This bill amends Chapter 11-18 of the General Laws to establish the criminal offense of real estate title fraud and introduces new regulations regarding the recording of real estate documents. It defines key terms such as "suspicious document," "trusted submitter," and "pattern of real estate title fraud." Starting September 1, 2027, municipalities will be prohibited from accepting electronic filings of real estate deeds or mortgages unless accompanied by sufficient documentation for identification or submitted by a trusted submitter. Municipal recorders are granted the authority to temporarily delay the recording of suspicious documents, report them to law enforcement, and notify notarial officers of their findings.

Additionally, the bill mandates that by January 1, 2028, municipalities must implement a property alert notification system to inform property owners of any recorded documents affecting their property. The system will notify owners within ten business days and provide details about the recorded documents, including the nature of the document and the property information. There will be no charge for property owners to enroll in this system.

The bill outlines penalties for individuals committing real estate title fraud, including felony charges for first offenses and increased penalties for those committing fraud as part of a pattern. It also allows victims of real estate title fraud to seek damages and attorney's fees in civil actions against those who have filed false or forged documents. Furthermore, the bill protects municipal recorders from liability when acting in good faith regarding the recording of documents.

Lastly, the bill amends the Uniform Law on Notarial Acts to allow notarial officers to refuse to perform notarial acts if an individual does not provide sufficient information for identity proofing or does not consent to pay for identity proofing.

Statutes affected:
7551: 42-30.1-7