North Carolina 2025-2026 Regular Session

North Carolina Senate Bill S423

Introduced
3/24/25  
Refer
3/25/25  
Refer
3/25/25  
Report Pass
4/29/25  
Refer
4/29/25  
Report Pass
4/30/25  
Engrossed
5/1/25  
Refer
5/6/25  
Refer
5/29/25  
Report Pass
6/17/25  
Refer
6/17/25  
Report Pass
6/18/25  

Caption

Title Fraud Prevention

Impact

If enacted, SB 423 will have a substantial impact on state laws governing real estate transactions. Specifically, it introduces mandatory identification verification by the Register of Deeds when individuals submit documents for property transfers, ensuring that only trusted submitters, such as licensed attorneys or title insurance companies, can operate under less stringent rules. The bill also establishes a new cause of action for 'quiet title' regarding fraudulent conveyances, allowing property owners a method to legally clear their titles affected by such frauds.

Summary

Senate Bill 423, titled 'Title Fraud Prevention', aims to address the growing concerns of fraudulent deeds and conveyances in the real estate sector. The bill proposes significant amendments to existing statutes, particularly increasing penalties for filing fraudulent documents and enhancing the identity verification process for individuals presenting documents for registration. Through the enforcement of identity checks via government-issued photographic IDs, the bill intends to protect property ownership rights and uphold the integrity of public records.

Sentiment

The sentiment surrounding SB 423 appears largely positive among proponents who argue that it will provide much-needed protections against the rise of title fraud. Supporters believe that by instituting stricter verification and clearer guidelines for recording deeds, the bill will instill more confidence in real estate transactions. However, some concerns have been raised regarding the potential bureaucratic implications and the burden this might place on individual property owners and smaller real estate operators.

Contention

Notable points of contention involve the balance between enforcing necessary fraud prevention measures and maintaining accessibility for legitimate property transactions. Critics worry that the increased documentation and identification requirements could deter individuals from filing proper documents, thus complicating legitimate transactions. Additionally, the bill raises discussions about potential legal implications and civil liabilities for the Register of Deeds if errors occur during the registration process, thereby sparking debates about the responsibilities of public officials in enforcing these new rules.

Companion Bills

No companion bills found.

Previously Filed As

NC H966

Expedited Removal of Unauthorized Persons

NC S886

Expedited Removal of Unauthorized Persons

NC S445

Recording of Court-Filed Documents

NC H1070

Property Rights and Protections

NC H289

Gun Violence Prevention Act

NC S210

Gun Violence Prevention Act

NC H596

Hate Crimes Prevention Act

NC S890

Hate Crimes Prevention Act

NC S437

Hate Crimes Prevention Act

NC H626

Cannabis Legalization & Regulation

Similar Bills

NC H535

Title Fraud Prevention Act

NC H431

Preventing Deed Fraud

NC H542

HOA Revisions/Foreclosure Trustee Auctions

FL H1419

Real Property Fraud

GA HB1292

Property; clerks of superior courts obtain photographic identification cards of individuals who present deeds or other instruments for recording; require

GA SB474

Unsolicited Inquiries; notices of solicitation including monetary offers; penalty; provide

NC H360

Homeowner Protection Act

SC H4299

Insurance Savings Program