) shall] (8):
             207          (a) [divest] divests a grantee of any real property interest; [or]
             208          (b) [alter] alters an interest in real property; or [return]
             209          (c) returns to the grantor an interest in real property conveyed by statute.





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    as of 1-14-08 2:02 PM


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