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S.B. 88

             1     

UNIFORM REAL PROPERTY ELECTRONIC

             2     
RECORDING

             3     
2007 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Chief Sponsor: Lyle W. Hillyard

             6     
House Sponsor: ____________

             7     
             8      LONG TITLE
             9      General Description:
             10          This bill adopts the Uniform Real Property Electronic Recording Act.
             11      Highlighted Provisions:
             12          This bill:
             13          .    defines terms;
             14          .    provides for the validity and recording of electronic documents; and
             15          .    creates the Electronic Recording Commission to adopt standards for recording
             16      electronic documents.
             17      Monies Appropriated in this Bill:
             18          None
             19      Other Special Clauses:
             20          This bill provides an effective date.
             21      Utah Code Sections Affected:
             22      ENACTS:
             23          57-3a-101, Utah Code Annotated 1953
             24          57-3a-102, Utah Code Annotated 1953
             25          57-3a-201, Utah Code Annotated 1953
             26          57-3a-202, Utah Code Annotated 1953
             27          57-3a-301, Utah Code Annotated 1953



             28          57-3a-401, Utah Code Annotated 1953
             29          57-3a-402, Utah Code Annotated 1953
             30     
             31      Be it enacted by the Legislature of the state of Utah:
             32          Section 1. Section 57-3a-101 is enacted to read:
             33     
CHAPTER 3a. UNIFORM REAL PROPERTY ELECTRONIC RECORDING ACT

             34     
Part 1. General Provisions

             35          57-3a-101. Title.
             36          This chapter is known as the "Uniform Real Property Electronic Recording Act."
             37          Section 2. Section 57-3a-102 is enacted to read:
             38          57-3a-102. Definitions.
             39          As used in this chapter:
             40          (1) "Document" means information that is:
             41          (a) inscribed on a tangible medium or that is stored in an electronic or other medium
             42      and is retrievable in perceivable form; and
             43          (b) eligible to be recorded in the land records maintained by the county recorder.
             44          (2) "Electronic" means relating to technology having electrical, digital, magnetic,
             45      wireless, optical, electromagnetic, or similar capabilities.
             46          (3) "Electronic document" means a document that is received by the county recorder in
             47      an electronic form.
             48          (4) "Electronic signature" means an electronic sound, symbol, or process attached to or
             49      logically associated with a document and executed or adopted by a person with the intent to
             50      sign the document.
             51          (5) "Person" means an individual, corporation, business trust, estate, trust, partnership,
             52      limited liability company, association, joint venture, public corporation, government, or
             53      governmental subdivision, agency, or instrumentality, or any other legal or commercial entity.
             54          (6) "State" means a state of the United States, the District of Columbia, Puerto Rico,
             55      the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction
             56      of the United States.
             57          Section 3. Section 57-3a-201 is enacted to read:
             58     
Part 2. Electronic Documents


             59          57-3a-201. Validity of electronic documents.
             60          (1) If a law requires, as a condition for recording, that a document be an original, be on
             61      paper or another tangible medium, or be in writing, the requirement is satisfied by an electronic
             62      document satisfying this chapter.
             63          (2) If a law requires, as a condition for recording, that a document be signed, the
             64      requirement is satisfied by an electronic signature.
             65          (3) (a) A requirement that a document or a signature associated with a document be
             66      notarized, acknowledged, verified, witnessed, or made under oath is satisfied if the electronic
             67      signature of the person authorized to perform that act, and all other information required to be
             68      included, is attached to or logically associated with the document or signature.
             69          (b) A physical or electronic image of a stamp, impression, or seal need not accompany
             70      an electronic signature.
             71          Section 4. Section 57-3a-202 is enacted to read:
             72          57-3a-202. Recording of documents.
             73          (1) In this section, "paper document" means a document that is received by the county
             74      recorder in a form that is not electronic.
             75          (2) A county recorder:
             76          (a) who implements any of the functions listed in this section shall do so in compliance
             77      with standards established by the Electronic Recording Commission;
             78          (b) may receive, index, store, archive, and transmit electronic documents;
             79          (c) may provide for access to, and for search and retrieval of, documents and
             80      information by electronic means;
             81          (d) who accepts electronic documents for recording shall continue to accept paper
             82      documents as authorized by state law and shall place entries for both types of documents in the
             83      same index;
             84          (e) may convert paper documents accepted for recording into electronic form;
             85          (f) may convert into electronic form information recorded before the county recorder
             86      began to record electronic documents;
             87          (g) may accept electronically any fee that the county recorder is authorized to collect;
             88      and
             89          (h) may agree with other officials of a state or a political subdivision thereof, or of the


             90      United States, on procedures or processes to facilitate the electronic satisfaction of prior
             91      approvals and conditions precedent to recording and the electronic payment of fees.
             92          Section 5. Section 57-3a-301 is enacted to read:
             93     
Part 3. Electronic Recording Commission

             94          57-3a-301. Administration and standards.
             95          (1) (a) An Electronic Recording Commission consisting of five members appointed by
             96      the governor is created to adopt standards to implement this chapter.
             97          (b) The members of the commission shall be county recorders.
             98          (2) To keep the standards and practices of county recorders in this state in harmony
             99      with the standards and practices of recording offices in other jurisdictions that enact
             100      substantially the Uniform Real Property Electronic Recording Act and to keep the technology
             101      used by county recorders in this state compatible with technology used by recording offices in
             102      other jurisdictions that enact substantially the Uniform Real Property Electronic Recording Act,
             103      the Electronic Recording Commission, so far as is consistent with the purposes, policies, and
             104      provisions of this chapter, in adopting, amending, and repealing standards shall consider:
             105          (a) standards and practices of other jurisdictions;
             106          (b) the most recent standards promulgated by national standard-setting bodies, such as
             107      the Property Records Industry Association;
             108          (c) the views of interested persons and governmental officials and entities;
             109          (d) the needs of counties of varying size, population, and resources; and
             110          (e) standards requiring adequate information security protection to ensure that
             111      electronic documents are accurate, authentic, adequately preserved, and resistant to tampering.
             112          (3) The commission may report to the Legislature's Business and Labor Interim
             113      Committee with any suggestions for legislation by November 30, 2007.
             114          Section 6. Section 57-3a-401 is enacted to read:
             115     
Part 4. Application of the Uniform Real Property Electronic Recording Act

             116          57-3a-401. Uniformity of application and construction.
             117          In applying and construing this chapter, consideration must be given to the need to
             118      promote uniformity of the law with respect to its subject matter among states that enact the
             119      Uniform Real Property Electronic Recording Act.
             120          Section 7. Section 57-3a-402 is enacted to read:


             121          57-3a-402. Relation to Electronic Signatures in Global and National Commerce
             122      Act.
             123          This chapter modifies, limits, and supersedes the federal Electronic Signatures in
             124      Global and National Commerce Act (15 U.S.C. Section 7001, et seq.) but does not modify,
             125      limit, or supersede Section 101(c) of that act (15 U.S.C. Section 7001(c)) or authorize
             126      electronic delivery of any of the notices described in Section 103(b) of that act (15 U.S.C.
             127      Section 7003(b)).
             128          Section 8. Effective date.
             129          This bill takes effect on May 5, 2008, except for Section 57-3a-301, which takes effect
             130      on May 1, 2007.




Legislative Review Note
    as of 11-27-06 1:05 PM


Office of Legislative Research and General Counsel


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