Remote Notarizations Draw Legislative Review
CBIA and other business organizations testified Feb. 27 in support of two bills that allow notarizations to be performed remotely.
Forty-two other states permit the practice, which Gov. Ned Lamont authorized during the pandemic through a series of executive orders.
The use of remote notarizations during the pandemic highlighted how systems can be modernized and improve operational efficiency.
As these executive orders were recently rescinded at the end the public health emergency, the adoption of SB 1040 and HB 6713 is crucial for businesses seeking to save costs and time.
CBIA worked alongside a broad coalition of industry stakeholders representing both commercial and municipal interests to push for permanent remote notary procedures under state law.
HB 6713 represents a more comprehensive approach to establish remote online notarization procedures.
RON is a type of notarization where the notary and signer meet remotely from different locations using audio-visual communication technology and electronic signatures and records.
The bill is largely identical to legislation proposed in prior years and builds off the model that the Uniform Law Commission offered to state through the Revised Uniform Law on Notarial Acts.
The only major deviation from RULONA’s framework and HB 6713 is how a few specific transactions are handled.
For example, HB 6713 establishes special rules for the remote notarization of real estate closings, and exempts wills, trusts, and other estate documents from RON requirements.
In contrast, SB 1040 establishes remote ink notarization procedures.
Different from RON, the RIN contemplated in the bill require the signee to complete and sign the physical documents with a pen as the notary virtually observes.
The documents are then sent to the notary via fax, electronically, or via the mail or courier.
Once the notary receives the documents, a stamp or seal is applied and the document is returned.
The bill also differs from HB 6713 as it excludes the execution of wills, trusts, and other estate documents, as well as real estate closings, from remote notarization requirements.
Despite these material differences, both bills achieve a similar end: small businesses will be able to utilize remote online notarization when conducting transactions and operations, consumers will benefit from these efficiencies, and the state will move the needle on fostering a more business-friendly environment.
Both bills await action in the Judiciary Committee.
For more information, contact CBIA’s Wyatt Bosworth (860.244.1155) | @WyattBosworthCT.
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