BILL NUMBER: SB 310	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MAY 14, 2013
	AMENDED IN SENATE  APRIL 22, 2013
	AMENDED IN SENATE  MARCH 21, 2013

INTRODUCED BY   Senator Calderon

                        FEBRUARY 15, 2013

   An act to add Section 2924.26 to, and to add and repeal Section
2924.25 of, the Civil Code, relating to mortgages.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 310, as amended, Calderon. Mortgages: foreclosure notices:
title companies.
   Existing law requires a mortgage servicer, mortgagee, trustee,
beneficiary, or authorized agent to, among other things, contact the
borrower prior to filing a notice of default to explore options for
the borrower to avoid foreclosure, as specified. Existing law, until
January 1, 2018, prohibits a mortgage servicer, mortgagee, trustee,
beneficiary, or authorized agent from recording a notice of default
if a foreclosure prevention alternative is approved in writing prior
to the recordation of a notice of default under certain
circumstances. Existing law, operative January 1, 2018, prohibits a
mortgage servicer, trustee, mortgagee, beneficiary, or authorized
agent from recording a notice of sale or conducting a trustee's sale
while a foreclosure prevention alternative application submitted by
the borrower is pending, as specified. Existing law, until January 1,
2018, prohibits a mortgage servicer, trustee, mortgagee,
beneficiary, or authorized agent from recording a notice of default,
notice of sale, or conducting a trustee's sale while a complete first
lien loan modification application submitted by the borrower is
pending, as specified. Existing law, until January 1, 2018,
authorizes a borrower to bring an action for injunctive relief to
enjoin a material violation of certain of these provisions if a
trustee's deed of sale has not been recorded.
   This bill would exempt a licensed title company or underwritten
title company, except when it is acting as a trustee, from liability
for a violation of those provisions if it records or causes to record
a notice of default or notice of sale at the request of a trustee,
substitute trustee, or beneficiary, in good faith and in the normal
course of its business activities.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 2924.25 is added to the Civil Code, to read:
   2924.25.  (a) Unless acting in the capacity of a trustee, a
licensed title company or underwritten title company shall not be
liable for a violation of Section 2923.5, 2923.55, 2923.6, 2924.11,
2924.18, or 2924.19 if it records or causes to record a notice of
default or notice of sale at the request of a trustee, substitute
trustee, or beneficiary, in good faith and in the normal course of
its business activities.
   (b) This section shall remain in effect only until January 1,
2018, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2018, deletes or extends
that date.
  SEC. 2.  Section 2924.26 is added to the Civil Code, to read:
   2924.26.  (a) Unless acting in the capacity of a trustee, a
licensed title company or underwritten title company shall not be
liable for a violation of Section 2923.5 or  Section
 2924.11 if it records or causes to record a notice of
default or notice of sale at the request of a trustee, substitute
trustee, or beneficiary, in good faith and in the normal course of
its business activities.
   (b) This section shall become operative on January 1, 2018.
   SEC. 3.    Sections 2924.25 and 2924.26 shall not be
construed to affect the liability of a trustee, substitute trustee,
or beneficiary that requests a licensed title company or underwritten
title company to record a notice of default or notice of sale.