The bill addresses unauthorized filings under the Uniform Commercial Code (UCC) by amending existing laws and introducing new provisions aimed at preventing fraudulent or harassing filings. It establishes that no person may file a record unless they are authorized, the record pertains to a legitimate transaction, and it is not intended to harass or defraud the debtor. Violations of these provisions are classified as gross misdemeanors. Additionally, the bill introduces a new section that allows individuals identified as debtors in a financing statement to submit a notarized affidavit claiming wrongful filing, which can lead to the termination of the financing statement by the filing office.

Furthermore, the bill outlines the procedures for handling wrongful filings, including the responsibilities of the filing office to notify secured parties and the rights of those who believe their filings were legitimate. It specifies that no fees will be charged for filing affidavits or termination statements related to wrongful filings, and it establishes a process for reinstating financing statements if a court determines that the original filing was authorized. The bill also includes provisions for trusted filers and clarifies the conditions under which a filing office may refuse to accept records, particularly in cases where there is suspicion of intent to harass or defraud.