SB1479 - 572R

Be it enacted by the Legislature of the State of Arizona:

Section 1. Title 11, chapter 3, article 3, Arizona Revised Statutes, is amended by adding section 11-472, to read:

START_STATUTE11-472. Recording; photo identification; exemptions

A. For any document that is recorded in person at the recorder's office or at a recording kiosk, a person shall provide the recorder with a valid form of photo identification unless the document to be recorded is submitted by any of the following:

1. An escrow officer or escrow office.

2. A title insurance agent or title insurer as defined in section 20-1562.

3. A state-chartered or federally chartered bank or credit union.

4. An active member of the state bar of Arizona.

5. A governmental entity, including an agency, branch or instrumentality of the federal government.

B. The recorder may not retain a copy of the person's identification, but shall note in the recording system or receipt for the recording, or both, the FOLLOWING:

1. The type of identification.

2. The name on the identification.

3. The identification number.

C. The information noted pursuant to subsection B of this section is not a public record, is exempt from title 39, chapter 1 and is not subject to disclosure. END_STATUTE

Sec. 2. Title 11, chapter 3, article 7, Arizona Revised Statutes, is amended by adding section 11-544, to read:

START_STATUTE11-544. Notice to owner; changed information

On or before January 1, 2027, the assessor shall provide a system for notifying an owner of a parcel of real property when the assessor receives notice of a change in the ownership of or the mailing address for the owner of the parcel of real property. The system shall allow an owner to choose to participate and is voluntary for the owner, and the notice shall be provided promptly by email, text message or other similar means. END_STATUTE

Sec. 3. Section 11-1133, Arizona Revised Statutes, is amended to read:

START_STATUTE11-1133. Affidavit of legal value

A. Each deed evidencing a transfer of title and any contract relating to the sale of real property shall have appended at the time of recording an affidavit of the seller and the buyer to the transaction, or the agent of either the seller or buyer, or both, in a form approved by the department of revenue, who shall declare and jointly certify the following information:

1. The name, and mailing address and telephone number of the buyer and seller. The buyer and seller may provide additional contact information, including email addresses.

2. The name and address where a tax statement may be sent.

3. The complete legal description of the property.

4. The situs address, if any, of the property.

5. The date of sale.

6. The total consideration paid for the property, the amount of cash down payment and whether or not the type of financing included cash, a new third party third-party loan, a new loan from the seller, an assumption of an existing loan or an exchange or trade of property.

7. Whether or not the estimated market value of personal property received by the buyer equals five per cent percent or more of the total consideration.

8. The assessor's parcel number or numbers assigned to the real property by the county assessor or, in the case of a new parcel or parcels not yet assigned a parcel number, the parcel number or numbers of the previous parcel or parcels from which the new parcel or parcels are created.

9. The conditions of the transaction, including the relationship, if any, of the parties.

10. The use and description of the property and, in the case of a residential dwelling, whether the property is to be owner-occupied or rented.

11. The name and address of the person to contact regarding information contained on the affidavit.

B. If a beneficiary of a foreclosed trustee's deed receives payment based on private mortgage insurance covering the sale that is in addition to the proceeds of the sale, the beneficiary shall submit, in a form approved by the department of revenue, to the county recorder in the county where the property is located within four months after the date of the trustee's sale a beneficiary's declaration of additional funds received that contains the following:

1. The county assessor's parcel number or numbers assigned as of the date of the trustee's sale.

2. The name and address of the beneficiary submitting the declaration.

3. The date of the trustee's sale.

4. The highest bid amount received by the trustee at the trustee's sale.

5. The recording number of the trustee's deed on sale.

6. The amount of any additional compensation received by the beneficiary within three months after the date of the trustee's sale.

C. The county recorder shall refuse to record any deed and any contract relating to the sale of real property if a complete affidavit of legal value is not appended unless the instrument bears a notation indicating an exemption pursuant to section 11-1134.

D. An affidavit is complete for the purposes of this section if all of the required information is stated on the affidavit form or is indicated on the form as "not applicable". END_STATUTE

Sec. 4. Repeal

Section 12-524, Arizona Revised Statutes, is repealed.

Sec. 5. Section 33-420, Arizona Revised Statutes, is amended to read:

START_STATUTE33-420. False documents; liability; special action; damages; violation; classification

A. A person purporting to claim an interest in, or a lien or encumbrance against, real property, who causes a document asserting such claim to be recorded in the office of the county recorder, knowing or having reason to know that the document is forged, or groundless, contains a material misstatement or false claim or is otherwise invalid is liable to the owner or beneficial title holder of the real property for the sum of not less than five thousand dollars, at least $5,000 or for treble the actual damages caused by the recording, whichever is greater, and reasonable attorney fees and costs of the action.

B. The owner or beneficial title holder of the real property may bring an action pursuant to this section in the superior court in the county in which the real property is located for such relief as is required to immediately clear title to the real property as provided for in the rules of procedure for special actions. This special action may be brought based on the ground that the lien is forged, or groundless, contains a material misstatement or false claim or is otherwise invalid. The owner or beneficial title holder may bring a separate special action to clear title to the real property or join such action with an action for damages as described in this section. In either case, the owner or beneficial title holder may recover reasonable attorney fees and costs of the action if he the owner or beneficial title holder prevails.

C. A person who is named in a document which that purports to create an interest in, or a lien or encumbrance against, real property and who knows that the document is forged, or groundless, contains a material misstatement or false claim or is otherwise invalid shall be is liable to the owner or beneficial title holder for the sum of not less than one thousand dollars, at least $1,000 or for treble actual damages, whichever is greater, and reasonable attorney fees and costs as provided in this section, if he the person wilfully refuses to release or correct such the document of record within twenty days from after the date of a written request from the owner or beneficial title holder of the real property.

D. A document purporting to create an interest in, or a lien or encumbrance against, real property not authorized by statute, judgment or other specific legal authority is presumed to be groundless and invalid.

E. A person purporting to claim an interest in, or a lien or encumbrance against, real property, who causes a document asserting such claim to be recorded in the office of the county recorder, knowing or having reason to know that the document is forged, or groundless, contains a material misstatement or false claim or is otherwise invalid, is guilty of a class 1 misdemeanor 4 felony. END_STATUTE

Sec. 6. Section 41-254, Arizona Revised Statutes, is amended to read:

START_STATUTE41-254. Personal appearance required; thumbprint; exceptions

A. If a notarial act relates to a statement made in or a signature executed on a record, the individual making the statement or executing the signature shall appear personally before the notarial officer.

B. If a notarial act involves a translator under section 41-253, subsection F, the translator shall appear personally before the notary public.

C. If the document to be notarized is a deed, quitclaim deed, deed of trust or other document that affects real property or a power of attorney document, the notary public shall require the party signing the document to place the party's right thumbprint in the notary's journal. If the right thumbprint is not available, the notary public shall have the party use the party's left thumb, or any available finger, and shall so indicate in the journal. If the party signing the document is physically unable to provide a thumbprint or fingerprint, the notary public shall so indicate in the journal and shall also provide an explanation of that physical condition. This subsection does not apply to a trustee's deed that results from a judicial or nonjudicial foreclosure or to a deed of release and reconveyance. END_STATUTE