Senate Bill sb2038c1

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    Florida Senate - 2007                           CS for SB 2038

    By the Committee on Judiciary; and Senator King





    590-2215-07

  1                      A bill to be entitled

  2         An act relating to real property electronic

  3         recording; creating s. 695.27, F.S.; providing

  4         a short title; providing definitions; providing

  5         for the validity of electronic documents

  6         relating to real property; providing for the

  7         recording of electronic documents by the county

  8         recorder; granting the Department of State

  9         rulemaking authority; creating the Electronic

10         Recording Advisory Committee; providing the

11         committee with certain powers and duties;

12         providing for membership and meetings of the

13         committee; providing that committee members

14         shall serve without compensation and may not

15         claim per diem and travel expenses from the

16         Secretary of State; providing guidelines for

17         the department, in consultation with the

18         committee, to consider in adopting, amending,

19         and repealing standards; providing for the

20         termination of the committee; providing for

21         uniformity of application and construction;

22         specifying the relation to a federal act;

23         providing an effective date.

24  

25  Be It Enacted by the Legislature of the State of Florida:

26  

27         Section 1.  Section 695.27, Florida Statutes, is

28  created to read:

29         695.27  Uniform Real Property Electronic Recording

30  Act.--

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    Florida Senate - 2007                           CS for SB 2038
    590-2215-07




 1         (1)  SHORT TITLE.--This section may be cited as the

 2  "Uniform Real Property Electronic Recording Act."

 3         (2)  DEFINITIONS.--As used in this section:

 4         (a)  "Document" means information that is:

 5         1.  Inscribed on a tangible medium or that is stored in

 6  an electronic or other medium and is retrievable in

 7  perceivable form; and

 8         2.  Eligible to be recorded in the Official Records, as

 9  defined in s. 28.222, and maintained by a county recorder.

10         (b)  "Electronic" means relating to technology having

11  electrical, digital, magnetic, wireless, optical,

12  electromagnetic, or similar capabilities.

13         (c)  "Electronic document" means a document that is

14  received by a county recorder in an electronic form.

15         (d)  "Electronic signature" means an electronic sound,

16  symbol, or process that is executed or adopted by a person

17  with the intent to sign the document and is attached to or

18  logically associated with a document such that, when recorded,

19  it is assigned the same document number or a consecutive page

20  number immediately following such document.

21         (e)  "Person" means an individual, corporation,

22  business trust, estate, trust, partnership, limited liability

23  company, association, joint venture, public corporation,

24  government or governmental subdivision, agency,

25  instrumentality, or any other legal or commercial entity.

26         (f)  "State" means a state of the United States, the

27  District of Columbia, Puerto Rico, the United States Virgin

28  Islands, or any territory or insular possession subject to the

29  jurisdiction of the United States.

30         (3)  VALIDITY OF ELECTRONIC DOCUMENTS.--

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    Florida Senate - 2007                           CS for SB 2038
    590-2215-07




 1         (a)  If a law requires, as a condition for recording,

 2  that a document be an original, be on paper or another

 3  tangible medium, or be in writing, the requirement is

 4  satisfied by an electronic document satisfying the

 5  requirements of this section.

 6         (b)  If a law requires, as a condition for recording,

 7  that a document be signed, the requirement is satisfied by an

 8  electronic signature.

 9         (c)  A requirement that a document or a signature

10  associated with a document be notarized, acknowledged,

11  verified, witnessed, or made under oath is satisfied if the

12  electronic signature of the person authorized to perform that

13  act, and all other information required to be included, is

14  attached to or logically associated with the document or

15  signature. A physical or electronic image of a stamp,

16  impression, or seal need not accompany an electronic

17  signature.

18         (4)  RECORDING OF DOCUMENTS.--

19         (a)  In this subsection, the term "paper document"

20  means a document that is received by the county recorder in a

21  form that is not electronic.

22         (b)  A county recorder:

23         1.  Who implements any of the functions listed in this

24  section shall do so in compliance with standards established

25  by rule by the Department of State.

26         2.  May receive, index, store, archive, and transmit

27  electronic documents.

28         3.  May provide for access to, and for search and

29  retrieval of, documents and information by electronic means.

30         4.  Who accepts electronic documents for recording

31  shall continue to accept paper documents as authorized by

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    Florida Senate - 2007                           CS for SB 2038
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 1  state law and shall place entries for both types of documents

 2  in the same index.

 3         5.  May convert paper documents accepted for recording

 4  into electronic form.

 5         6.  May convert into electronic form information

 6  recorded before the county recorder began to record electronic

 7  documents.

 8         7.  May agree with other officials of a state or a

 9  political subdivision thereof, or of the United States, on

10  procedures or processes to facilitate the electronic

11  satisfaction of prior approvals and conditions precedent to

12  recording.

13         (5)  ADMINISTRATION AND STANDARDS.--

14         (a)  The Department of State, by rule pursuant to ss.

15  120.536(1) and 120.54, shall prescribe standards to implement

16  this section in consultation with the Electronic Recording

17  Advisory Committee, which is hereby created. The Florida

18  Association of County Clerks and Comptrollers shall provide

19  administrative support to the committee and technical support

20  to the Department of State and the committee. The committee

21  shall consist of nine members, as follows:

22         1.  Five members appointed by the Florida Association

23  of Court Clerks and Comptrollers.

24         2.  One attorney appointed by the Real Property,

25  Probate and Trust Law Section of The Florida Bar Association.

26         3.  Two members appointed by the Florida Land Title

27  Association.

28         4.  One member appointed by the Florida Bankers

29  Association.

30         (b)  Appointed members shall serve a 1-year term. All

31  initial terms shall commence on the effective date of this

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    Florida Senate - 2007                           CS for SB 2038
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 1  act. Members shall serve until their successors are appointed.

 2  An appointing authority may reappoint a member for successive

 3  terms. A vacancy on the committee shall be filled in the same

 4  manner in which the original appointment was made, and the

 5  term shall be for the balance of the unexpired term.

 6         (c)  The first meeting of the committee shall be within

 7  60 days of the effective date of this act. Thereafter, the

 8  committee shall meet at the call of the chair, but at least

 9  annually.

10         (d)  The members of the committee shall serve without

11  compensation and shall not claim per diem and travel expenses

12  from the Secretary of State.

13         (e)  To keep the standards and practices of county

14  recorders in this state in harmony with the standards and

15  practices of recording offices in other jurisdictions that

16  enact substantially this section and to keep the technology

17  used by county recorders in this state compatible with

18  technology used by recording offices in other jurisdictions

19  that enact substantially this section, the Department of

20  State, in consultation with the committee, so far as is

21  consistent with the purposes, policies, and provisions of this

22  section, in adopting, amending, and repealing standards, shall

23  consider:

24         1.  Standards and practices of other jurisdictions.

25         2.  The most recent standards adopted by national

26  standard-setting bodies, such as the Property Records Industry

27  Association.

28         3.  The views of interested persons and governmental

29  officials and entities.

30         4.  The needs of counties of varying size, population,

31  and resources.

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    Florida Senate - 2007                           CS for SB 2038
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 1         5.  Standards requiring adequate information security

 2  protection to ensure that electronic documents are accurate,

 3  authentic, adequately preserved, and resistant to tampering.

 4         (f)  The committee shall terminate on July 1, 2010.

 5         (6)  UNIFORMITY OF APPLICATION AND CONSTRUCTION.--In

 6  applying and construing this section, consideration must be

 7  given to the need to promote uniformity of the law with

 8  respect to its subject matter among states that enact it.

 9         (7)  RELATION TO ELECTRONIC SIGNATURES IN GLOBAL AND

10  NATIONAL COMMERCE ACT.--This section modifies, limits, and

11  supersedes the federal Electronic Signatures in Global and

12  National Commerce Act, 15 U.S.C. ss. 7001 et seq., but this

13  section does not modify, limit, or supersede s. 101(c) of that

14  act, 15 U.S.C. s. 7001(c), or authorize electronic delivery of

15  any of the notices described in s. 103(b) of that act, 15

16  U.S.C. s. 7003(b).

17         Section 2.  This act shall take effect upon becoming a

18  law.

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    Florida Senate - 2007                           CS for SB 2038
    590-2215-07




 1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 2                             SB 2038

 3                                 

 4  The committee substitute:

 5  --   Removes the language that an electronic signature, when
         recorded, must be assigned the same document number or a
 6       consecutive page number immediately following the
         document in order to satisfy the requirement that a
 7       document or signature be notarized, acknowledged,
         verified, witnessed, or made under oath.
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    --   Removes the provision allowing a county recorder to
 9       accept electronically any fees or taxes that the county
         recorder is authorized to collect and makes conforming
10       changes in that regard.

11  --   Changes the Electronic Recording Commission to be the
         Electronic Recording Advisory Committee (Committee) and
12       provides that the Department of State shall consult with
         the Committee in adopting standards to implement proposed
13       s. 695.27, F.S.

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