Bill Summaries: H 556 TENANCY IN COM/E-NOTARY/SMALL CLAIMS CHANGES. (NEW)

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  • Summary date: Jul 3 2024 - View Summary

    The Governor vetoed the act on July 3, 2024. The Governor's objections and veto message are available here: https://webservices.ncleg.gov/ViewBillDocument/2023/9406/0/H556-BD-NBC-12420.


  • Summary date: Jun 19 2024 - View Summary

    Senate committee substitute to the 1st edition replaces the prior edition in its entirety with the following.

    Section 1

    Enacts new Article 7, pertaining to Tenancy in Common, of GS Chapter 41.

    Defines actual ouster, constructive ouster, conveyance, cotenant, and property. Describes a tenancy in common as having the following five characteristics: (1) two or more persons hold separate undivided interests in the property, (2) the interests of the cotenants in the property are deemed to be equal unless otherwise specified in the instrument of conveyance, (3) the cotenants hold by several and distinct titles with each cotenant having a right to possession of the property, (4) the cotenants need not take title from the same instrument or at the same time, (5) the cotenants do not have a right of survivorship. Directs that the interests are deemed to be equal unless otherwise specified in the instrument of conveyance. Specifies that the percentage of interests acquired by intestacy are determined under GS Chapter 29.

    Makes clear that each cotenant has a right to enter upon property and to occupy and use it subject to the rights of the cotenant(s). Directs that unless an actual ouster occurs, one cotenant cannot bring an action against another for taking possession of the property to which each has a right as a cotenant. Provides that an ousted cotenant may bring an action, other than an action for partition, seeking to compel the cotenant in possession to admit the ousted cotenant into possession.

    Creates rules for the creation of a tenancy in common as follows. The conveyance must meet one of the following three criteria: (1) the conveyance is to two or more grantees and expresses an intent that the grantees hold separate undivided interests in the property; (2) the conveyance is to one or more grantees and expresses an intent that the grantor and the grantee or grantees hold separate undivided interests in the property; (3) the conveyance does not express an intent described in prongs (1) or (2) and, with nothing else appearing, does not under the circumstances create an estate in property other than a tenancy in common.  Identifies the following five terms contained in an instrument of conveyance that are to be deemed to express an intent to create a tenancy in common unless the instrument provides otherwise: (1) equal portions; (2) equally divided; (3) share and share alike; (4) share equally; (5) their respective portions. 

    Sets forth rules for when an interest in property held by cotenants who marry or when a tenancy in common interest is conveyed to parties who are married convert to a tenancy by the entirety or tenancy by the entirety with right of survivorship. Specifies when a tenancy in common may be created by operation of law.

    Specifies that an act of a cotenant in relation to the property cannot bind a cotenant with respect to a third party unless it was previously authorized or subsequently ratified by the cotenant and is presumed to have been done by authority and for the benefit of the cotenant. Sets forth rules related to rents and profits from property and for reimbursement for a cotenant from another cotenant.

    Affirms the rights of cotenants to enter into agreements with respect to their property, including possession, sharing rents and profits, reimbursement related to the property, and the authority of a cotenant to bind a cotenant.

    Sets forth rules related to the following: (1) adverse possession of a cotenant’s interest in the property with or without color of title; (2) the acquisition of title to the property by one cotenant; (3) the alienation of a cotenant’s undivided interest in the property; (4) obligations amongst cotenants, including when a fiduciary relationship is created; and (5) action against a third party by a cotenant.

    Specifies that events terminating a tenancy in common include the following four events: (1) partition of the property under GS Chapter 46A, (2) voluntary partition of the property among cotenants executing one or more instruments conveying the property held as cotenants to themselves in separate tracts, (3) conveyance of all interests in the property to one grantee, and (4) acquisition by one cotenant of the ownership of the property by adverse possession.

    Directs that an interest of a cotenant in the property may be sold as part of a proceeding of satisfaction of the cotenant’s debt to a creditor, but that it does not affect the title of any other cotenant’s interest in the property.

    Clarifies that the Article does not apply to property in a general partnership covered by GS Chapter 59, an action for partition and its effect under GS Chapter 46A, or tenancy in common in personal property. Sets forth rules of construction and relationship of new statutory provisions to the common law and principles of equity related to tenancy in common.

    Section 2

    Extends the expiration date of the emergency video notarization to 12:01 am on July 1, 2025 (was, 12:01 am on June 30, 2024). Extends the expiration date for Article 3 of GS Chapter 10B (Video Witnessing During State of Emergency) from June 30, 2024, to June 30, 2025.

    Section 3

    Amends GS 10B-20 (powers and limitations of a notary) to allow a notary to disclose confidential information in response to five listed requests, including a valid subpoena, court order, warrant, and a written request from all principals to a specific notarial transaction.  Effective July 1, 2024.

    Section 4

    Amends GS 10B-134.9, as amended by SL 2023-57, so that notaries commissioned by the Secretary (was, registered with the Secretary) may administer an oath or affirmation to a principal (was, witness) that does not require remote electronic notarization of a record or a notarial certificate and seal when done in person so long as listed statutory requirements are met. Makes conforming changes. Effective July 1, 2024.

    Section 5

    Amends the definition of geolocation GS 10B-134.1, as amended by SL 2023-57 (definitions pertaining to electronic notarization). Adds to the requirement pertaining to geolocation platforms under GS 10B-134.19(c)(3) as amended by SL 2023-57, (pertaining to platform licensure requirements for electronic notaries) so that the platform only has to identify geolocation of the remotely located principal when the remotely located principal is conducting the remote electronic notarization via a device capable of identifying their geographic location at the time.  Effective July 1, 2024.

    Section 6

    Directs that if technology becomes available so that geolocation may be broadly utilized without a global positioning system to determine geographic location of remotely located principals to a remote notarization, the Secretary must amend permanent rules adopted pursuant to GS Chapter 10B to include processes and requirements for the use of geolocation technology in remote electronic notarization in accordance with Part 4A of Article 2 of GS Chapter 10B.

    Section 8

    Allows judgment to be rendered electronically by a magistrate in a small claims act under GS 7A-224. Makes conforming change to GS 7A-228 (pertaining to new trials before a magistrate and appeals for trial de novo). Makes language gender neutral. Effective October 1, 2024.

    Makes technical and conforming changes. Makes conforming changes to the act’s titles.


  • Summary date: Apr 3 2023 - View Summary

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    Amends requirements for interpreter and transliterator licensure. Amends certification requirements under GS 90D-7 to include North Carolina Interpreter and Transliterator Licensing Board (Board) approved national entities in lieu of certification by the Registry of Interpreters for the Deaf, Inc and removes the option of holding a quality assurance North Carolina Interpreter Classification System level A or B. Amends GS 90D-8 to include a requirement of a two-year associate degree in interpreting from an accredited institution (was, one of the four options) for provisional licensure as an interpreter or transliterator; also raises the minimum assessment score for Educational Interpreter Performance Assessment (EIPA) from 3 to 3.5 and allows for other certifications from Board-approved bodies to be considered for licensure. To meet statutory hourly requirements, interpreters and transliterators shall provide documentation when applying for provisional licensure. Effective October 1, 2023.

    Requires the North Carolina Interpreter and Transliterator Licensing Board to adopt temporary rules to implement the provisions of this act, which will remain in effect until permanent rules that replace the temporary rules become effective.