Bill > H535

This bill introduces comprehensive measures to prevent title fraud and protect property owners by implementing several key provisions. The bill enhances criminal penalties for filing fraudulent deeds, requiring registers of deeds to verify the identity of individuals submitting property-related documents through government-issued photo identification. It establishes a new legal procedure allowing property owners to quickly challenge fraudulent instruments by filing a civil action pro se, with expedited court hearings and potential remedies like ejectment, attorneys' fees, and injunctions against future fraudulent filings. The bill mandates that property transfer documents include a source of title and be cross-referenced with county tax records to ensure legitimacy. Additionally, the Legislative Research Commission is tasked with studying the feasibility of creating a statewide fraud detection alert system that would automatically enroll property owners with an option to opt-out. The bill introduces new definitions of "suspicious instruments" and creates mechanisms for registers of deeds to refuse registration of potentially fraudulent documents, while also providing legal protections for county officials implementing these new verification processes. These provisions are designed to make it more difficult for bad actors to fraudulently transfer or claim ownership of real property and provide property owners with more robust tools to quickly address and remedy title fraud.

Government Affairs, Housing and Urban Affairs, Justice

https://www.ncleg.gov/BillLookUp/2025/H535