Bill Text: CA AB2368 | 2017-2018 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

---

Bill Title: California Online Notary Act of 2018.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed - Dead) 2018-06-26 - In committee: Set, first hearing. Hearing canceled at the request of author. [AB2368 Detail]

Download: California-2017-AB2368-Amended.html

---

Amended  IN  Assembly  March 23, 2018

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill

No. 2368

---

Introduced by Assembly Member Calderon

February 14, 2018

---

An act to amend Section 8200 of add Section 1181.1 to the Civil Code, to add the heading of Article 1 (commencing with Section 8200) to, and to add Article 2 (commencing with Section 8231) to Chapter 3 of Division 1 of Title 2 of, the Government Code, relating to notaries public.

LEGISLATIVE COUNSEL'S DIGEST

AB 2368, as amended, Calderon. Notaries public. California Online Notary Act of 2018.

Existing law authorizes the Secretary of State to appoint and commission notaries public in the number the Secretary of State deems necessary for the public convenience. Existing law authorizes notaries public to act as notaries in any part of the state.

This bill would make nonsubstantive changes to that provision.

This bill would enact the California Online Notary Act of 2018, and, commencing on July 1, 2019, would require the Secretary of State to establish rules to implement its provisions. The bill would authorize an online notary public to perform notarial acts, online notarizations, and notarial acts by means of 2-way audio and video communication. The bill would establish various requirements applicable to an online notary public, including requiring an online notary public to keep a secure electronic journal, and requiring an online notary public to destroy certain information upon termination of a commission, as specified. The bill would make it a misdemeanor for any person who, without authorization, knowingly obtains, conceals, damages, or destroys the certificate, disk, coding, card, program, software, or hardware enabling an online notary public to affix an official electronic signature or seal. By creating a new crime, this bill would impose a state-mandated local program. The bill would also make other conforming changes.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Digest Key

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NOYES   Local Program: NOYES  

---

Bill Text

The people of the State of California do enact as follows:

SECTION 1.

 Section 1181.1 is added to the Civil Code, to read:

1181.1.

 Section 1181 shall not be construed to authorize any person other than an online notary public authorized by the Secretary of State to perform online notarizations pursuant to Article 2 (commencing with Section 8231) of Chapter 3 of Division 1 of Title 2 of the Government Code, to take proofs or acknowledgments by means of appearances using two-way audio and video communication technology.

SEC. 2.

 The heading of Article 1 (commencing with Section 8200) is added to Chapter 3 of Division 1 of Title 2 of the Government Code, to read:

Article  1. Notaries Public

SEC. 3.

 Article 2 (commencing with Section 8231) is added to Chapter 3 of Division 1 of Title 2 of the Government Code, to read:

Article  2. California Online Notary Act of 2018

8231.

 This act shall be known, and may be cited as, the California Online Notary Act of 2018.

8231.1.

 As used in this article, the following terms have the following meanings:

(a) “Credential” means a record evidencing an individual’s identity.

(b) “Electronic” means relating to technology having electrical, digital, magnetic, wireless, optical, electromagnetic, or similar capabilities.

(c) “Electronic document” means a record that is created, generated, sent, communicated, received, or stored by electronic means.

(d) “Electronic notarial certificate” means the portion of a notarized electronic document that is completed by an online notary public and contains all of the following:

(1) The online notary public’s electronic signature, electronic seal, title, and commission expiration date.

(2) Other required information concerning the date and type of the online notarization.

(3) The facts attested to or certified by the online notary public in the particular notarization.

(e) “Electronic seal” means information within a notarized electronic document that confirms the online notary public’s name, jurisdiction, sequential identifying number, and commission expiration date, and generally corresponds to information in notary seals used on paper documents.

(f) “Electronic signature” means an electronic sound, symbol, or process attaching to or logically associated with an electronic document and executed or adopted by a person with the intent to sign the electronic document.

(g) “Notarial act” means the performance of a duty authorized by Section 8205.

(h) “Online notarization” means a notarial act performed by means of two-way video and audio conference technology that meets the standards adopted pursuant to this article.

(i) “Online notary public” means a notary public who has been authorized by the Secretary of State to perform online notarizations pursuant to this article.

(j) “Principal” means an individual whose electronic signature is notarized in an online notarization, or the individual taking an oath or affirmation from the online notary public, but not in the capacity of a witness for the online notarization.

(k) “Remote presentation” means transmission to the online notary public through communication technology of an image of a government-issued identification credential that is of sufficient quality to enable the online notary public to identify the individual seeking the online notary public’s services and to perform credential analysis.

8231.2.

 This article applies to online notarizations. To the extent that a provision of this article conflicts with Article 1 (commencing with Section 8200), this article controls with respect to an online notarization.

8231.3.

 The Secretary of State shall adopt rules necessary to implement this article. The rules shall set and maintain standards for online notarizations, including standards for remote presentation, credential analysis, and identity proofing. The rules may also address the form and content requirements for an online notary’s electronic journal. The Secretary of State may confer with other departments or agencies on matters relating to equipment, security, and technological aspects of the online notarization standards.

8231.4.

 (a) An online notary public is a notary public for purposes of Article 1 (commencing with Section 8200) and is subject to Article 1 to the same extent as a notary public appointed and commissioned under Article 1, unless otherwise expressly provided in this article.

(b) An online notary public may perform notarial acts provided by Article 1 (commencing with Section 8200) in addition to online notarizations by means provided in this article.

(c) An online notary public may perform a notarial act by means of two-way audio and video communication.

(d) A requirement that an individual appear before or in the presence of a notary public may be satisfied by means of two-way audio and video communication with an online notary public that meets the requirements of this article and any of the rules adopted by the Secretary of State.

8231.5.

 (a) An online notary public shall keep a secure electronic journal with each notarial act performed by the online notary public if the notarial act is an online notarization pursuant to this article.

(b) An online notary public shall immediately notify an appropriate law enforcement agency and the Secretary of State of the loss, compromise, theft, vandalism, or use by another person of the online notary public's electronic journal.

8231.6.

 An online notary public physically located in this state may perform an online notarization that meets the requirements of this article and the rules adopted by the Secretary of State pursuant to this article for a principal who is located:

(a) In this state.

(b) Outside this state but within the United States.

(c) Outside the United States if the online notary public has no actual knowledge that the act is prohibited in the jurisdiction in which the principal is physically located at the time of the act.

8231.7.

 (a) Except as provided by subdivision (b), an online notary public whose commission terminates shall destroy the coding, disk, certificate, card, software, or password that enables electronic affixation of the online notary public’s official electronic signature or seal. The online notary public shall certify compliance with this subdivision to the Secretary of State.

(b) A former online notary public whose commission terminated for a reason other than revocation or a denial of renewal is not required to destroy the items described by subdivision (a) if the former online notary public is recommissioned as an online notary public with the same electronic signature and seal within three months after the former online notary public’s former commission terminated.

8231.8.

 A person who, without authorization, knowingly obtains, conceals, damages, or destroys the certificate, disk, coding, card, program, software, or hardware enabling an online notary public to affix an official electronic signature or electronic seal is guilty of a misdemeanor.

8231.9.

 This article shall become operative on July 1, 2019.

SEC. 4.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.

SECTION 1.Section 8200 of the Government Code is amended to read:

8200.

The Secretary of State may appoint and commission notaries public in any number as the secretary deems necessary for the public convenience. Notaries public may act as notaries in any part of the state.