BILL ANALYSIS
By: Allen, Ray
Committee Report (Unamended)
BACKGROUND AND PURPOSE
Under current law, certain personal information is eliminated from real property records prior to filing with the county clerk. However, some language in the current statute has led to conflicting interpretation and application. H.B. 1368 addresses this conflict by making it clear that a county clerk will file a real property record that is presented whether or not personal information including a social security or driver's license number is contained in the document. However, the document presented for filing must contain a notice that the social security and driver's license numbers may be removed or stricken prior to filing. It also clarifies that the notice is only required on those instruments that contain either social security number or a driver's license number. H.B. 1368 also includes language relating to the amount of the fee assessed for the real property recording filing based on its type and paper size.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
Amends Sections 11.008, Property Code, in the following ways: The word mortgage is removed from the definition of "instrument." An instrument transferring an interest in real property to or from an individual and disclosing that individual's social security or driver's license number must include a notice that appears on the top of the first page of the instrument which says that a person can strike any or all of their social security or driver's license number from the record before it is filed. A county clerk is prohibited from rejecting an instrument presented for recording solely because the instrument fails to comply with this section. All instruments described by this section are subject to inspection by the public.
Amends Sections 191.007, Local Government Code, as follows: States that except as provided by Section 11.008(b), Property Code, a clearly identifying heading must be placed at the top of the first page of an instrument to identify the type or kind of legal paper. The failure of a page to meet requirements for font-size or heading does not result in a fee increase. The change in law made by this Act applies only to a deed or deed of trust executed on or after the effective date of this Act.
EFFECTIVE DATE
Upon passage or September 1, 2005.