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Bill > SB0253


IN SB0253

IN SB0253
Deed fraud.


summary

Introduced
01/08/2026
In Committee
01/08/2026
Crossed Over
Passed
Dead

Introduced Session

2026 Regular Session

Bill Summary

Deed fraud. Establishes the deed fraud task force. Provides that a county recorder may: (1) refuse to record a suspicious instrument, unless a court of competent jurisdiction finds that the county recorder's finding that the instrument is a suspicious instrument is erroneous; (2) report a suspicious instrument to the appropriate law enforcement agency; or (3) notify a notarial officer or notary public who has purported to acknowledge or prove a suspicious instrument of the reason for the county recorder's finding that the instrument is a suspicious instrument. Requires each county recorder to establish a property alert notification system. Requires each county recorder to establish an instrument alert notification system. Provides that a notarial officer may refuse to perform a notarial act if the notarial officer is not satisfied that the individual executing the record has provided sufficient information to conduct identity proofing. Requires a notary public to present proof of the notary public's commission to a person that sells or otherwise provides a stamping device to the notary public. Requires an applicant seeking a commission as a notary public to complete a background check administered by the secretary of state. Requires the secretary of state to establish certain security procedures and access controls with respect to the electronic data base of active notaries public. Provides that a person that alleges damages arising from the recording of a forged deed or mortgage has a cause of action against certain persons.

AI Summary

This bill establishes a deed fraud task force to assess and propose solutions for deed fraud in Indiana, composed of legislative members, state officials, and representatives from various professional and consumer groups, and it will expire on July 1, 2027. It also empowers county recorders to refuse to record "suspicious instruments" – documents with issues like mismatched notary information, claims of exemption from state law, non-compliance with recording standards, or fraudulent submission by non-trusted parties – unless a court overturns their decision, and allows them to report such instruments to law enforcement and notify notaries involved. Furthermore, county recorders must create property alert notification systems by January 1, 2027, allowing property owners to receive alerts about any recorded documents affecting their property, and instrument alert notification systems to notify notaries public when instruments bearing their name or commission number are recorded, with no charge for enrollment in either system. The bill also enhances notary public procedures by allowing notarial officers to refuse to perform acts if identity proofing information is insufficient, requiring notaries to provide proof of their commission when obtaining stamping devices, mandating background checks for notary applicants, and requiring the secretary of state to implement security measures for the electronic database of active notaries. Finally, it creates a legal avenue for individuals who suffer damages from recorded forged deeds or mortgages to sue the responsible parties, including those who forged the documents, knowingly submitted them for recording, or sold or encumbered property with knowledge of a forged deed, and allows for recovery of attorney fees and damages.

Committee Categories

Government Affairs

Sponsors (1)

Last Action

First reading: referred to Committee on Local Government (on 01/08/2026)

bill text


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