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  S.B. No. 1780
 
 
 
 
AN ACT
  relating to online notarizations.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 406.101, Government Code, is amended by
  adding Subdivisions (1-a), (13), and (14) and amending Subdivision
  (11) to read as follows:
               (1-a)  "Document" means a tangible instrument or
  electronic document.
               (11)  "Principal" means an individual:
                     (A)  whose [electronic] signature is notarized in
  an online notarization; or
                     (B)  taking an oath or affirmation from the online
  notary public but not in the capacity of a witness for the online
  notarization.
               (13)  "Sign" means, with the present intent to
  authenticate or adopt a record, to:
                     (A)  execute or adopt a tangible symbol; or
                     (B)  execute an electronic signature, as defined
  by Section 322.002, Business & Commerce Code.
               (14)  "Signature" means a tangible symbol or electronic
  signature that evidences the signing of a record executed or
  adopted by a person with the intent to sign the document.
         SECTION 2.  Section 406.108, Government Code, is amended by
  amending Subsection (a) and adding Subsection (d) to read as
  follows:
         (a)  An online notary public shall keep a secure electronic
  record of electronic documents notarized by the online notary
  public.  The electronic record must contain for each online
  notarization:
               (1)  the date and time of the online notarization;
               (2)  the type of notarial act;
               (3)  the type, the title, or a description of the
  [electronic] document or proceeding;
               (4)  the printed name and address of each principal
  involved in the transaction or proceeding;
               (5)  evidence of identity of each principal involved in
  the transaction or proceeding in the form of:
                     (A)  a statement that the person is personally
  known to the online notary public;
                     (B)  a notation of the type of identification
  document provided to the online notary public;
                     (C)  a record of the identity verification made
  under Section 406.110, if applicable; or
                     (D)  the following:
                           (i)  the printed name and address of each
  credible witness swearing to or affirming the person's identity;
  and
                           (ii)  for each credible witness not
  personally known to the online notary public, a description of the
  type of identification documents provided to the online notary
  public;
               (6)  a recording of any video and audio conference that
  is the basis for satisfactory evidence of identity and a notation of
  the type of identification presented as evidence; and
               (7)  the fee, if any, charged for the notarization.
         (d)  For documents that are tangible instruments, an online
  notary public shall keep a record of the documents notarized by the
  online notary public with a tangible symbol. The record for each
  online notarization with a tangible symbol must contain the same
  elements required by Subsection (a) for an electronic record.
         SECTION 3.  Section 406.109, Government Code, is amended by
  adding Subsection (f) to read as follows:
         (f)  An online notary public shall authenticate all online
  notarizations with the online notary public's:
               (1)  electronic seal, if the online notarization was
  performed with respect to an electronic document; or
               (2)  seal of office as provided under Section 406.013,
  if the online notarization was performed with respect to a tangible
  document.
         SECTION 4.  The heading to Section 406.110, Government Code,
  is amended to read as follows:
         Sec. 406.110.  ONLINE NOTARIZATION PROCEDURES GENERALLY.
         SECTION 5.  Sections 406.110(b) and (d), Government Code,
  are amended to read as follows:
         (b)  In performing an online notarization, an online notary
  public shall verify the identity of a person signing a document
  [creating an electronic signature] at the time of the online
  notarization [that the signature is taken] by using two-way video
  and audio conference technology that meets the requirements of this
  subchapter and rules adopted under this subchapter.  Identity shall
  [may] be verified by:
               (1)  the online notary public's personal knowledge of
  the person signing a document [creating the electronic signature];
  or
               (2)  each of the following:
                     (A)  remote presentation by the person signing a
  document [creating the electronic signature] of a
  government-issued identification credential, including a passport
  or driver's license, that contains the signature and a photograph
  of the person;
                     (B)  credential analysis of the credential
  described by Paragraph (A); and
                     (C)  identity proofing of the person described by
  Paragraph (A).
         (d)  The [electronic] notarial certificate for an online
  notarization must include a notation that the notarization is an
  online notarization and must indicate if the signature was a
  tangible symbol or an electronic signature.
         SECTION 6.  Subchapter C, Chapter 406, Government Code, is
  amended by adding Sections 406.1103 and 406.1107 to read as
  follows:
         Sec. 406.1103.  ONLINE NOTARIZATION PROCEDURES FOR TANGIBLE
  DOCUMENTS. (a) In performing an online notarization in which the
  principal signs with a tangible symbol and not an electronic
  signature, an online notary public shall reasonably confirm that a
  document before the online notary public is the same document in
  which the principal made a statement or on which the principal
  executed a signature.
         (b)  An online notary public satisfies the requirement of
  Subsection (a) to take an acknowledgment of a signature on a
  tangible document if:
               (1)  during a video and audio recording described by
  Section 406.108(a)(6):
                     (A)  the acknowledgment is displayed to and
  identified by the principal; and
                     (B)  the principal signs the document and a
  declaration in substantially the following form that is a part of or
  securely attached to the document:
                           "I declare under penalty of perjury that the
  document of which this declaration is a part or to which it is
  attached is the same document on which (name of online notary
  public), an online notary public, performed an online notarization
  and before whom I appeared by means of two-way video and audio
  conference technology on (date).
                           ________________________
                           (Signature of principal)
                           ________________________
                           (Printed name of principal)";
               (2)  the principal sends the document and declaration
  to the online notary public not later than the third day after the
  date the online notarization was performed; and
               (3)  the online notary public:
                     (A)  in the video and audio recording under
  Subdivision (1), records the principal signing the document and
  declaration;
                     (B)  receives the document and declaration sent by
  the principal under Subdivision (2) not later than the 10th day
  after the date the online notarization was performed; and
                     (C)  after receipt of the document and declaration
  from the principal, executes a notarial certificate that includes a
  statement in substantially the following form:
                           "I, (name of online notary public),
  witnessed, by means of video and audio conference technology, (name
  of principal) sign the attached document and declaration on
  (date).".
         (c)  An online notarization performed in compliance with
  Subsection (b) complies with any requirement regarding the
  execution of a notarial certificate and is effective on the date the
  principal signed the declaration under Subsection (b)(1)(B).
         (d)  A notarial certificate executed in the form described by
  Subsection (b)(3)(C) may be relied on as conclusive evidence of
  compliance with Subsections (b)(2) and (b)(3)(B).
         (e)  Subsection (b) does not preclude use of another
  procedure to satisfy Subsection (a) for an online notarization
  performed with respect to a tangible document.
         Sec. 406.1107.  ONLINE NOTARIZATION PROCEDURES FOR OATHS OR
  AFFIRMATIONS. An online notary public may administer an oath or
  affirmation to a principal as an online notarization if, except as
  otherwise provided by other law of this state, the online notary
  public:
               (1)  identifies the principal under Section
  406.110(b);
               (2)  creates or causes the creation under Section
  406.108 of a video and audio recording of the principal taking the
  oath or affirmation; and
               (3)  retains or causes the retention under Section
  406.108 of the recording.
         SECTION 7.  This Act takes effect January 1, 2024.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1780 passed the Senate on
  May 1, 2023, by the following vote:  Yeas 31, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1780 passed the House on
  May 12,  2023, by the following vote:  Yeas 139, Nays 1, two
  present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor