Texas 2023 - 88th Regular

Texas Senate Bill SB1780 Compare Versions

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1	1	S.B. No. 1780
2	2
3	3
4	4	AN ACT
5	5	relating to online notarizations.
6	6	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
7	7	SECTION 1. Section 406.101, Government Code, is amended by
8	8	adding Subdivisions (1-a), (13), and (14) and amending Subdivision
9	9	(11) to read as follows:
10	10	(1-a) "Document" means a tangible instrument or
11	11	electronic document.
12	12	(11) "Principal" means an individual:
13	13	(A) whose [electronic] signature is notarized in
14	14	an online notarization; or
15	15	(B) taking an oath or affirmation from the online
16	16	notary public but not in the capacity of a witness for the online
17	17	notarization.
18	18	(13) "Sign" means, with the present intent to
19	19	authenticate or adopt a record, to:
20	20	(A) execute or adopt a tangible symbol; or
21	21	(B) execute an electronic signature, as defined
22	22	by Section 322.002, Business & Commerce Code.
23	23	(14) "Signature" means a tangible symbol or electronic
24	24	signature that evidences the signing of a record executed or
25	25	adopted by a person with the intent to sign the document.
26	26	SECTION 2. Section 406.108, Government Code, is amended by
27	27	amending Subsection (a) and adding Subsection (d) to read as
28	28	follows:
29	29	(a) An online notary public shall keep a secure electronic
30	30	record of electronic documents notarized by the online notary
31	31	public. The electronic record must contain for each online
32	32	notarization:
33	33	(1) the date and time of the online notarization;
34	34	(2) the type of notarial act;
35	35	(3) the type, the title, or a description of the
36	36	[electronic] document or proceeding;
37	37	(4) the printed name and address of each principal
38	38	involved in the transaction or proceeding;
39	39	(5) evidence of identity of each principal involved in
40	40	the transaction or proceeding in the form of:
41	41	(A) a statement that the person is personally
42	42	known to the online notary public;
43	43	(B) a notation of the type of identification
44	44	document provided to the online notary public;
45	45	(C) a record of the identity verification made
46	46	under Section 406.110, if applicable; or
47	47	(D) the following:
48	48	(i) the printed name and address of each
49	49	credible witness swearing to or affirming the person's identity;
50	50	and
51	51	(ii) for each credible witness not
52	52	personally known to the online notary public, a description of the
53	53	type of identification documents provided to the online notary
54	54	public;
55	55	(6) a recording of any video and audio conference that
56	56	is the basis for satisfactory evidence of identity and a notation of
57	57	the type of identification presented as evidence; and
58	58	(7) the fee, if any, charged for the notarization.
59	59	(d) For documents that are tangible instruments, an online
60	60	notary public shall keep a record of the documents notarized by the
61	61	online notary public with a tangible symbol. The record for each
62	62	online notarization with a tangible symbol must contain the same
63	63	elements required by Subsection (a) for an electronic record.
64	64	SECTION 3. Section 406.109, Government Code, is amended by
65	65	adding Subsection (f) to read as follows:
66	66	(f) An online notary public shall authenticate all online
67	67	notarizations with the online notary public's:
68	68	(1) electronic seal, if the online notarization was
69	69	performed with respect to an electronic document; or
70	70	(2) seal of office as provided under Section 406.013,
71	71	if the online notarization was performed with respect to a tangible
72	72	document.
73	73	SECTION 4. The heading to Section 406.110, Government Code,
74	74	is amended to read as follows:
75	75	Sec. 406.110. ONLINE NOTARIZATION PROCEDURES GENERALLY.
76	76	SECTION 5. Sections 406.110(b) and (d), Government Code,
77	77	are amended to read as follows:
78	78	(b) In performing an online notarization, an online notary
79	79	public shall verify the identity of a person signing a document
80	80	[creating an electronic signature] at the time of the online
81	81	notarization [that the signature is taken] by using two-way video
82	82	and audio conference technology that meets the requirements of this
83	83	subchapter and rules adopted under this subchapter. Identity shall
84	84	[may] be verified by:
85	85	(1) the online notary public's personal knowledge of
86	86	the person signing a document [creating the electronic signature];
87	87	or
88	88	(2) each of the following:
89	89	(A) remote presentation by the person signing a
90	90	document [creating the electronic signature] of a
91	91	government-issued identification credential, including a passport
92	92	or driver's license, that contains the signature and a photograph
93	93	of the person;
94	94	(B) credential analysis of the credential
95	95	described by Paragraph (A); and
96	96	(C) identity proofing of the person described by
97	97	Paragraph (A).
98	98	(d) The [electronic] notarial certificate for an online
99	99	notarization must include a notation that the notarization is an
100	100	online notarization and must indicate if the signature was a
101	101	tangible symbol or an electronic signature.
102	102	SECTION 6. Subchapter C, Chapter 406, Government Code, is
103	103	amended by adding Sections 406.1103 and 406.1107 to read as
104	104	follows:
105	105	Sec. 406.1103. ONLINE NOTARIZATION PROCEDURES FOR TANGIBLE
106	106	DOCUMENTS. (a) In performing an online notarization in which the
107	107	principal signs with a tangible symbol and not an electronic
108	108	signature, an online notary public shall reasonably confirm that a
109	109	document before the online notary public is the same document in
110	110	which the principal made a statement or on which the principal
111	111	executed a signature.
112	112	(b) An online notary public satisfies the requirement of
113	113	Subsection (a) to take an acknowledgment of a signature on a
114	114	tangible document if:
115	115	(1) during a video and audio recording described by
116	116	Section 406.108(a)(6):
117	117	(A) the acknowledgment is displayed to and
118	118	identified by the principal; and
119	119	(B) the principal signs the document and a
120	120	declaration in substantially the following form that is a part of or
121	121	securely attached to the document:
122	122	"I declare under penalty of perjury that the
123	123	document of which this declaration is a part or to which it is
124	124	attached is the same document on which (name of online notary
125	125	public), an online notary public, performed an online notarization
126	126	and before whom I appeared by means of two-way video and audio
127	127	conference technology on (date).
128	128	________________________
129	129	(Signature of principal)
130	130	________________________
131	131	(Printed name of principal)";
132	132	(2) the principal sends the document and declaration
133	133	to the online notary public not later than the third day after the
134	134	date the online notarization was performed; and
135	135	(3) the online notary public:
136	136	(A) in the video and audio recording under
137	137	Subdivision (1), records the principal signing the document and
138	138	declaration;
139	139	(B) receives the document and declaration sent by
140	140	the principal under Subdivision (2) not later than the 10th day
141	141	after the date the online notarization was performed; and
142	142	(C) after receipt of the document and declaration
143	143	from the principal, executes a notarial certificate that includes a
144	144	statement in substantially the following form:
145	145	"I, (name of online notary public),
146	146	witnessed, by means of video and audio conference technology, (name
147	147	of principal) sign the attached document and declaration on
148	148	(date).".
149	149	(c) An online notarization performed in compliance with
150	150	Subsection (b) complies with any requirement regarding the
151	151	execution of a notarial certificate and is effective on the date the
152	152	principal signed the declaration under Subsection (b)(1)(B).
153	153	(d) A notarial certificate executed in the form described by
154	154	Subsection (b)(3)(C) may be relied on as conclusive evidence of
155	155	compliance with Subsections (b)(2) and (b)(3)(B).
156	156	(e) Subsection (b) does not preclude use of another
157	157	procedure to satisfy Subsection (a) for an online notarization
158	158	performed with respect to a tangible document.
159	159	Sec. 406.1107. ONLINE NOTARIZATION PROCEDURES FOR OATHS OR
160	160	AFFIRMATIONS. An online notary public may administer an oath or
161	161	affirmation to a principal as an online notarization if, except as
162	162	otherwise provided by other law of this state, the online notary
163	163	public:
164	164	(1) identifies the principal under Section
165	165	406.110(b);
166	166	(2) creates or causes the creation under Section
167	167	406.108 of a video and audio recording of the principal taking the
168	168	oath or affirmation; and
169	169	(3) retains or causes the retention under Section
170	170	406.108 of the recording.
171	171	SECTION 7. This Act takes effect January 1, 2024.
172	172	______________________________ ______________________________
173	173	President of the Senate Speaker of the House
174	174	I hereby certify that S.B. No. 1780 passed the Senate on
175	175	May 1, 2023, by the following vote: Yeas 31, Nays 0.
176	176	______________________________
177	177	Secretary of the Senate
178	178	I hereby certify that S.B. No. 1780 passed the House on
179	179	May 12, 2023, by the following vote: Yeas 139, Nays 1, two
180	180	present not voting.
181	181	______________________________
182	182	Chief Clerk of the House
183	183	Approved:
184	184	______________________________
185	185	Date
186	186	______________________________
187	187	Governor