BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 1050|
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CONSENT
Bill No: SB 1050
Author: Monning (D)
Amended: 3/26/14
Vote: 21
SENATE JUDICIARY COMMITTEE : 7-0, 4/8/14
AYES: Jackson, Anderson, Corbett, Lara, Leno, Monning, Vidak
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : Notaries public: verification of identity: notice
SOURCE : California Secretary of State
DIGEST : This bill adds a statutory notice to specified forms
completed by a notary public indicating that the notarial
certification verifies only the identity of the person who
signed the document, and not the truthfulness, accuracy, or
validity of that document. That notice should be included, as
specified, in a certificate of acknowledgment, proof of
execution, and jurat.
ANALYSIS :
Existing law:
1. Authorizes the proof or acknowledgment of written
instruments before specified officers of the state, including
notaries public.
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2. Provides that the acknowledgment of an instrument may not be
taken unless the officer (notary public) taking it has
satisfactory evidence, as specified, that the person making
the acknowledgment is the individual who is described in and
who executed the instrument.
3. Provides that, when an instrument is executed prior to being
presented to a notary public for certification of the
document signer, a notary public may certify a proof of
execution after verifying the identification of the signer or
person who witnessed the execution of the document
(subscribing witness). However, a proof of execution may not
be used for certain documents such as a power of attorney,
grant deed, mortgage, deed of trust, quitclaim deed, or
security agreement.
4. Provides that a public notary may execute a jurat, to be
attached to an affidavit or deposition testimony whereby a
person swears under oath that the statement contained in the
affidavit or deposition testimony are true and correct.
5. Provides a form certificate of acknowledgment, proof of
execution, and jurat for a notary public to use when
certifying the identity of a person signing a document.
This bill:
1 Adds a statutory notice to a form certificate of
acknowledgment, proof of execution, and jurat that the
notarial certification verifies only the identity of the
person who signed the document to which the certification is
attached, and not the truthfulness, accuracy, or validity of
that document.
2. Requires that notice, in not less than 12-point boldface font
type, to be inserted in a box at the top of the certificate
of acknowledgment, proof of execution, or jurat.
Background
A notary public is a public officer appointed and commissioned
by the Secretary of State to serve the public in non-contentious
matters generally concerning estates, deeds, powers-of-attorney,
foreign and international business, and other written
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instruments. Occasionally, an individual who is party to a more
sensitive formal agreement, such as a child custody agreement, a
confidential marriage license, or an advance healthcare
directive, must have the agreement notarized before it can enter
into force. A notary's main functions are to take
acknowledgements of various written instruments, administer
oaths and affirmations, take depositions and affidavits, certify
copies of powers of attorney under the Probate Code, demand
acceptance and payment of foreign and inland bills of exchange
or promissory notes, and to protest nonpayment and nonacceptance
of bills and notes.
A certificate of acknowledgment is the form most frequently
completed by a notary public. In the certificate of
acknowledgment, the notary public certifies (1) that the signer
personally appeared before the notary public on the date
indicated in the county indicated; (2) the identity of the
signer; and (3) that the signer acknowledged executing the
document. A notary public may also certify this information on
a proof of execution of an instrument, or a jurat (a
certification added to an affidavit or deposition).
Prior Legislation
AB 886 (Runner, Chapter 399, Statutes of 2007) required, among
other things, notaries public to determine by satisfactory
evidence only that a person acknowledging an instrument is the
individual who is described in and who signed the instrument,
and to certify the document under penalty of perjury. AB 886
also required notaries to obtain the thumbprint of a party
signing a document where the document to be notarized is a deed,
quitclaim deed, deed of trust affecting real property, or a
power of attorney.
AB 2062 (Nakano, Chapter 539, Statutes of 2004) required a
notary public to use a form jurat when authenticating the
identity of a person signing an affidavit.
AB 1090 (Tucker, Chapter 1044, Statutes of 1993), among other
things, revised the criteria for determining whether an
individual has presented satisfactory evidence of identity for a
notary public to take an acknowledgment of an instrument.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
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Local: No
SUPPORT : (Verified 4/28/14)
California Secretary of State (source)
ARGUMENTS IN SUPPORT : According to the author, "When people
are unfamiliar with the meaning and effect of a notary's seal
and signature, there is an opportunity for criminals to pass
deceptive legal documents claiming a false right to money,
authority, or real property by inferring, suggesting, or stating
that the notary's seal and signature constitute an official
endorsement of authenticity.
"SB 1050 seeks to reduce fraud by including a clear consumer
notification statement as to the limited effect of a notary's
seal and signature. People unfamiliar with notary seals who are
studying a fraudulent document presented to them will not give
undue consideration to a notary seal as an official endorsement
of authenticity and legal correctness."
AL:d 4/29/14 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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