Wisconsin 2023-2024 Regular Session

Wisconsin Assembly Bill AB1099 Compare Versions

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1		-	Date of enactment:
2		-	2023 Assembly Bill 1099 Date of publication*:
3		-	2023 WISCONSIN ACT
4		-	AN ACT to repeal 422.402 and 422.421 (8); to renumber and amend 140.17; to amend 140.02 (1) (e), 140.02 (2)
5		-	(a), 140.02 (3), 140.02 (4) (b), 140.02 (6) (a), 428.202 (2) (d) 1. and 551.406 (3) (a) 2.; and to create 140.17 (2m)
6		-	and (3) of the statutes; relating to: updating an obsolete reference to the National Association of Securities Dealers,
7		-	Inc.; eliminating an obsolete provision in the Wisconsin Consumer Act; updating a cross−reference to a federal law
8		-	definition of high−cost mortgage; information included on a notary public’s stamp and clarifying terminology and
9		-	removing statutory duplication relating to notaries public (suggested as remedial legislation by the Department of
10		-	Financial Institutions).
11		-	The people of the state of Wisconsin, represented in
12		-	senate and assembly, do enact as follows:
13		-	LAW REVISION COMMITTEE PREFATORY NOTE: This bill is
14		-	a remedial legislation proposal, requested by the Department
15		-	of Financial Institutions and introduced by the Law Revision
16		-	Committee under s. 13.83 (1) (c) 4. and 5., stats. After careful
17		-	consideration of the various provisions of the bill, the Law
18		-	Revision Committee has determined that this bill makes
19		-	minor substantive changes in the statutes, and that these
20		-	changes are desirable as a matter of public policy.
21		-	SECTION 1. 140.02 (1) (e) of the statutes is amended
22		-	to read:
23		-	140.02 (1) (e) The qualified applicant shall file his or
24		-	her signature, post−office address, and an impression of
25		-	his or her official seal, or imprint on a tangible record of
26		-	his or her official rubber stamp, with the department.
27		-	NOTE: This SECTION replaces a reference to a notary pub-
28		-	lic’s seal or rubber stamp with a reference to the notary pub-
29		-	lic’s official stamp, which is defined to include both a seal and
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	3	+	2023 - 2024 LEGISLATURE
	4	+	2023 ASSEMBLY BILL 1099
	5	+	February 20, 2024 - Introduced by LAW REVISION COMMITTEE. Referred to
	6	+	Committee on Rules.
	7	+	*AUTHORS SUBJECT TO CHANGE*
	8	+	AN ACT to repeal 422.402 and 422.421 (8); to renumber and amend 140.17;
	9	+	to amend 140.02 (1) (e), 140.02 (2) (a), 140.02 (3), 140.02 (4) (b), 140.02 (6) (a),
	10	+	428.202 (2) (d) 1. and 551.406 (3) (a) 2.; and to create 140.17 (2m) and (3) of the
	11	+	statutes; relating to: updating an obsolete reference to the National
	12	+	Association of Securities Dealers, Inc.; eliminating an obsolete provision in the
	13	+	Wisconsin Consumer Act; updating a cross-reference to a federal law definition
	14	+	of high-cost mortgage; information included on a notary public's stamp and
	15	+	clarifying terminology and removing statutory duplication relating to notaries
	16	+	public (suggested as remedial legislation by the Department of Financial
	17	+	Institutions).
	18	+	Analysis by the Legislative Reference Bureau
	19	+	This bill updates an obsolete reference to the National Association of Securities
	20	+	Dealers, Inc., (NASD) in the Wisconsin Uniform Securities Law. In 2007, NASD
	21	+	consolidated with another organization, and the survivor organization changed its
	22	+	name to the Financial Industry Regulatory Authority, Inc., commonly known as
	23	+	FINRA. FINRA operates under U.S. Securities and Exchange Commission oversight
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	36	+	and is responsible for, among other things, regulating securities firms that do
	37	+	business with the public, including with respect to professional training, testing, and
	38	+	licensing of registered persons. The bill changes the statutory reference from NASD
	39	+	to FINRA.
	40	+	The bill also eliminates an obsolete provision in the Wisconsin Consumer Act.
	41	+	Current law restricts a merchant's ability to require balloon payments in certain
	42	+	consumer credit transactions. However, current law specifies that those restrictions
	43	+	do not apply to a transaction entered into on or after November 1, 1984. The bill
	44	+	eliminates those restrictions.
	45	+	The bill also updates a cross-reference to federal law in a Wisconsin law
	46	+	regulating high cost mortgage lending. The Wisconsin statute defines “covered loan”
	47	+	by, among other things, a cross-reference to a definition under federal law for
	48	+	“high-cost mortgage.” The federal law provision was renumbered and amended in
	49	+	2010, resulting in the cross-reference in Wisconsin law becoming outdated. The bill
	50	+	changes the cross-reference to refer to the current federal law definition.
	51	+	Additionally, the bill clarifies the information to be included on a notary public's
	52	+	stamp. The bill also clarifies certain terms and removes statutory duplication
	53	+	relating to notaries public.
	54	+	Under current law, the Department of Financial Institutions issues
	55	+	commissions to notaries public. A notary public's notarial act must be evidenced by
	56	+	a certificate to which an official stamp is affixed or embossed if the notarial act
	57	+	relates to a tangible record or is attached to or logically associated with if the notarial
	58	+	act relates to an electronic record. An “official stamp” is defined as a physical image
	59	+	affixed to or embossed on a tangible record or an electronic image attached to or
	60	+	logically associated with an electronic record. Current law specifies that the official
	61	+	stamp of a notary public must include the notary public's name, jurisdiction,
	62	+	commission expiration date if applicable, and other information required by DFI.
	63	+	Current law also requires a notary public applicant to provide to DFI an
	64	+	impression of his or her official seal or an imprint of his or her official rubber stamp.
	65	+	Except with respect to an “official stamp,” the seal or rubber stamp may include only
	66	+	the following: “Notary Public," “State of Wisconsin," and the name of the notary.
	67	+	Except when a notary public properly uses an “official stamp,” the notary public must
	68	+	attest certain instruments by a clear impression of his or her seal or imprint of his
	69	+	or her rubber stamp, along with a written or stamped date of the notary public's
	70	+	commission expiration or statement that the commission is permanent.
	71	+	The bill makes various changes to reconcile a substantive inconsistency, to
	72	+	create consistency in the use of terms, and to eliminate statutory duplication. The
	73	+	bill specifies that the “official stamp” of a notary public may, but is not required to,
	74	+	include the notary public's commission expiration date if applicable. Because the
	75	+	definition of “official stamp” includes what is elsewhere referred to in current law as
	76	+	a seal or rubber stamp, the bill harmonizes these terms, consistently adopting the
	77	+	term “official stamp.” Finally, the bill clarifies current law by eliminating
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	81	+	ASSEMBLY BILL 1099
	82	+	For further information, see the NOTES provided by the Law Revision
	83	+	Committee of the Joint Legislative Council.
	84	+	The people of the state of Wisconsin, represented in senate and assembly, do
	85	+	enact as follows:
	86	+	LAW REVISION COMMITTEE PREFATORY NOTE: This bill is a remedial legislation
	87	+	proposal, requested by the Department of Financial Institutions and introduced by the
	88	+	Law Revision Committee under s. 13.83 (1) (c) 4. and 5., stats. After careful consideration
	89	+	of the various provisions of the bill, the Law Revision Committee has determined that this
	90	+	bill makes minor substantive changes in the statutes, and that these changes are
	91	+	desirable as a matter of public policy.
	92	+	SECTION 1. 140.02 (1) (e) of the statutes is amended to read:
	93	+	140.02 (1) (e) The qualified applicant shall file his or her signature, post-office
	94	+	address, and an impression of his or her official seal, or imprint on a tangible record
	95	+	of his or her official rubber stamp, with the department.
	96	+	NOTE: This SECTION replaces a reference to a notary public's seal or rubber stamp
	97	+	with a reference to the notary public's official stamp, which is defined to include both a
	98	+	seal and rubber stamp.
	99	+	SECTION 2. 140.02 (2) (a) of the statutes is amended to read:
	100	+	140.02 (2) (a) Except as provided in par. (am), any United States resident who
	101	+	is licensed to practice law in this state is entitled to a permanent commission as a
	102	+	notary public upon application to the department and payment of a $50 fee. The
	103	+	application shall include a certificate of good standing from the supreme court, the
	104	+	signature and post-office address of the applicant and an impression of the
	105	+	applicant's official seal, or imprint on a tangible record of the applicant's official
30	106		rubber stamp.
31		-	SECTION 2. 140.02 (2) (a) of the statutes is amended
32		-	to read:
33		-	140.02 (2) (a) Except as provided in par. (am), any
34		-	United States resident who is licensed to practice law in
35		-	this state is entitled to a permanent commission as a
36		-	notary public upon application to the department and
37		-	payment of a $50 fee. The application shall include a cer-
38		-	tificate of good standing from the supreme court, the sig-
39		-	nature and post−office address of the applicant and an
40		-	impression of the applicant’s official seal, or imprint on
41		-	a tangible record of the applicant’s official rubber stamp.
42		-	NOTE: This SECTION replaces a reference to a notary pub-
43		-	lic’s seal or rubber stamp with a reference to the notary pub-
44		-	lic’s official stamp, which is defined to include both a seal and
45		-	rubber stamp.
46		-	SECTION 3. 140.02 (3) of the statutes is amended to
47		-	read:
48		-	140.02 (3) NOTARIAL SEAL OR OFFICIAL STAMP. (a)
49		-	Except as authorized in s. 137.19, and except as provided
50		-	in s. 140.17, every Every notary public shall provide an
51		-	engraved official seal which makes a distinct and legible
52		-	impression or official rubber stamp which makes a dis-
53		-	tinct and legible imprint on paper. The impression of the
54		-	seal or the imprint of the rubber stamp shall state only the
55		-	following: “Notary Public,” “State of Wisconsin” and
56		-	the name of the notary. But any notarial seal in use on
57		-	* Section 991.11, WISCONSIN STATUTES: Effective date of acts. “Every act and every portion of an act enacted by the legislature over the governor’s
58		-	partial veto which does not expressly prescribe the time when it takes effect shall take effect on the day after its date of publication.” − 2 −2023 Wisconsin Act 2023 Assembly Bill 1099
59		-	August 1, 1959, shall be considered in compliance stamp
60		-	that satisfies the requirements under s. 140.17.
61		-	(b) The impression or imprint of the notarial seal
62		-	upon any instrument or writing official stamp on a tangi-
63		-	ble record, or the impression upon wafer, wax, or other
64		-	adhesive substance and affixed to any instrument or writ-
65		-	ing or embossed on a tangible record, shall be deemed an
66		-	affixation or embossing of the seal, and the imprint of the
67		-	notarial rubber stamp upon any instrument or writing
68		-	shall be deemed an affixation of the rubber official stamp
69		-	under s. 140.15 (2).
70		-	NOTE: This SECTION replaces the requirements for a
71		-	notary public’s official seal that creates an impression or rub-
72		-	ber stamp imprint with a stamp that may, but need not, include
73		-	the expiration date of the notary public’s commission and
74		-	establishes that the imprint of an official stamp on a tangible
75		-	record constitutes an embossment of an official notary public
76		-	seal.
77		-	SECTION 4. 140.02 (4) (b) of the statutes is amended
78		-	to read:
79		-	140.02 (4) (b) Except as authorized in s. 137.19, and
80		-	except when a notary public properly uses an official
81		-	stamp under s. 140.17, all certificates of acknowledg-
82		-	ments of deeds and other conveyances, or any written
83		-	instrument required or authorized by law to be acknowl-
84		-	edged or sworn to before any notary public, In addition
85		-	to satisfying the applicable requirement under s. 140.15
86		-	(2), a notary public who performs a notarial act within
87		-	this state, shall be attested by a clear impression of the
88		-	official seal or imprint of the rubber stamp of said officer,
89		-	and in addition thereto shall be written or stamped shall
90		-	include on the certificate either the day, month, and year
91		-	when the notary public’s commission of said notary pub-
92		-	lic will expire, expires or that such commission is perma-
93		-	nent. This information may be part of the official stamp
94		-	affixed to or embossed on the certificate, written on the
95		-	certificate if it is a tangible record, or attached to or logi-
96		-	cally associated with the certificate.
97		-	NOTE: This SECTION states that a notary public who per-
98		-	forms a notarial act must include a certificate that states the
99		-	day, month, and year that notary public’s commission expires
100		-	or that the commission is permanent and establishes that this
101		-	information may be part of the notary public’s official stamp
102		-	affixed to or embossed on the certificate, written on the certifi-
103		-	cate if it is a tangible record, or attached to or otherwise logi-
104		-	cally associated with the certificate.
105		-	SECTION 5. 140.02 (6) (a) of the statutes is amended
106		-	to read:
107		-	140.02 (6) (a) The department may certify to the offi-
108		-	cial qualifications of any notary public and to the gen-
109		-	uineness of the notary public’s signature and seal or rub-
110		-	ber official stamp.
111		-	NOTE: This SECTION replaces a reference to a notary pub-
112		-	lic’s seal or rubber stamp with a reference to the notary pub-
113		-	lic’s official stamp, which is defined to include both a seal and
114		-	rubber stamp.
115		-	SECTION 6. 140.17 of the statutes is renumbered
116		-	140.17 (1m), and 140.17 (1m) (a), as renumbered, is
117		-	amended to read:
118		-	140.17 (1m) (a) Include the notary public’s name,
119		-	jurisdiction, commission expiration date if applicable,
120		-	the words “Notary Public” and “State of Wisconsin,” and
	107	+	NOTE: This SECTION replaces a reference to a notary public's seal or rubber stamp
	108	+	with a reference to the notary public's official stamp, which is defined to include both a
	109	+	seal and rubber stamp.
	110	+	SECTION 3. 140.02 (3) of the statutes is amended to read:
	111	+	140.02 (3) NOTARIAL SEAL OR OFFICIAL STAMP. (a) Except as authorized in s.
	112	+	137.19, and except as provided in s. 140.17, every Every notary public shall provide
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	130	+	an engraved official seal which makes a distinct and legible impression or official
	131	+	rubber stamp which makes a distinct and legible imprint on paper. The impression
	132	+	of the seal or the imprint of the rubber stamp shall state only the following: “Notary
	133	+	Public," “State of Wisconsin" and the name of the notary. But any notarial seal in use
	134	+	on August 1, 1959, shall be considered in compliance stamp that satisfies the
	135	+	requirements under s. 140.17.
	136	+	(b) The impression or imprint of the notarial seal upon any instrument or
	137	+	writing official stamp on a tangible record, or the impression upon wafer, wax, or
	138	+	other adhesive substance and affixed to any instrument or writing or embossed on
	139	+	a tangible record, shall be deemed an affixation or embossing of the seal, and the
	140	+	imprint of the notarial rubber stamp upon any instrument or writing shall be deemed
	141	+	an affixation of the rubber official stamp under s. 140.15 (2).
	142	+	NOTE: This SECTION replaces the requirements for a notary public's official seal that
	143	+	creates an impression or rubber stamp imprint with a stamp that may, but need not,
	144	+	include the expiration date of the notary public's commission and establishes that the
	145	+	imprint of an official stamp on a tangible record constitutes an embossment of an official
	146	+	notary public seal.
	147	+	SECTION 4. 140.02 (4) (b) of the statutes is amended to read:
	148	+	140.02 (4) (b) Except as authorized in s. 137.19, and except when a notary
	149	+	public properly uses an official stamp under s. 140.17, all certificates of
	150	+	acknowledgments of deeds and other conveyances, or any written instrument
	151	+	required or authorized by law to be acknowledged or sworn to before any notary
	152	+	public, In addition to satisfying the applicable requirement under s. 140.15 (2), a
	153	+	notary public who performs a notarial act within this state, shall be attested by a
	154	+	clear impression of the official seal or imprint of the rubber stamp of said officer, and
	155	+	in addition thereto shall be written or stamped shall include on the certificate either
	156	+	the day, month, and year when the notary public's commission of said notary public
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	181	+	SECTION 4
	182	+	ASSEMBLY BILL 1099
	183	+	will expire, expires or that such commission is permanent. This information may be
	184	+	part of the official stamp affixed to or embossed on the certificate, written on the
	185	+	certificate if it is a tangible record, or attached to or logically associated with the
	186	+	certificate.
	187	+	NOTE: This SECTION states that a notary public who performs a notarial act must
	188	+	include a certificate that states the day, month, and year that notary public's commission
	189	+	expires or that the commission is permanent and establishes that this information may
	190	+	be part of the notary public's official stamp affixed to or embossed on the certificate,
	191	+	written on the certificate if it is a tangible record, or attached to or otherwise logically
	192	+	associated with the certificate.
	193	+	SECTION 5. 140.02 (6) (a) of the statutes is amended to read:
	194	+	140.02 (6) (a) The department may certify to the official qualifications of any
	195	+	notary public and to the genuineness of the notary public's signature and seal or
	196	+	rubber official stamp.
	197	+	NOTE: This SECTION replaces a reference to a notary public's seal or rubber stamp
	198	+	with a reference to the notary public's official stamp, which is defined to include both a
	199	+	seal and rubber stamp.
	200	+	SECTION 6. 140.17 of the statutes is renumbered 140.17 (1m), and 140.17 (1m)
	201	+	(a), as renumbered, is amended to read:
	202	+	140.17 (1m) (a) Include the notary public's name, jurisdiction, commission
	203	+	expiration date if applicable, the words “Notary Public” and “State of Wisconsin,” and
121	204		other information required by the department.
122		-	NOTE: This SECTION replaces a requirement that the offi-
123		-	cial stamp of a notary public must include, in addition to the
124		-	notary public’s name and other information required by the
125		-	Department of Financial Institutions, the notary public’s juris-
126		-	diction and commission expiration date with a requirement
127		-	that the official stamp include the words “Notary Public” and
128		-	“State of Wisconsin.”
129		-	SECTION 7. 140.17 (2m) and (3) of the statutes are
130		-	created to read:
131		-	140.17 (2m) The official stamp of a notary public
132		-	may include the notary public’s commission expiration
133		-	date if applicable.
134		-	(3) The official stamp of a notary public may not
135		-	include information other than the information required
136		-	under sub. (1m) or permitted under sub. (2m).
137		-	NOTE: This SECTION establishes that the official stamp of
138		-	a notary public may, but need not, include the date that the
139		-	notary public’s commission expires and may not include
140		-	information that is not either required or expressly permitted
141		-	in state law.
	205	+	NOTE: This SECTION replaces a requirement that the official stamp of a notary
	206	+	public must include, in addition to the notary public's name and other information
	207	+	required by the Department of Financial Institutions, the notary public's jurisdiction and
	208	+	commission expiration date with a requirement that the official stamp include the words
	209	+	“Notary Public” and “State of Wisconsin.”
	210	+	SECTION 7. 140.17 (2m) and (3) of the statutes are created to read:
	211	+	140.17 (2m) The official stamp of a notary public may include the notary
	212	+	public's commission expiration date if applicable.
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	231	+	(3) The official stamp of a notary public may not include information other than
	232	+	the information required under sub. (1m) or permitted under sub. (2m).
	233	+	NOTE: This SECTION establishes that the official stamp of a notary public may, but
	234	+	need not, include the date that the notary public's commission expires and may not
	235	+	include information that is not either required or expressly permitted in state law.
142	236		SECTION 8. 422.402 of the statutes is repealed.
143		-	NOTE: This SECTION repeals an obsolete restriction
144		-	affecting certain transactions entered into before November 1,
145		-	1984.
	237	+	NOTE: This SECTION repeals an obsolete restriction affecting certain transactions
	238	+	entered into before November 1, 1984.
146	239		SECTION 9. 422.421 (8) of the statutes is repealed.
147		-	NOTE: This SECTION eliminates a statutory subsection
148		-	that references another statute repealed in this bill.
149		-	SECTION 10. 428.202 (2) (d) 1. of the statutes is
150		-	amended to read:
151		-	428.202 (2) (d) 1. That the loan transaction, at the
152		-	time that the loan is consummated, is considered a mort-
153		-	gage under 15 USC 1602 (aa) (bb) and regulations
	240	+	NOTE: This SECTION eliminates a statutory subsection that references another
	241	+	statute repealed in this bill.
	242	+	SECTION 10. 428.202 (2) (d) 1. of the statutes is amended to read:
	243	+	428.202 (2) (d) 1. That the loan transaction, at the time that the loan is
	244	+	consummated, is considered a mortgage under 15 USC 1602 (aa) (bb) and regulations
154	245		adopted thereunder, including 12 CFR 226.32.
155		-	NOTE: This SECTION updates a reference to a federal
156		-	statute that was renumbered and amended in 2010.
157		-	SECTION 11. 551.406 (3) (a) 2. of the statutes is
158		-	amended to read:
159		-	551.406 (3) (a) 2. The date that approval of registra-
160		-	tion status is transmitted by the administrator to the appli-
161		-	cant through the central registration depository of the
162		-	National Association of Securities Dealers, Inc. Finan-
163		-	cial Industry Regulatory Authority, Inc.
164		-	NOTE: This SECTION updates the name of the National
165		-	Association of Securities Dealers, Inc., to the Financial Indus-
166		-	try Regulatory Authority, Inc.
	246	+	NOTE: This SECTION updates a reference to a federal statute that was renumbered
	247	+	and amended in 2010.
	248	+	SECTION 11. 551.406 (3) (a) 2. of the statutes is amended to read:
	249	+	551.406 (3) (a) 2. The date that approval of registration status is transmitted
	250	+	by the administrator to the applicant through the central registration depository of
	251	+	the National Association of Securities Dealers, Inc. Financial Industry Regulatory
	252	+	Authority, Inc.
	253	+	NOTE: This SECTION updates the name of the National Association of Securities
	254	+	Dealers, Inc., to the Financial Industry Regulatory Authority, Inc.
	255	+	(END)
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	267	+	12
	268	+	13
	269	+	14