An Act
ENROLLED HOUSE
BILL NO. 2501 By: Culver and Frix of the
House
and
Bullard of the Senate
An Act relating to abstracting; amending 1 O.S. 2011,
Sections 21 and 43, as amended by Section 1, Chapter
148, O.S.L. 2017 (1 O.S. Supp. 2020, Section 43),
which relate to the Oklahoma Abstractors Act; adding
definition; modifying retention and release of
abstract; and providing an effective date .
SUBJECT: Abstracting
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 1 O.S. 2011, Section 21, is
amended to read as follows:
Section 21. As used in the Oklahoma Abstractors Act:
1. "Abstract of title" is a compilation in orderly arrangement
of the materials and facts of record, in the office of the cou nty
clerk and court clerk, affecting the title to a specific tract of
land issued pursuant to a certificate certifying to the matters
therein contained;
2. "Abstract plant" shall consist of a set of records in which
an entry has been made of all document s or matters which legally
impart constructive notice of matters affecting title to real
property, any interest therein or encumbrances thereon, which are
filed, recorded and currently available for reproduction in the
offices of the county clerk and the c ourt clerk in the county for
which such abstract plant is maintained. Such records shall consist
of: ENR. H. B. NO. 2501 Page 2
a. an index in which notations of or references to any
documents that describe the property affected are
included, according to the property described or in
which copies or briefs of all such documents that
describe the property affected are sorted and filed
according to the property described, which is compiled
from the instruments of record affecting real property
in the county offices and not copied or reproduced
from any county index ;, and
b. an index or files in which all other documents,
pending suits affecting real property and liens,
except ad valorem taxes and special assessments, are
posted, entered, or otherwise included, according to
the name of the parties whose title to real property
or any interest therein or encumbrances thereon is
affected, which is compiled from the instruments of
record affecting real property in the county offices
and not copied from any county index;
3. "Abstract license" is the authorization for a person working
for a holder of a certificate of authority to search and remove from
county offices county records, summarize or compile copies of such
records, and issue the abstract of title;
4. "Act" or "Oklahoma Abstractors Law" means the Oklahoma
Abstractors Act;
5. "Board" means the Oklahoma Abstractors Board;
6. "Certificate of authority " is the authorization to engage in
the business of abstracting in a county in this state, granted to a
person, firm, corporation , or other entity, by the Oklahoma
Abstractors Board;
7. "Permit" is the authorization to build an abstract plant in
a specific county; and
8. "State Auditor and Inspector ", for the purposes of the
Oklahoma Abstractors Act, means the Oklahoma Abstracto rs Board; and
9. "Authorized agent" or "representative" of a current owner or
insured means a real estate broker, real estate agent, lender,
attorney, title insurer, title insurance agent, escrow agent, or ENR. H. B. NO. 2501 Page 3
other duly appointed agent of the current owner or insured under a
policy of title insurance authorized to act on behalf of such
current owner or insured in a current transaction .
SECTION 2. AMENDATORY 1 O.S. 2011, Section 43, as
amended by Section 1, Chapter 148, O.S.L. 2017 (1 O.S. Supp. 2020,
Section 43), is amended to read as follows:
Section 43. A purchaser of real property shall have the
opportunity to retain possession of the abstract for the property
being purchased. The purchaser shall be notified about the option
to retain possession at the scheduled closing; however, if a
contractual obligation to a mortgage company requires retention of
the abstract by that mortgage company, then the purchaser shall have
an opportunity to take possession of the abstract upon compl ete
performance of the contractual obligations. If a duly licensed
abstract company is holding or storing the abstract, upon written
request from the owner or another party the authorized agent of the
owner, pursuant to a current transaction, the licensed abstractor
shall release the abstract without unnecessary delay. All licensed
abstractors and certificate of authority holders who refuse to do so
shall be subject to the following:
1. A civil penalty to the requesting party of not less than One
Hundred Dollars ($100.00) and not more than One Thousand Dollars
($1,000.00) for each occurrence;
2. Liability in any action for damages, loss or injury suffered
or incurred by any person by reason of failure to deliver the
abstract pursuant to the provisions of this section. Any civil
judgment rendered pursuant to this paragraph may be enforced in the
same manner in which other civil judgments may be enforced; and
3. Any administrative penalties and fines enforced by the
Oklahoma Abstractors Board.
SECTION 3. This act shall become effective November 1, 2021.
ENR. H. B. NO. 2501 Page 4
Passed the House of Representatives the 8th day of March, 2021.
Presiding Officer of the House
of Representatives
Passed the Senate the 21st day of April, 2021.
Presiding Officer of the Senate
OFFICE OF THE GOVERNOR
Received by the Office of the Governor this ____________________
day of ___________________, 20_______, at _______ o'clock _______ M.
By: _________________________________
Approved by the Governor of the S tate of Oklahoma this _________
day of ___________________, 20_______, at _______ o'clock _______ M.
_________________________________
Governor of the State of Oklahoma
OFFICE OF THE SECRETARY OF STATE
Received by the Office of the Secretary of State this __________
day of ___________________, 20_______, at _______ o'clock _______ M.
By: _________________________________