Article 9 and lien-related legislation
No developments to report this week.
Other uniform laws legislation (includes the 2022 amendments to the Uniform Commercial Code (UCC) with UCC Article 12-Controllable Electronic Records)
Maine: The governor signed House Bill 59 (2023) on 4/22/2024 to enact the 2022 Amendments to the UCC, including UCC Article 12-Controllable Electronic Records and related amendments. The new law has an effective date of 7/1/2025.
Tennessee: Senate Bill 479 CORRECTION. This bill does not enact the 2022 Amendments to the UCC as reported last week. It originally provided the text of the 2022 Amendments to the UCC. However, the text was deleted before being passed and substituted with a single provision that excludes a United States central bank digital currency from the definition of “Deposit account” in the state’s version of UCC § 9-102(a). The bill is still pending action by the governor.
Emerging technology legislation (blockchain, distributed ledger technology, cryptocurrency, etc.)
Arkansas: Senate Bill 79, which dealt with digital asset mining, was amended and passed the Senate on 4/24/2024. The amended bill would restrict foreign ownership of digital asset mining businesses, require digital asset mining businesses to obtain a permit from the Oil and Gas Commission and limit the ability of local government to impose additional restrictions on such businesses that are contrary to federal or state law.
Maine: The governor signed Senate Bill 905 on 4/22/2024 to repeal the Money Transmitters Act and replace it with a model act. The bill also provides for licensing of those engaged in virtual currency business activity, require disclosures, and otherwise regulate virtual currency businesses. The new law takes effect 90 days after adjournment.
Oklahoma: House Bill 3594, which would adopt the Blockchain Basics Act, passed the Senate as amended on 4/24/2024. This bill would provide that (i) an individual may engage in home digital asset mining; (ii) a digital asset mining business may operate in any area zoned for industrial use; (iii) limit local government ability to regulate digital asset mining; and (iv) limit state and local government ability to impose additional taxes or charges on controllable electronic records used as a method of payment. The bill was returned to the House for concurrence.
Business organization legislation
Delaware: House Bill 338, which would make various updates to the statutory trust law, passed the House on 4/23/2024.
Georgia: The governor signed House Bill 876 on 4/23/2024 to revise the incorporation process for banks and trust companies. The new law takes effect on 7/1/2024.
Ohio: Senate Bill 301 (2023), which would amend non-profit corporations law regarding dissolutions, passed the Senate on 4/24/2024.
Oklahoma: The governor signed Senate Bill 620 (2023) on 4/23/2024 to make numerous changes to the state business entity law. The new law takes effect on 11/1/2024.
Oklahoma: The governor signed Senate Bill 649 (2023) on 4/23/2024 to address series of LLCs. The bill would provide for the creation, regulation, and governance of protected series and registered series of LLCs. The new law takes effect on 11/1/2024.
Notary legislation
Alabama: Senate Bill 289, which would address transactions where the notary has a financial interest, passed the Senate on 4/23/2024. The bill would explicitly recognize that the prohibition of a notary public from acknowledging a document that is required for a transaction in which the notary has a financial interest does not apply to professionals such as attorneys, accountants, or real estate brokers, or their employees, who may lawfully notarize the documents that are a necessary part of the professional services for which they are paid.
District of Columbia: Bill 792 was introduced on 4/22/2024 to eliminate the requirement for a notary public to read and write in the language of any record on which the notary public performs a notarial act; to clarify that the training course for notary applicants must be approved but not provided by the Mayor; and to require notarial officers to read and write in the same language as the notarial certificate executed by the officer.
Oklahoma: Senate Bill 556 (2023), which would require a notary to maintain an electronic record of notarial acts, passed the House on 4/24/2024 and is pending delivery to the governor. The bill would further provide that failure to keep such records would be grounds to deny, refuse to renew, or revoke a notary commission. The bill also would provide that a notary who performs a notarial act without first making in good the required identification of the person appearing before them is guilty of a misdemeanor.
Virginia: House Bill 1372 became law on 4/17/2024 after the House and Senate approved the governor’s recommendations. This bill authorizes the use of a knowledge-based authentication assessment to establish satisfactory evidence of identity if the system meets certain requirements. The new law takes effect on 7/1/2024, although portions are retroactive.
Real estate recording-related legislation
Colorado: House Bill 1269, which would increase the recording fee a clerk may charge, passed the Senate as amended on 4/24/2024 and was returned to the House for concurrence. The bill would increase the fee for filing or recording a document from $10 to $40 unless a different fee for the type of document is specified by law. The Senate amendment would require clerks to redact the first five digits of any social security number submitted on a document for recording.
Louisiana: Senate Bill 506 was introduced on 4/22/2024 to prohibit the recording of real estate service agreements in the mortgage and conveyance records.
Oklahoma: House Bill 3318, which would prohibit the recording of an unfair real estate service agreement, passed the Senate on 4/22/2024 and is awaiting delivery to the governor.
Oklahoma: Senate Bill 57, which would change the margin requirements for certain documents to be recorded, passed the House on 4/25/2024 and is awaiting delivery to the governor.
Pennsylvania: House Bill 2230 was introduced on 4/24/2024 to require that county recorders establish a records notification service that can notify a landowner by text or email within 24 hours of any recording tending to affect a right, title, or interest in the real property of the landowner.
Other items and legislation of interest
No developments to report this week.
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Note that this update provides only a short summary of the listed bills, which are often lengthy and complex. It is not intended to include all potentially relevant provisions of each bill. For full details, please review the bill on the applicable state legislative web site.
