California

The California Land Title Association announced the passage of AB 2303, a bill in which it had sponsored amendments to add title insurers and underwritten title companies to a list of escrow service providers under Civil Code 1946.1, which governs notice to tenants prior to the termination of their tenancy.

The General Assembly of California has adopted a new law adding requirements to the notarization of real estate documents.

The California State Assembly is considering an increase in the amount a mortgagee or its assignee must pay if they do not provide a certificate of discharge within a certain amount of time after the mortgage has been satisfied.

California adopted legislation that will, among other things, increase the fee for recording real estate instruments, as well as expanding the definition of those instruments.

The California General Assembly is considering a bill that would require lenders to follow new procedures when filing a notice of default in nonjudicial foreclosure cases.

This bill would authorize the commissioner to issue citations to unlicensed persons the commissioner believes to be engaging in activities for which a real estate license is required or to licensees who are in violation of any provision of the Real Estate Law or any rule or order thereunder.

The California State Assembly is considering an increase in the amount a mortgagee or its assignee must pay if they do not provide a certificate of discharge within a certain amount of time after the mortgage has been satisfied.

This bill would extend those provisions until January 1, 2015, and to persons who facilitate or attempt to facilitate mortgage loan modifications or forbearance. The bill would further extend those prohibitions to persons who for a fee negotiate, attempt to negotiate, arrange, attempt to arrange, facilitate, attempt to facilitate, or otherwise offer to accomplish the sale of a residential dwelling for less than the remaining amount of indebtedness due to a mortgagor, mortgagors, trustor, or trustors at the time of sale. The bill would make conforming changes to the 14-point bold type statement that is required to be provided to a borrower, as specified.

This bill would instead require that mortgages and deeds of trust as well as assignments of a mortgage or a deed of trust be recorded within 30 days of the execution of the deed or other document creating a security interest in the real property or within 30 days of execution of the assignment. The bill would further require that either the promissory note or a specified certificate affirming the existence of the promissory note be attached at the time of recordation.

This bill would additionally require, beginning April 1, 2012, that the notice of sale, given pursuant to a deed of trust or mortgage secured by real property containing from one to 4 single-family residences, contain language notifying potential bidders of specified risks involved in bidding on property at a trustee's sale, and a notice to the property owner informing the owner about how to obtain information regarding any postponement of the sale. The bill would require a good faith effort to be made to provide current information regarding sale dates and postponements and that the information be available free of charge. The bill would permit the information to be provided by any means that provides continuous access, as specified.

This bill would require, beginning April 1, 2012, that the notice of sale, given pursuant to a deed of trust or mortgage secured by real property containing from one to 4 single-family residences, contain language notifying potential bidders of specified risks involved in bidding on property at a trustee's sale, and a notice to the property owner informing the owner about how to obtain information regarding any postponement of the sale. The bill would require a good faith effort to be made to provide current information regarding sale dates and postponements and that the information be available free of charge. The bill would permit the information to be provided by any means that provides continuous access, as specified.

This bill would make it unlawful for a nongovernmental entity to solicit funds or information by means of a mailing, electronic message, or Internet Web site that contains an emblem or content that reasonably could be interpreted or construed as implying any federal, state, or local government connection, approval, or endorsement, unless the nongovernmental entity has an expressed connection with a federal, state, or local government entity or unless the solicitation contains specified disclosures and meets other requirements. The bill would require the disclosures to be conspicuously displayed in specified locations, font type size, and manner. The bill would increase the maximum criminal fine for a violation of these provisions to $2,500 and would authorize a person to recover specified damages resulting from a violation of these provisions. The bill would delete the provisions requiring a business to include the contact information for a referenced governmental agency in an unsolicited mailing that offers to assist the recipient in dealing with the governmental agency. Existing law makes it unlawful for a person