SB1115 - 551R

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 10-140, Arizona Revised Statutes, is amended to read:

START_STATUTE10-140. Definitions

In chapters 1 through 17 of this title, unless the context otherwise requires:

1. "Acknowledged" or "acknowledgment" means either:

(a) An acknowledgment made by the person or persons signing an instrument and taken by a NOTARIAL officer pursuant to title 33, chapter 4, article 5 or title 41, chapter 2, article 1.

(b) The signature, without more, of the person or persons signing the instrument, in which case the signature or signatures constitute the affirmation or acknowledgment of the signatory, under penalties of perjury, that the instrument is the act and deed of the signatory and that the facts stated in the instrument are true.

2. "Act of the board of directors" means either:

(a) An act of the majority of the directors present at a duly called meeting at which a quorum is present, unless the act of a greater number is required by chapters 1 through 17 of this title, the articles of incorporation or the bylaws.

(b) Action taken by written consent of the directors in accordance with chapters 1 through 17 of this title.

3. "Act of the shareholders" means either:

(a) An act adopted or rejected by a majority of the votes entitled to be cast by each class of shareholders entitled to vote on the act at a duly called meeting at which a quorum is present, unless a greater number of votes is required by chapters 1 through 17 of this title, the articles of incorporation or the bylaws.

(b) An action taken by written consent of the shareholders in accordance with chapters 1 through 17 of this title.

4. "Address" means a mailing address.

5. "Affiliate" means a person that directly or indirectly, through one or more intermediaries controls, is controlled by or is under common control with the person specified.

6. "Articles of incorporation" means the original or restated articles of incorporation or articles of merger and all amendments to the articles of incorporation or merger and includes amended and restated articles of incorporation and articles of amendment and merger.

7. "Authorized shares" means the shares of all classes that a domestic or foreign corporation is authorized to issue.

8. "Board of directors" means the group of persons vested with the management of the affairs of the corporation irrespective of the name by which the group is designated and includes the governing body or bodies of a water users' association if the articles of incorporation of such the water users' association provide for a governing body or bodies denominated other than as a board of directors.

9. "Business day" means a day that is not a Saturday, a Sunday or any other legal holiday in this state.

10. "Bylaws" means the code of rules adopted for the regulation or management of the affairs of the corporation irrespective of the name by which those rules are designated.

11. "Certificate of disclosure" means the certificate of disclosure described in section 10-202.

12. "Commission" means the Arizona corporation commission.

13. "Conspicuous" means so written that a reasonable person against whom the writing is to operate should have noticed it. For example, printing in italics, boldface or contrasting color or typing in capitals or underlined is conspicuous.

14. "Corporation" or "domestic corporation" means a corporation for profit that is not a foreign corporation and that is incorporated under or subject to chapters 1 through 17 of this title.

15. "Court" means the superior court of this state.

16. "Deliver" includes sending by mail, private courier, fax or electronic transmission.

17. "Delivery" means actual receipt by the person or entity to which directed and for electronic transmissions means receipt as described in section 44-7015, subsection B.

18. "Dissolved" means the status of a corporation on either:

(a) Effectiveness of articles of dissolution pursuant to section 10-1403, subsection B or section 10-1421, subsection B.

(b) A decree pursuant to section 10-1433, subsection B becoming final.

19. "Distribution" means a direct or indirect transfer of money or other property, except its own shares, or incurrence of indebtedness by a corporation to or for the benefit of its shareholders in respect of any of its shares. A distribution may be in the form of any of the following:

(a) A declaration or payment of a dividend.

(b) Any purchase, redemption or other acquisition of shares.

(d) Otherwise.

20. "Effective date of notice" is as prescribed in section 10-141.

21. "Electronic transmission" means an electronic record as defined in section 44-7002 that is sent pursuant to section 44-7015.

22. "Employee" includes an officer but not a director. A director may accept duties that make the director also an employee.

23. "Entity" includes a corporation, foreign corporation, not for profit corporation, profit and not for profit unincorporated association, nonprofit corporation, close corporation, corporation sole or limited liability company, a professional corporation, association or limited liability company, a business trust, estate, partnership, registered limited liability partnership, trust or joint venture, two or more persons having a joint or common economic interest, any person other than an individual and a state, the United States and a foreign government.

24. "Executed by the corporation" means executed by manual or facsimile signature on behalf of the corporation by a duly authorized officer or, if the corporation is in the hands of a receiver or trustee, by the receiver or trustee.

25. "Filing" means the commission completing the following procedure with respect to any document delivered for that purpose:

(a) Determining that the filing fee requirements of section 10-122 have been satisfied.

(b) Determining that the document appears in all respects to conform to the requirements of chapters 1 through 17 of this title.

(c) On making the determinations, endorsement of the word "filed" with the applicable date on or attached to the document and the return of notice of the filing to the person who delivered the document or the person's representative.

26. "Foreign corporation" means a corporation for profit that is incorporated under a law other than the law of this state.

27. "Governmental subdivision" includes an authority, county, district, municipality and political subdivision.

28. "Includes" and "including" denotes a partial definition.

29. "Individual" includes the estate of an incompetent or deceased individual.

30. "Insolvent" means inability of a corporation to pay its debts as they become due in the usual course of its business.

31. "Known place of business" means the known place of business required to be maintained pursuant to section 10-501.

32. "Liquidate its assets and business" includes the distribution of assets, the payment of obligations and debts, the discontinuance of business or any one or more of the distribution, payment or discontinuance.

33. "Mail", "to mail" or "have mailed" means to deposit or have deposited a communication in the United States mail with first class or airmail postage prepaid.

34. "Means" denotes an exhaustive definition.

35. "Newspaper" has the meaning set forth in section 39-201.

36. "Notice" and "notify" are as prescribed in section 10-141.

37. "Person" includes an individual and entity.

38. "President" means that officer designated as the president in the articles of incorporation or bylaws or, if not so designated, that officer authorized in the articles of incorporation, bylaws or otherwise to perform the functions of the chief executive officer, irrespective of the name by which designated.

39. "Principal office" means the office, in or out of this state, so designated in the annual report where the principal executive offices of a domestic or foreign corporation are located or in any other document executed by the corporation by an officer and delivered to the commission for filing. If an office has not been so designated, principal office means the known place of business of the corporation.

40. "Proceeding" includes a civil suit and a criminal, administrative and investigatory action.

41. "Publish" means to publish in a newspaper of general circulation in the county of the known place of business for three consecutive publications.

42. "Record date" means the date established under chapter 6 or 7 of this title on which a corporation determines the identity of its shareholders and their shareholdings for purposes of chapters 1 through 17 of this title. The determinations shall be made as of the close of business on the record date unless another time for doing so is specified when the record date is fixed.

43. "Secretary" means that officer designated as the secretary in the articles of incorporation or bylaws or that officer authorized in the articles of incorporation, the bylaws or otherwise to perform the functions of secretary, irrespective of the name by which designated.

44. "Shareholder" means the person in whose name shares are registered in the records of a corporation or the beneficial owner of shares to the extent of the rights granted by a nominee certificate on file with a corporation.

45. "Shares" means the units into which the proprietary interests in a corporation are divided.

46. "State", if referring to a part of the United States, includes a state and commonwealth and their agencies and governmental subdivisions and a territory and insular possession of the United States and their agencies and governmental subdivisions.

47. "Subscriber" means a person who subscribes for shares in a corporation, whether before or after incorporation.

48. "Treasurer" means that officer designated as the treasurer in the articles of incorporation or bylaws or that officer authorized in the articles of incorporation or bylaws or otherwise to perform the functions of treasurer, irrespective of the name by which designated.

49. "United States" includes a district, authority, bureau, commission and department and any other agency of the United States.

50. "Vice-president" means an officer designated as the vice-president in the articles of incorporation or bylaws or an officer authorized in the articles of incorporation, the bylaws or otherwise to perform the functions of a vice-president, irrespective of the name by which designated.

51. "Voting group" means all shares of one or more classes or series that under the articles of incorporation or chapters 1 through 17 of this title are entitled to vote and be counted together collectively on a matter at a meeting of shareholders. All shares entitled by the articles of incorporation or chapters 1 through 17 of this title to vote generally on the matter are for that purpose a single voting group.

52. "Water users' association" means a corporation that operates a federal reclamation project pursuant to a contract with the United States.

53. "Writing" or "written" includes blockchain technology as defined in section 44-7061. END_STATUTE

Sec. 2. Section 10-3140, Arizona Revised Statutes, is amended to read:

START_STATUTE10-3140. Definitions

In chapters 24 through 40 of this title, unless the context otherwise requires:

1. "Acknowledged" or "acknowledgment" means either;

(a) An acknowledgment made by the person or persons signing an instrument and taken by a notarial officer pursuant to title 33, chapter 4, article 5 or title 41, chapter 2, article 1.

2. "Act of the board of directors" means either:

(a) An act of the majority of the directors present at a duly called meeting at which a quorum is present, unless the act of a greater number is required by chapters 24 through 40 of this title, the articles of incorporation or the bylaws.

(b) Action taken by written consent of the directors in accordance with chapters 24 through 40 of this title.

3. "Act of the members" means either:

(a) An act adopted or rejected by a majority of the votes represented and voting at a duly held meeting at which a quorum is present where affirmative votes also constitute a majority of the required quorum unless a greater number of votes is required by chapters 24 through 40 of this title, the articles of incorporation or the bylaws.

(b) An action taken by written consent of the members in accordance with chapters 24 through 40 of this title.

4. "Address" means a mailing address.

5. "Affiliate" means a person that directly or indirectly, through one or more intermediaries controls, is controlled by or is under common control with the person specified.

7. "Board", "board of directors" or "board of trustees" means the group of persons vested with the direction of the affairs of the corporation irrespective of the name by which the group is designated, except that no person or group of persons shall be deemed to be the board of directors solely because of powers delegated to that person or group pursuant to section 10-3801, subsection C.

8. "Business day" means a day that is not a Saturday, a Sunday or any other legal holiday in this state.

9. "Bylaws" means the code of rules adopted for the regulation or management of the affairs of the corporation irrespective of the name by which those rules are designated.

10. "Certificate of disclosure" means the certificate of disclosure described in section 10-3202.

11. "Class" refers to a group of memberships that have the same rights with respect to voting, dissolution, redemption and transfer. Rights are the same if they are determined by a formula applied uniformly.

12. "Commission" means the Arizona corporation commission.

14. "Corporation" or "domestic corporation" means a nonprofit corporation that is not a foreign corporation and that is incorporated under or subject to chapters 24 through 40 of this title.

15. "Corporation sole" means a corporation formed pursuant and subject to chapter 42, article 1 of this title.

16. "Court" means the superior court of this state.

17. "Delegates" means those persons elected or appointed to vote in a representative assembly for the election of a director or directors or on other matters.

18. "Deliver" includes sending by mail, private courier, fax or electronic transmission.

19. "Delivery" means actual receipt by the person or entity to which directed and for electronic transmissions means receipt as described in section 44-7015, subsection B.

20. "Directors" or "trustees" means individuals, designated in the articles of incorporation or bylaws or elected by the incorporators, and their successors and individuals elected or appointed by any other name or title to act as members of the board.

21. "Dissolved" means the status of a corporation on either:

(a) Effectiveness of articles of dissolution pursuant to section 10-11403, subsection B or section 10-11421, subsection B.

(b) A decree pursuant to section 10-11433, subsection B becoming final.

22. "Distribution" means a direct or indirect transfer of money or other property or incurrence of indebtedness by a corporation to or for the benefit of its members in respect of any of its membership interests. A distribution may be in the form of any of the following:

(a) A declaration of payment of a dividend.

(b) Any purchase, redemption or other acquisition of membership interests.

(d) Otherwise.

23. "Effective date of notice" is prescribed in section 10-3141.

24. "Electronic transmission" means an electronic record as defined in section 44-7002 and that is sent pursuant to section 44-7015, subsection A.

25. "Employee" means an officer, director or other person who is employed by the corporation.

26. "Entity" includes a corporation, foreign corporation, not for profit corporation, business corporation, foreign business corporation, profit and not for profit unincorporated association, close corporation, corporation sole, limited liability company or registered limited liability partnership, a professional corporation, association or limited liability company or registered limited liability partnership, a business trust, estate, partnership, trust or joint venture, two or more persons having a joint or common economic interest, any person other than an individual and a state, the United States and a foreign government.

27. "Executed by the corporation" means executed by manual or facsimile signature on behalf of the corporation by a duly authorized officer or, if the corporation is in the hands of a receiver or trustee, by the receiver or trustee.

28. "Filing" means the commission completing the following procedure with respect to any document delivered for that purpose:

(a) Determining that the filing fee requirements of this title have been satisfied.

(b) Determining that the document appears in all respects to conform to the requirements of chapters 24 through 40 of this title.

29. "Foreign corporation" means a corporation that is organized under a law other than the law of this state and that would be a nonprofit corporation if formed under the laws of this state.

30. "Governmental subdivision" includes an authority, county, district, municipality and political subdivision.

31. "Includes" and "including" denotes a partial definition.

32. "Individual" includes the estate of an incompetent individual.

33. "Insolvent" means inability of a corporation to pay its debts as they become due in the usual course of its business.

34. "Known place of business" means the known place of business required to be maintained pursuant to section 10-3501.

35. "Mail", "to mail" or "have mailed" means to deposit or have deposited a communication in the United States mail with first class postage prepaid.

36. "Means" denotes an exhaustive definition.

37. "Member" means, without regard to what a person is called in the articles of incorporation or bylaws, any person or persons who, pursuant to a provision of a corporation's articles of incorporation or bylaws, have the right to vote for the election of a director or directors. A person is not a member by virtue of any of the following:

(a) Any rights that person has as a delegate.

(b) Any rights that person has to designate a director or directors.

(d) Being referred to as a member in the articles of incorporation, bylaws or any other document, if the person does not have the right to vote for the election of a director or directors.

38. "Membership" refers to the rights and obligations a member or members have pursuant to a corporation's articles of incorporation and bylaws and chapters 24 through 40 of this title.

39. "Newspaper" has the same meaning prescribed in section 39-201.

40. "Notice" and "notify" are prescribed in section 10-3141.

41. "Person" includes individual and entity.

42. "President" means that officer designated as the president in the articles of incorporation or bylaws or, if not so designated, that officer authorized in the articles of incorporation, bylaws or otherwise to perform the functions of the chief executive officer, irrespective of the name by which designated.

43. "Principal office" means the office, in or out of this state, so designated in the annual report where the principal executive offices of a domestic or foreign corporation are located or in any other document executed by the corporation by an officer and delivered to the commission for filing. If an office has not been so designated, principal office means the known place of business of the corporation.

44. "Proceeding" includes a civil suit and a criminal, administrative and investigatory action.

45. "Publish" means to publish in a newspaper of general circulation in the county of the known place of business for three consecutive publications.

46. "Record date" means the date, if any, established under chapter 29 or 30 of this title on which a corporation determines the identity of its members and their membership interests for purposes of chapters 24 through 40 of this title. The determinations shall be made as of the close of business on the record date unless another time for doing so is specified when the record date is fixed.

47. "Secretary" means that officer designated as the secretary in the articles of incorporation or bylaws or that officer authorized in the articles of incorporation, the bylaws or otherwise to perform the functions of secretary, irrespective of the name by which designated.

48. "State" if referring to a part of the United States, includes a state and commonwealth and their agencies and governmental subdivisions and a territory and insular possession of the United States and their agencies and governmental subdivisions.

49. "Treasurer" means that officer designated as the treasurer in the articles of incorporation or bylaws or that officer authorized in the articles of incorporation, bylaws or otherwise to perform the functions of treasurer, irrespective of the name by which designated.

50. "United States" includes a district, authority, bureau, commission and department and any other agency of the United States.

51. "Vice-president" means an officer designated as a vice-president in the articles of incorporation or bylaws or an officer authorized in the articles of incorporation or the bylaws or otherwise to perform the functions of a vice-president, irrespective of the name by which designated.

52. "Vote" includes authorization by written ballot and written consent.

53. "Voting power" means the total number of votes entitled to be cast for the election of directors at the time the determination of voting power is made, excluding a vote that is contingent on the happening of a condition or event that has not occurred at the time. If a class is entitled to vote as a class for directors, the determination of voting power of the class shall be based on the percentage of the number of directors the class is entitled to elect out of the total number of authorized directors. END_STATUTE

Sec. 3. Section 15-1802.01, Arizona Revised Statutes, is amended to read:

START_STATUTE15-1802.01. County residency status; community college districts

A. Each community college district shall adopt policies regarding domicile requirements that include, at a minimum, the following:

1. Each student shall have the question of domicile determined before the time of registration and payment of fees. It is the responsibility of the student to register under the correct domicile determination.

2. Enforcement of domicile requirements shall be the responsibility of the chief executive officer of each community college district.

3. The chief executive officer of each community college district shall designate a representative at each college or campus who is responsible for documents and who is qualified to administer oaths as defined in section 41-311 in connection with statements and testimony relative to student domicile status for tuition purposes.

4. In addition to the requirements prescribed in section 15-1802, subsections G and H, any of the following may be used in determining a student's domicile:

(a) An income tax return.

(b) The place of graduation from high school.

(d) Dependency as indicated on a federal income tax return.

(e) Ownership of real property.

(f) A notarized statement of a landlord or employer.

(g) Bank accounts.

B. Each community college district shall adopt policies regarding classification procedures for a student for nonresident or resident tuition purposes that include, at a minimum, the following:

1. In determining a student's classification, the college may consider all evidence, written or oral, presented by the student and any other information received from any source that is relevant to determining classification. The college may request written sworn statements or sworn testimony of the student.

2. The decision as to classification shall be made by the representative designated pursuant to subsection A, paragraph 3 of this section. In making the decision the representative may consult with other college officials. Decisions by the representative shall be made as soon as possible after all relevant information is acquired.

3. If the representative classifies the student as a nonresident for tuition purposes, the decision shall be communicated to the student by mail to the most recent address furnished to the college. If the student is classified as a nonresident for tuition purposes, the student must make satisfactory provision for payment of nonresident tuition and other charges.

C. Each community college district shall adopt a review and appeals process for students contesting a domicile decision by the college. END_STATUTE

~~Sec.~~ 4. ~~Subject to the requirements of article IV, part 1, section 1, Constitution of Arizona, section 16-946, Arizona Revised Statutes, is amended to read:~~

START_STATUTE~~16-946. Qualifying contributions~~

~~A. During the qualifying period, a participating candidate may collect qualifying contributions, which shall be paid to the fund.~~

~~B. To qualify as a qualifying contribution, a contribution must be:~~

1. Made by a qualified elector as defined in section 16-121, who at the time of the contribution is registered in the electoral district of the office the candidate is seeking and who has not given another qualifying contribution to that candidate during that election cycle.

~~2. Made by a person who is not given anything of value in exchange for the qualifying contribution.~~

~~3. In the sum of five dollars $5, exactly.~~

4. Received unsolicited during the qualifying period or solicited during the qualifying period by a person who is not employed or retained by the candidate and who is not compensated to collect contributions by the candidate or on behalf of the candidate.

~~5. If made by check or money order, made payable to the candidate's campaign committee, or if in cash, deposited in the candidate's campaign committee's account.~~

6. Accompanied by a three-part reporting slip that includes the printed name, registration address and signature of the contributor, the name of the candidate for whom the contribution is made, the date and the printed name and signature of the solicitor. An A secure electronic signature as defined in that meets the requirements of section 41-351 44-7031 is deemed to comply with this paragraph.

C. A copy of the reporting slip shall be given as a receipt to the contributor, and another copy shall be retained by the candidate's campaign committee. Delivery of an original reporting slip to the secretary of state shall excuse the candidate from disclosure of these contributions on campaign finance reports filed under article 1 1.4 of this chapter. END_STATUTE

Sec. 5. Section 33-401, Arizona Revised Statutes, is amended to read:

START_STATUTE33-401. Formal requirements of conveyance; writing; subscription; delivery; acknowledgment; defects

A. No estate of inheritance, freehold, or for a term of more than one year, in lands or tenements, shall be conveyed unless the conveyance is by an instrument in writing, subscribed and delivered by the party disposing of the estate, or by his agent thereunto authorized by writing.

B. Every deed or conveyance of real property must be signed by the grantor and must be duly acknowledged before some officer authorized to take acknowledgments as prescribed in title 41, chapter 2, article 1.

C. In every deed or conveyance of real property in which the grantee is subject to regulation pursuant to title 6, 10 or 29, or would be subject to regulation pursuant to title 6, 10 or 29 if doing business in this state, the grantee's name and address and the state in which the grantee is incorporated, organized, licensed, chartered or registered shall be set forth fully, together with the name of the country under which the grantee is chartered or formed. The validity of any deed shall not be affected by any failure to comply with the requirements set forth in this subsection.

D. For the purposes of this section, a deed or conveyance containing that contains any defect, omission or informality in the certificate of acknowledgment, or for which there is any failure to perform a duty or meet a requirement in the taking of the acknowledgment, and which that has been recorded for longer than ten years in the office of the county recorder of the county in which the property is located shall be deemed to have been duly acknowledged on and after the date of its recording. END_STATUTE

Sec. 6. Section 33-411, Arizona Revised Statutes, is amended to read:

START_STATUTE33-411. Invalidity of unrecorded instrument as to bona fide purchaser; acknowledgment required for proper recording; recording of instruments acknowledged in another state; exception

A. No instrument affecting real property gives notice of its contents to subsequent purchasers or encumbrance holders for valuable consideration without notice, unless recorded as provided by law in the office of the county recorder of the county in which the property is located.

B. An instrument shall not be deemed lawfully recorded unless it has been previously acknowledged in the manner prescribed in this chapter or title 41, chapter 2, article 1 except in the case of master mortgages as provided in section 33-415.

C. For the purposes of this section, an instrument affecting that affects real property containing any defect, omission or informality in the certificate of acknowledgment, or for which there is any failure to perform a duty or meet a requirement in the taking of the acknowledgment, and which that has been recorded for longer than one year in the office of the county recorder of the county in which the property is located shall be deemed to have been lawfully recorded on and after the date of its recording.

D. An instrument affecting real property in this state executed, and acknowledged and certified in any other state in accordance with the laws of that any other state, shall be valid and entitled to record as if executed and acknowledged in accordance with the laws of this state.

E. Letters patent from the United States or any grant from the government, executed and authenticated pursuant to law, may be recorded without further acknowledgment. END_STATUTE

Sec. 7. Repeal

Title 33, chapter 4, article 5, Arizona Revised Statutes, is repealed.

Sec. 8. Title 41, chapter 2, Arizona Revised Statutes, is amended by adding article 1, to read:

ARTICLE 1. REVISED UNIFORM LAW ON NOTARIAL ACTS (2018)

Sec. 9. Section 41-311, Arizona Revised Statutes, is transferred and renumbered for placement in title 41, chapter 2, article 1, Arizona Revised Statutes, as added by this act, as section 41-251, and, as so renumbered, is amended to read:

START_STATUTE41-251. Definitions

In this article chapter, unless the context otherwise requires:

1. "Acknowledgment" means a notarial act in which a notary certifies that a signer, whose identity is proven by satisfactory evidence, appeared before the notary and acknowledged that the signer signed the document declaration by an individual before a notarial officer that the individual has signed a record for the purpose stated in the record and, if the record is signed in a representative capacity, that the individual signed the record with proper authority and signed it as the act of the individual or entity identified in the record.

2. "Commission" means to authorize to perform notarial acts and the written authority to perform those acts.

3. "Copy certification" means a notarial act in which the notary certifies that the notary has made a photocopy of an original document that is neither a public record nor publicly recordable.

4. "Incomplete document" means a document that has not been signed where a signature line is provided or where other obvious blanks appear in the document or that lacks a notarial certificate.

5. "Jurat" means a notarial act in which the notary certifies that a signer, whose identity is proven by satisfactory evidence, has made in the notary's presence a voluntary signature and has taken an oath or affirmation vouching for the truthfulness of the signed document.

3. "Electronic" means relating to technology having electrical, digital, magnetic, wireless, optical, electromagnetic or similar capabilities.

4. "Electronic signature" means an electronic symbol, sound or process that is attached to or logically associated with a record and that is executed or adopted by an individual with the intent to sign the record.

5. "In a representative capacity" means acting as any of the following:

(a) An authorized officer, agent, partner, trustee or other representative for a person other than an individual.

(b) a public officer, personal representative, guardian or other representative, in the capacity stated in a record.

(d) An authorized representative of another in any other capacity.

6. "Notarial act" or "notarization":

(a) Means any act, whether performed with respect to a tangible or electronic record, that a notary is authorized to notarial officer may perform under section 41-313 and that verifies only the identity of a signer of a document and not the truthfulness, accuracy or validity of the document 41-252.

(b) Includes taking an acknowledgment, administering an oath or affirmation, taking a verification on oath or affirmation, witnessing or attesting a signature, certifying or attesting a copy and noting a protest of a negotiable instrument.

7. "Notarial certificate" or "certificate" means the part of or attachment to a notarized document for completion by the notary that bears the notary's signature and seal and that states the venue, date and facts that are attested by the notary in a particular notarization.

7. "Notarial officer" means a notary public or other individual who is authorized to perform a notarial act.

8. "Notary public" or "notary" means any person individual who is commissioned to perform notarial acts under this article by the secretary of state.

9. "Oath" or "affirmation" means a notarial act or part of a notarial act in which a person made a vow in the presence of the notary under penalty of perjury, with reference made to a supreme being in the case of an oath.

10. "Personal knowledge" means familiarity with an individual resulting from interactions with that individual over a sufficient time to eliminate reasonable doubt that the individual has the identity claimed.

11. "Satisfactory evidence of identity" means:

(a) Proof of identity is evidenced by one of the following:

(i) An unexpired driver license or nonoperating identification license that is issued by a state or territory of the United States.

(ii) An unexpired passport that is issued by the United States department of state.

(iii) An unexpired identification card that is issued by any branch of the United States armed forces.

(iv) An inmate identification card that is issued by the state or federal department of corrections, if the inmate is in the custody of the department.

(v) Any form of inmate identification that is issued by a county sheriff, if the inmate is in the custody of the county sheriff.

(vi) Any other unexpired identification card that is issued by the United States government or a state or tribal government, that contains the individual's photograph, signature and physical description and that contains the individual's height, weight, hair color and eye color.

(vii) The oath or affirmation of a credible person who is personally known to the notary and who personally knows the individual.

(viii) The oath or affirmation of a credible person who personally knows the individual and who provides satisfactory evidence of identity pursuant to item (i), (ii), (iii), (iv), (v) or (vi) of this subdivision.

(ix) Personal knowledge of the individual by the notary.

(b) In addition to subdivision (a) of this paragraph, for the purposes of a real estate conveyance or financing, proof of identity may be evidenced by one of the following:

(i) A valid unexpired passport that is issued by the United States government.

(ii) A valid unexpired passport that is issued by a national government other than the United States government and that is accompanied by a valid unexpired visa or other documentation that is issued by the United States government and that is necessary to establish an individual's legal presence in the United States.

(iii) Any other valid unexpired identification that is deemed acceptable by the United States department of homeland security to establish an individual's legal presence in the United States and that is accompanied with supporting documents as required by the United States department of homeland security.

12. "Venue" means this state and the county where a notarial act occurs.

9. "Official stamp" means a physical image that is affixed to a tangible record or an electronic image that is attached to or logically associated with an electronic record.

10. "Person" means an individual, corporation, business trust, statutory trust, estate, trust, partnership, limited liability company, association, joint venture, public corporation, government or governmental subdivision, agency or instrumentality or any other legal or commercial entity.

11. "Record" means information that is either:

(a) Inscribed on a tangible medium.

(b) Stored in an electronic or other medium and that is retrievable in perceivable form.

12. "Sign" means, with present intent to authenticate or adopt a record, either of the following:

(a) To execute or adopt a tangible symbol.

(b) To attach to or logically associate with the record an electronic symbol, sound or process.

13. "Signature" means a tangible symbol or an electronic signature that evidences the signing of a record.

14. "Stamping device" means either of the following:

(a) A physical device that is capable of affixing to a tangible record an official stamp.

(b) An electronic device or process that is capable of attaching to or logically associating with an electronic record an official stamp.

15. "State" means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands or any territory or insular possession subject to the jurisdiction of the United States.

16. "Verification on oath or affirmation" means a declaration, made by an individual on oath or affirmation before a notarial officer, that a statement in a record is true. END_STATUTE

Sec. 10. Title 41, chapter 2, article 1, Arizona Revised Statutes, as added by this act, is amended by adding sections 41-252, 41-253, 41-254, 41-255, 41-256, 41-257, 41-258, 41-259, 41-260, 41-261, 41-262, 41-263, 41-264, 41-265, 41-266, 41-267, 41-268, 41-269, 41-270, 41-271, 41-272, 41-273, 41-274, 41-275, 41-276 and 41-277, to read:

START_STATUTE41-252. Authority to perform notarial acts

A. A notarial officer may perform a notarial act authorized by this article or by any law of this state other than this article.

B. A notarial officer may not perform a notarial act with respect to a record to which the officer or the officer's spouse is a party or in which either of them has a direct beneficial interest. A notarial act performed in violation of this subsection is voidable.

C. A notarial officer may certify that a tangible copy of an electronic record is an accurate copy of the electronic record. END_STATUTE

START_STATUTE41-253. Requirements for certain notarial acts

A. A notarial officer who takes an acknowledgment of a record shall determine, from personal knowledge or satisfactory evidence of the identity of the individual, that the individual appearing before the officer and making the acknowledgment has the identity claimed and that the signature on the record is the signature of the individual.

B. A notarial officer who takes a verification of a statement on oath or affirmation shall determine both of the following:

1. From personal knowledge or satisfactory evidence of the identity of the individual, that the individual appearing before the officer and making the verification has the identity claimed and that the signature on the statement verified is the signature of the individual.

2. That the record that contains the statement verified is complete to the best of the notarial officer's knowledge.

C. A notarial officer who witnesses or attests to a signature shall determine, from personal knowledge or satisfactory evidence of the identity of the individual, that the individual appearing before the officer and signing the record has the identity claimed.

D. A notarial officer who certifies or attests a copy of a record or an item that was copied shall determine that the copy is a full, true and accurate transcription or reproduction of the record or item. Except as required under section 41-319, a notarial officer may not certify or attest a copy of a public record of this state.

E. A notarial officer who makes or notes a protest of a negotiable instrument shall determine the matters set forth in section 47-3505, subsection B.

F. A notary public who performs a notarial act for an individual shall communicate with the individual through either of the following:

1. Directly in a language that both the notary public and the individual understand.

2. Indirectly through a translator who communicates directly with the notary public and the individual in languages that the translator understands. END_STATUTE

START_STATUTE41-254. Personal appearance required

A. If a notarial act relates to a statement made in or a signature executed on a record, the individual making the statement or executing the signature shall appear personally before the notarial officer.

B. If a notarial act involves a translator under section 41-253, subsection F, the translator shall appear personally before the notary public. END_STATUTE

START_STATUTE41-255. Identification of individual

A. A notarial officer has personal knowledge of the identity of an individual appearing before the officer if the individual is personally known to the notarial officer through dealings sufficient to provide reasonable certainty that the individual has the identity claimed.

B. A notarial officer has satisfactory evidence of the identity of an individual appearing before the notarial officer if the officer can identify the individual:

1. by means of:

(a) An unexpired United States passport or a state-issued driver license or nonoperating identification license.

(b) An unexpired identification card issued by any branch of the United States armed forces.

(c) Another form of unexpired government identification issued by the United States, a state or a tribal government to an individual that contains the signature or a photograph and physical description of the individual and that is satisfactory to the notarial officer.

(d) An inmate identification card issued by the state department of corrections or federal bureau of prisons, if the inmate is in state or federal custody.

(e) An inmate identification card issued by a county sheriff, if the inmate is in the custody of the county sheriff.

2. By verification on oath or affirmation of a credible witness personally appearing before the notarial officer and known to the notarial officer or whom the notarial officer can identify on the basis of satisfactory evidence of identity pursuant to paragraph 1 of this subsection.

C. In addition to subsection B of this section, for the purposes of a real estate conveyance or financing, a notarial officer has satisfactory evidence of the identity of an individual appearing before the notarial officer if the notarial officer can identify the individual by means of either of the following:

1. An unexpired passport issued by a national government other than the United States government that is accompanied by an unexpired visa or other documentation issued by the United States government and that is necessary to establish the individual's legal presence in the United States.

2. An unexpired identification card that is deemed acceptable by the United States department of homeland security to establish the individual's legal presence in the United States and that is accompanied by supporting documents as required by the United States department of homeland security.

D. A notarial officer may require an individual to provide additional information or identification credentials necessary to assure the notarial officer of the individual's identity. END_STATUTE

START_STATUTE41-256. Authority to refuse to perform notarial acts

A. A notarial officer may refuse to perform a notarial act if the notarial officer is not satisfied that either:

1. the individual executing the record is competent or has the capacity to execute the record.

2. the individual's signature is knowingly and voluntarily made.

B. A notarial officer may refuse to perform a notarial act unless refusal is prohibited by any law other than this article. END_STATUTE

START_STATUTE41-257. Signature if individual unable to sign

If an individual is physically unable to sign a record, the individual may direct an individual other than the notarial officer to sign the individual's name on the record. The notarial officer shall insert "Signature affixed by (name of other individual) at the direction of (name of individual)" or words of similar import. END_STATUTE

START_STATUTE41-258. Notarial act in this state

A. Any of the following may perform a notarial act in this state:

1. A notary public of this state.

2. A judge, clerk or deputy clerk of a court of record of this state.

3. An individual who is licensed to practice law in this state.

4. Any other individual who is authorized to perform the specific act by the laws of this state.

B. The signature and title of an individual performing a notarial act in this state are prima facie evidence that the signature is genuine and that the individual holds the designated title.

C. The signature and title of a notarial officer listed in subsection A, paragraph 1, 2 or 3 of this section conclusively establish the authority of the notarial officer to perform the notarial act. END_STATUTE

START_STATUTE41-259. Notarial act in another state

A. A notarial act performed in another state has the same effect under the laws of this state as if performed by a notarial officer of this state, if the act performed in that state is performed by any of the following:

1. A notary public of that state.

2. A judge, clerk or deputy clerk of a court of that state.

3. Any other individual who is authorized by the laws of that state to perform the notarial act.

B. The signature and title of an individual performing a notarial act in another state are prima facie evidence that the signature is genuine and that the individual holds the designated title.

C. The signature and title of a notarial officer described in subsection A, paragraph 1 or 2 of this section conclusively establish the authority of the notarial officer to perform the notarial act. END_STATUTE

START_STATUTE41-260. Notarial act under authority of federally recognized Indian tribes

A. A notarial act performed under the authority and in the jurisdiction of a federally recognized Indian tribe has the same effect as if performed by a notarial officer of this state, if the act performed in the jurisdiction of the tribe is performed by any of the following:

1. A notary public of the tribe.

2. A judge, clerk or deputy clerk of a court of the tribe.

3. Any other individual who is authorized by the laws of the tribe to perform the notarial act.

B. The signature and title of an individual performing a notarial act under the authority of and in the jurisdiction of a federally recognized Indian tribe are prima facie evidence that the signature is genuine and that the individual holds the designated title.

START_STATUTE41-261. Notarial act under federal authority

A. A notarial act performed under federal law has the same effect under the laws of this state as if performed by a notarial officer of this state, if the act performed under federal law is performed by any of the following:

1. A judge, clerk or deputy clerk of a court.

2. An individual who is in military service or performs duties under the authority of military service and who is authorized to perform notarial acts under federal law.

3. An individual who is designated a notarizing officer by the United States Department of State for performing notarial acts overseas.

4. Any other individual who is authorized by federal law to perform the notarial act.

B. The signature and title of an individual acting under federal authority and performing a notarial act are prima facie evidence that the signature is genuine and that the individual holds the designated title.

C. The signature and title of a notarial officer described in subsection A, paragraph 1, 2 or 3 of this section conclusively establish the authority of the notarial officer to perform the notarial act. END_STATUTE

START_STATUTE41-262. Foreign notarial act; definition

A. If a notarial act is performed under authority and in the jurisdiction of a foreign state or constituent unit of the foreign state or is performed under the authority of a multinational or international governmental organization, the act has the same effect under the laws of this state as if performed by a notarial officer of this state.

B. If the title of office and indication of authority to perform notarial acts in a foreign state appear in a digest of foreign law or in a list customarily used as a source for that information, the authority of an officer with that title to perform notarial acts is conclusively established.

C. The signature and official stamp of an individual holding an office described in subsection B of this section are prima facie evidence that the signature is genuine and that the individual holds the designated title.

D. An apostille in the form prescribed by the Hague Convention of October 5, 1961 and issued by a foreign state party to the Convention conclusively establishes that the signature of the notarial officer is genuine and that the notarial officer holds the indicated office.

E. A consular authentication issued by an individual designated by the United States Department of State as a notarizing officer for performing notarial acts overseas and attached to the record with respect to which the notarial act is performed conclusively establishes that the signature of the notarial officer is genuine and that the notarial officer holds the indicated office.

F. For the purposes of this section, "foreign state" means a government other than the United States, a state or a federally recognized Indian tribe. END_STATUTE

START_STATUTE41-263. Notarial act performed for remotely located individual; definitions

A. A remotely located individual may comply with Section 41-254 by using communication technology to appear before a notary public.

B. A notary public located in this state may perform a notarial act using communication technology for a remotely located individual if:

1. The notary public has any of the following:

(a) Personal knowledge under section 41-255, subsection A of the remotely located individual's identity.

(b) Satisfactory evidence of the identity of the individual by oath or affirmation from a credible witness appearing before and identified by the notary public under section 41-255, subsection B or this section.

(c) Satisfactory evidence of the identity of the remotely located individual by using at least two different types of identity proofing.

2. The notary public is able reasonably to confirm that a record before the notary public is the same record in which the remotely located individual made a statement or on which the individual executed a signature.

3. The notary public, or a person acting on behalf of the notary public, creates an audiovisual recording of the performance of the notarial act.

4. For a remotely located individual located outside the United states, both of the following apply:

(a) The record either:

(i) Is to be filed with or relates to a matter before a public official or court, governmental entity or other entity subject to the jurisdiction of the United States.

(ii) Involves property located in the territorial jurisdiction of the United States or involves a transaction substantially connected with the United States.

(b) The notary public has no actual knowledge that the act of making the statement or signing the record is prohibited by the foreign state in which the remotely located individual is located.

C. If a notarial act is performed under this section, the certificate of notarial act required by Section 41-264 and the short form certificate provided in Section 41-265 must indicate that the notarial act was performed using communication technology.

D. A short form certificate provided in Section 41-265 for a notarial act subject to this section is sufficient if either of the following applies:

1. The form of certificate complies with rules adopted under subsection G, paragraph 1 of this section.

2. the certificate is in the form provided in Section 41-265 and contains a statement substantially as follows: "This notarial act involved the use of communication technology."

E. A notary public, a guardian, conservator or agent of a notary public or a personal representative of a deceased notary public shall retain the audiovisual recording created under subsection B, paragraph 3 of this section or cause the recording to be retained by a repository designated by or on behalf of the person required to retain the recording. Unless a different period is required by rule adopted under subsection G, paragraph 4 of this section, the recording must be retained for a period of at least five years after the recording is made.

F. Before a notary public performs the notary public's initial notarial act under this section, the notary public must notify the secretary of state that the notary public will be performing notarial acts with respect to remotely located individuals and identify the technologies the notary public intends to use. If the secretary of state has established standards under subsection G of this section and Section 41-275 for approval of communication technology or identity proofing, the communication technology and identity proofing must conform to the standards.

G. In addition to adopting rules under Section 41-275, on or before July 1, 2022, the secretary of state shall adopt rules under this section regarding performance of notarial acts for remotely located individuals. The rules may:

1. Prescribe the means of performing a notarial act involving a remotely located individual using communication technology.

2. Establish standards for communication technology and identity proofing.

3. Establish requirements or procedures to approve providers of communication technology and the process of identity proofing.

4. Establish standards and a period for the retention of an audiovisual recording created under subsection B, paragraph 3 of this section.

h. Before adopting, amending or repealing a rule governing performance of a notarial act with respect to a remotely located individual, the secretary of state must consider:

1. The most recent standards regarding the performance of a notarial act with respect to a remotely located individual adopted by national standard-setting organizations and the recommendations of the national association of secretaries of state.

2. Standards, practices and customs of other jurisdictions that have laws substantially similar to this section.

3. The views of governmental officials and entities and other interested persons.

I. For the purposes of this section:

1. "Communication technology" means an electronic device or process that:

(a) Allows a notary public and a remotely located individual to communicate with each other simultaneously by sight and sound.

(b) When necessary and consistent with other applicable law, facilitates communication with a remotely located individual who has a vision, hearing or speech impairment.

2. "Foreign state" means a jurisdiction other than the United States, a state or a federally recognized Indian tribe.

3. "Identity proofing" means a process or service by which a third person provides a notary public with a means to verify the identity of a remotely located individual by a review of personal information from public or private data sources.

4. "Outside the United States" means a location outside the geographic boundaries of the United States, Puerto Rico, the United States Virgin Islands and any territory, insular possession or other location subject to the jurisdiction of the United States.

5. "Remotely located individual" means an individual who is not in the physical presence of the notary public who performs a notarial act under subsection B of this section. END_STATUTE

START_STATUTE41-264. Certificate of notarial act

A. A notarial act must be evidenced by a certificate. The certificate must:

1. Be executed contemporaneously with the performance of the notarial act.

2. Be signed and dated by the notarial officer and, if the notarial officer is a notary public, be signed in the same manner as on file with the secretary of state.

3. Identify the jurisdiction in which the notarial act is performed.

4. Contain the title of office of the notarial officer.

5. If the notarial officer is a notary public, indicate the date of expiration of the notarial officer's commission.

6. Be worded and completed using only letters, characters and a language that are read, written and understood by the notary public.

B. If a notarial act regarding a tangible record is performed by a notary public, an official stamp must be affixed to the certificate. If a notarial act is performed regarding a tangible record by a notarial officer other than a notary public and the certificate contains the information specified in subsection A, paragraphs 2, 3 and 4 of this section, an official stamp may be affixed to the certificate. If a notarial act regarding an electronic record is performed by a notarial officer and the certificate contains the information specified in subsection A, paragraphs 2, 3, 4 and 5 of this section, an official stamp may be attached to or logically associated with the certificate.

C. A certificate of a notarial act is sufficient if it meets the requirements of subsections A and B of this section and any of the following:

1. It is in a short form set forth in Section 41-265.

2. It is in a form otherwise allowed by the laws of this state.

3. It is in a form allowed by the laws applicable in the jurisdiction in which the notarial act was performed.

4. it sets forth the actions of the notarial officer and the actions are sufficient to meet the requirements of the notarial act as provided in Sections 41-253, 41-254 and 41-255 or the laws of this state other than this article.

D. By executing a certificate of a notarial act, a notarial officer certifies that the notarial officer has complied with the requirements and made the determinations specified in Sections 41-252, 41-253 and 41-254.

E. A notarial officer may not affix the notarial officer's signature to or logically associate it with a certificate until the notarial act has been performed.

F. If a notarial act is performed regarding a tangible record, a certificate must be part of or securely attached to the record. If the notarial certificate is attached to the record using a separate sheet of paper, the attachment must contain a description of the record that includes at a minimum the title or type of record, the date of the record, the number of pages of the record and any additional signers of the record other than those named in the notarial certificate. If a notarial act is performed regarding an electronic record, the certificate must be affixed to or logically associated with the electronic record. If the secretary of state has established standards pursuant to Section 41-275 for attaching, affixing or logically associating the certificate, the process must conform to the standards. END_STATUTE

START_STATUTE41-265. Short form certificates

The following short form certificates of notarial acts are sufficient for the purposes indicated, if completed with the information required by Section 41-264, subsections A and B:

1. For an acknowledgment in an individual capacity:

State of _____________________________________________

(County) of ___________________________________________

This record was acknowledged before me on _____________

date

by ___________________________________

name(s) of individual(s)

______________________________________

Signature of notarial officer

Stamp

(_____________________________________)

Title of office

(My commission expires: _____________)

2. For an acknowledgment in a representative capacity:

State of _________________________________________

(County) of ______________________________________

This record was acknowledged before me on _____________

date

by ____________________________________________________

name(s) of individual(s)

as (type of authority, such as officer or trustee) of (name of party on behalf of whom record was executed).

________________________________________

Signature of notarial officer

Stamp

(_______________________________________)

Title of office

(My commission expires: _______________)

3. For a verification on oath or affirmation:

State of _________________________________________

(County) of ______________________________________

Signed and sworn to (or affirmed) before me on ___________

date

by ________________________________________________________

Name(s) of individual(s) making statement

__________________________________________

Signature of notarial officer

Stamp

(_________________________________________)

Title of office

(My commission expires: __________________)

4. For witnessing or attesting a signature:

State of _________________________________________

(County) of ______________________________________

Signed (or attested) before me on ________________

date

by _______________________________________________

Name(s) of individual(s)

___________________________________________

Signature of notarial officer

Stamp

(__________________________________________)

Title of office

(My commission expires: ___________________)

5. For certifying a copy of a record:

State of ________________________________________

(County) of _____________________________________

I certify that this is a true and correct copy of a record in the possession of _________________________________.

Dated _______________________________

_____________________________________

Signature of notarial officer

Stamp

(____________________________________)

Title of office

(My commission expires: _____________)

6. For certifying a tangible copy of an electronic record:

State of _______________________________________________

(county) of ____________________________________________ I certify that the foregoing copy of a record (entitled ________) (dated _______) and containing ________ pages is an accurate copy of an electronic record.

Dated ____________________________________

__________________________________________

signature of notarial officer

Stamp

(_________________________________________)

Title of office

(my commission expires: __________________) END_STATUTE

START_STATUTE41-266. Official stamp

A. The official stamp of a notary public must:

1. Include the words "notary public", the name of the county in which the notary public is commissioned, the notary public's name as it appears on the notary public's commission, the commission expiration date and other information required by the secretary of state.

2. Be capable of being copied together with the record to which it is affixed or attached or with which it is logically associated.

B. A notary public's official stamp may be any shape. The physical image of an official stamp created by a physical stamping device must be not more than one and one-half inches high and two and one-half inches wide and it must include an image of the great seal of the state of Arizona. The electronic image of an official stamp created by an electronic stamping device must be legible when reproduced together with the record with which it is logically associated.

C. A notary public may not affix or attach the notary public's official stamp over the notary public's signature or over any other signature on the record that is the subject of the notarial act.

D. The official stamp of a notary public is an official seal of office for the purposes of the laws of this state. END_STATUTE

START_STATUTE41-267. Stamping device; violation; classification

A. A notary public is responsible for the security of the notary public's stamping device and may not allow another individual to use the device to perform a notarial act. On resignation from, or the revocation or expiration of, the notary public's commission, the notary public shall disable any electronic stamping device by destroying, erasing or securing it against use in a manner that renders it unusable. On the death or adjudication of incompetency of a notary public, the notary public's personal representative or guardian or any other person knowingly in possession of any electronic stamping device shall render it unusable by destroying, erasing or securing it against use in a manner that renders it unusable.

B. A vendor of stamping devices may not provide a stamping device to an individual unless the individual presents a copy of the individual's commission. The vendor must retain the copy for four years.

C. A notary public may possess only one physical stamping device for use with notarial acts performed regarding tangible records. A notary public may possess an embosser in addition to the notary public's physical stamping device. A notary public may use an embosser only in conjunction with the notary public's physical stamping device. An embosser or an impression made by the embosser is not an official seal of office for the purposes of the laws of this state.

D. A person who knowingly violates subsection B of this section is guilty of a class 6 felony. A person who violates subsection C of this section is guilty of a class 3 misdemeanor. END_STATUTE

START_STATUTE41-268. Notification regarding performance of notarial act on electronic record; selection of technology; acceptance of tangible copy of electronic record

A. A notary public may select one or more tamper-evident technologies to perform notarial acts with respect to electronic records. A person may not require a notary public to perform a notarial act with respect to an electronic record with a technology that the notary public has not selected.

B. Before a notary public performs the notary public's initial notarial act with respect to an electronic record, a notary public shall notify the secretary of state that the notary public will be performing notarial acts with respect to electronic records and identify the technology the notary public intends to use. If the secretary of state has established standards for approval of technology pursuant to Section 41-275, the technology must conform to the standards. If the technology conforms to the standards, the secretary of state shall approve the use of the technology.

C. A county recorder shall accept for recording a tangible copy of an electronic record containing a notarial certificate as satisfying any requirement that a record accepted for recording be an original, if the notarial officer executing the notarial certificate certifies that the tangible copy is an accurate copy of the electronic record. END_STATUTE

START_STATUTE41-269. Commission as notary public; confidential information; qualifications; assurance; no immunity or benefit

A. An individual qualified under subsection B of this section may apply to the secretary of state for a commission as a notary public. The applicant shall comply with and provide the information required by rules established by the secretary of state and pay any application fee. Except for the applicant's name and business address, all information provided on the application is confidential and may not be disclosed to any person other than the applicant, the applicant's guardian or personal representative or an employee or officer of the federal, state or local government who is acting in an official capacity. The secretary of state shall use the information provided on the application only for carrying out the purposes of this article.

B. An applicant for a commission as a notary public must:

1. Be at least eighteen years of age.

2. Be a citizen or permanent legal resident of the United States.

3. Be a resident of this state for income tax purposes and claim the individual's residence in this state as the individual's primary residence on state and federal tax returns.

4. Be able to read, write and understand English.

5. Not be disqualified to receive a commission under Section 41-271.

6. Have passed the examination described in Section 41-270 if required by the secretary of state.

7. Keep as a reference a manual that is approved by the secretary of state and that describes the duties, authority and ethical responsibilities of a notary public.

C. Before a commission as a notary public is issued, an applicant for the commission shall execute an oath of office and submit it to the secretary of state.

D. Before issuance of a commission as a notary public, the applicant for a commission shall submit to the secretary of state an assurance in the form of a surety bond in the amount of $5,000. The assurance must be issued by a surety or other entity licensed or authorized to do business in this state. The assurance must cover acts performed during the term of the notary public's commission and must be in the form prescribed by the secretary of state. If a notary public violates any law with respect to notaries public in this state, the surety or issuing entity is liable under the assurance. The surety or issuing entity shall give thirty days' notice to the secretary of state before canceling the assurance. The surety or issuing entity shall notify the secretary of state not later than thirty days after making a payment to a claimant under the assurance. A notary public may perform notarial acts in this state only during the period that a valid assurance is on file with the secretary of state. An employer may not cancel the assurance of any notary public who is an employee and who leaves such employment.

E. On compliance with this section, the secretary of state shall issue a commission as a notary public to an applicant for a term of four years.

F. A commission to act as a notary public authorizes the notary public to perform notarial acts. The commission does not provide the notary public any immunity or benefit conferred by the laws of this state on public officials or employees.

G. A notary public is a public officer commissioned by this state and all of the following apply without regard to whether the notary public's employer or any other person has paid the fees and costs for the commissioning of the notary public, including costs for a stamping device or journal:

1. A notary public's stamping device, commission and any journal that contains only public record entries remain the property of the notary public.

2. A notary public may perform notarial acts outside the workplace of the notary's employer except during those times normally designated as the notary public's hours of duty for that employer. All fees received by a notary public for notarial services provided while not on duty remain the property of the notary public.

3. An employer of a notary public may not limit the notary public's services to customers or other persons designated by the employer.

H. This state or any political subdivision of this state may pay the fees and costs for the commissioning of a notary public who is an employee of this state or any political subdivision of this state and who performs notarial acts in the course of the notary public's employment or for the convenience of public employees. END_STATUTE

START_STATUTE41-270. Examination of notary public; fee

A. The secretary of state may require an applicant for a commission as a notary public who does not hold a commission in this state, an applicant who is renewing a commission as a notary public or a notary public with a suspended commission to pass an examination administered by the secretary of state or an entity approved by the secretary of state. The examination must be based on the course of study described in subsection B of this section.

B. If the secretary of state requires an examination under subsection A of this section, the secretary of state or an entity approved by the secretary of state may offer a course of study to applicants who do not hold commissions as notaries public in this state, applicants who are renewing commissions as notaries public or notaries public with suspended commissions. The course must cover the laws, rules, procedures and ethics relevant to notarial acts.

C. The secretary of state may prescribe and assess a fee for administering a course of study and examination under this section. The secretary of state shall deposit the fees collected under this section in the notary education fund established by section 41-332. END_STATUTE

START_STATUTE41-271. Grounds to deny, refuse to renew, revoke, suspend or condition commission of notary public

A. The secretary of state may deny, refuse to renew, revoke, suspend or impose a condition on a commission as notary public for any act or omission that demonstrates the individual lacks the honesty, integrity, competence or reliability to act as a notary public, including any of the following:

1. Failure to comply with this article.

2. A fraudulent, dishonest or deceitful misstatement or omission in the application for a commission as a notary public submitted to the secretary of state.

3. A conviction of the applicant or notary public of any felony or a crime involving fraud, dishonesty or deceit. A conviction after a plea of no contest is deemed to be a conviction for the purposes of this paragraph.

4. A finding against or admission of liability by the applicant or notary public in any legal proceeding or disciplinary action based on the applicant's or notary public's fraud, dishonesty or deceit.

5. Failure by the notary public to discharge any duty required of a notary public, whether by this article, rules of the secretary of state or federal or state law.

6. Use of false or misleading advertising or representation by the notary public representing that the notary has a duty, right or privilege that the notary does not have.

7. Violation by the notary public of a rule of the secretary of state regarding a notary public.

8. Denial, refusal to renew, revocation, suspension or conditioning of a notary public commission in another state.

9. Failure of the notary public to maintain an assurance as provided in section 41-269, subsection D.

10. Charging more than the fees authorized by this article or rule.

11. The return for insufficient funds or for any other reason for nonpayment of a check issued for the assurance filing fees or application fees to the secretary of state.

12. Failure to respond to any request for information or to comply with any investigation initiated by the secretary of state or the attorney general.

13. The prior revocation of a notary public commission in this state.

B. If the secretary of state denies, refuses to renew, revokes, suspends or imposes conditions on a commission as a notary public, the applicant or notary public is entitled to timely notice and a hearing in accordance with chapter 6, article 10 of this title. The denial of an application or revocation or suspension of a commission is an appealable agency action. If an applicant appeals the denial of an application, the applicant may not submit a new application for consideration while the appeal is pending. If an individual's commission as a notary public in this state is revoked, the individual may not submit a new application for commission for one year after the date of revocation.

C. The authority of the secretary of state to deny, refuse to renew, suspend, revoke or impose conditions on a commission as a notary public does not prevent a person from seeking and obtaining other criminal or civil remedies provided by law. END_STATUTE

START_STATUTE41-272. Database of notaries public

A. The secretary of state shall maintain an electronic database of notaries public through which a person may verify the authority of a notary public to perform notarial acts.

B. The electronic database may indicate whether a notary public has notified the secretary of state that the notary public will be performing notarial acts on electronic records or for remotely located individuals under section 41-263. END_STATUTE

START_STATUTE41-273. Prohibited acts; civil penalty; violation; classification

A. A commission as a notary public does not authorize an individual to:

1. Assist persons in drafting legal records, give legal advice or otherwise practice law.

2. Act as an immigration consultant or an expert on immigration matters.

3. Represent a person in a judicial or administrative proceeding relating to immigration to the United States, United States citizenship or related matters.

4. Receive compensation for performing any of the activities listed in this subsection.

B. A notary public may not engage in false or deceptive advertising.

C. A notary public, other than an attorney who is licensed to practice law in this state, may not use the term "notario" or "notario publico".

D. A notary public, other than an attorney who is licensed to practice law in this state, may not advertise or represent that the notary public may assist persons in drafting legal records, give legal advice or otherwise practice law. If a notary public who is not an attorney licensed to practice law in this state in any manner advertises or represents that the notary public offers notarial services, whether orally or in a record, including broadcast media, print media and the Internet, the notary public shall include the following statement, or an alternative statement authorized or required by the secretary of state, in the advertisement or representation, prominently and in each language used in the advertisement or representation: "I am not an attorney licensed to practice law in this state. I am not allowed to draft legal records, give advice on legal matters, including immigration, or charge a fee for those activities". If the form of advertisement or representation is not broadcast media, print media or the Internet and does not allow inclusion of the statement required by this subsection because of size, it must be displayed prominently or provided at the place of performance of the notarial act before the notarial act is performed.

E. Except as otherwise allowed by law, a notary public may not withhold access to or possession of an original record provided by a person that seeks performance of a notarial act by the notary public.

F. If a notary public, other than an attorney licensed to practice law in this state, performs an activity listed in subsection A of this section or otherwise performs the unauthorized practice of immigration and nationality law as defined in section 12-2701, the secretary of state shall impose a civil penalty of not more than $1,000 and permanently revoke the notary public's commission.

G. A notary public who violates subsection D of this section is guilty of a class 6 felony and the secretary of state shall permanently revoke the notary public's commission. END_STATUTE

START_STATUTE41-274. Validity of notarial acts

Except as otherwise provided in section 41-252, subsection B and section 41-320, subsection B, the failure of a notarial officer to perform a duty or meet a requirement specified in this article does not invalidate a notarial act performed by the notarial officer. The validity of a notarial act under this article does not prevent an aggrieved person from seeking to invalidate the record or transaction that is the subject of the notarial act or from seeking other remedies based on the laws of this state other than this article or the laws of the United States. This section does not validate a purported notarial act performed by an individual who does not have the authority to perform notarial acts. END_STATUTE

START_STATUTE41-275. Rules

A. The secretary of state may adopt rules to implement this article. On or before July 1, 2022, the secretary of state shall adopt rules under this section regarding the performance of notarial acts with respect to electronic records. Rules adopted regarding the performance of notarial acts with respect to electronic records may not require, or accord greater legal status or effect to, the implementation or application of a specific technology or technical specification. The rules may:

1. Prescribe the manner of performing notarial acts regarding tangible and electronic records.

2. include provisions to ensure that any change to or tampering with a record bearing a certificate of a notarial act is self-evident.

3. include provisions to ensure integrity in the creation, transmittal, storage or authentication of electronic records or signatures.

4. Prescribe the process of granting, renewing, conditioning, denying, suspending or revoking a notary public commission and assuring the trustworthiness of an individual holding a commission as a notary public.

5. Include provisions to prevent fraud or mistake in the performance of notarial acts.

6. Establish the process for approving and accepting surety bonds and other forms of assurance under Section 41-269.

7. Provide for the administration of the examination under Section 41-270, subsection A and the course of study under Section 41-270, subsection B.

B. In adopting, amending or repealing rules about notarial acts with respect to electronic records, the secretary of state shall consider, so far as is consistent with this article:

1. The most recent standards regarding electronic records promulgated by national bodies, such as the national association of secretaries of state.

2. Standards, practices and customs of other jurisdictions that substantially enact this article.

3. The views of governmental officials and entities and other interested persons. END_STATUTE

START_STATUTE41-276. Notary public commission in effect; authorization to perform electronic and remote online notarizations in effect

A. A commission as a notary public in effect on the effective date of this section continues until its date of expiration. A notary public who applies to renew a commission as a notary public on or after the effective date of this section is subject to and shall comply with this article. A notary public, in performing notarial acts after the effective date of this section, shall comply with this article.

B. An authorization issued by the secretary of state to perform electronic notarization or remote online NOTARIZATIONS in effect on the effective date of this section continues until its date of expiration. a notary public who notifies the secretary of state that the notary public will be performing notarial acts with respect to electronic records or with respect to remotely located individuals on or after the effective date of this section is subject to and shall comply with this article. END_STATUTE

START_STATUTE41-277. Relation to electronic signatures in global and national commerce act

This article modifies, limits and supersedes the Electronic signatures in global and national commerce act (P.L. 106-229; 114 Stat. 464; 15 United States Code sections 7001 through 7031) but does not modify, limit or supersede 15 United States Code section 7001(c) or authorize electronic delivery of any of the notices described in 15 United States Code section 7003(b). END_STATUTE

Sec. 11. Heading change

The article heading of title 41, chapter 2, article 2, Arizona Revised Statutes, is changed from "NOTARIES PUBLIC" to "NOTARIES PUBLIC MISCELLANEOUS PROVISIONS".

Sec. 12. Repeal

Sections 41-312, 41-313 and 41-315, Arizona Revised Statutes, are repealed.

Sec. 13. Section 41-317, Arizona Revised Statutes, is amended to read:

START_STATUTE41-317. Resignation; delivering notary seal, notarial journal and records; failure to comply; storing records; certified copies

A. A notary PUBLIC shall submit the notary's NOTARY PUBLIC'S resignation in writing to the secretary of state.

B. On the resignation or revocation of a notarial commission or the death of a notary PUBLIC, the notary seal ANY PHYSICAL STAMPING DEVICE, notarial journal and records, except those records of notarial acts that are not public record, shall be delivered by certified mail or other means providing a receipt to the secretary of state. If a notary PUBLIC does not apply for reappointment, on expiration of the notarial commission the notary seal, THE device, the NOTARIAL journal and records shall be delivered to the secretary of state as required for resignation under this subsection. A notary PUBLIC who neglects for three months thereafter to deposit such records, seal device and papers, or the personal representative of a deceased notary PUBLIC who neglects for three months after appointment to deposit such records, seal DEVICE and papers, shall forfeit to the state not less than fifty nor $50 or more than five hundred dollars $500.

C. While a notary public is commissioned, a notary public shall keep all records and journals of the notary's NOTARY PUBLIC'S acts for at least five years after the date the notarial act was performed. On receipt of the records and journals from a notary public who no longer is commissioned, the secretary of state shall keep all records and journals of notaries public deposited in the secretary of state's office for five years and shall give certified copies thereof when required, and for the copy certifications the secretary of state shall receive the same fees as are by law allowed to notaries public. The copy certifications shall be as valid and effectual as if given by a notary public. END_STATUTE

Sec. 14. Section 41-319, Arizona Revised Statutes, is amended to read:

START_STATUTE41-319. Journal

A. The a notary public shall keep a paper journal and, to chronicle all notarial acts performed regarding tangible records. a notary public shall keep either a paper journal or one or more electronic journals to chronicle all notarial acts performed regarding electronic records. Except as prescribed by subsection E of this section, a notary public shall keep only one paper journal at a time. The notary public shall record all notarial acts in chronological order. The notary public shall furnish, when requested, a certified copy of any public record in the notary's notary public's journal. Records of notarial acts that violate the attorney-client privilege or that are confidential pursuant to federal or state law are not a public record. Each journal entry shall include at least:

1. The date of the notarial act.

2. A description of the document or and type of notarial act.

3. The printed full name, signature and address of each person individual for whom a notarial act is performed.

4. If a paper journal is used, the signature of each individual for whom a notarial act is performed.

4. 5. The type of satisfactory evidence of identity presented to the notary public by each person individual for whom a notarial act is performed, if other than or a notation that the notary's notary public's personal knowledge of the individual is was used as satisfactory evidence of identity.

5. 6. A description of the identification card or document, its serial or identification number and if any, including its date of issuance or expiration.

6. 7. The fee, if any, charged for the notarial act.

B. If a notary public has personal knowledge of the identity of a signer, the requirements of subsection A, paragraphs 1 through 5 of this section may be satisfied by the notary retaining public shall retain a paper or electronic copy of the notarized documents for each notarial act in lieu of making a journal entry or the notary public shall make a journal entry pursuant to the requirements of subsection A, paragraphs 1, 2, 3, 4, 5 and 7 of this section.

C. Except for notarial acts performed for remotely located individuals under section 41-263, if a notary does public performs more than one notarization for an individual within a six month period, the notary public shall have the individual provide satisfactory evidence of identity as required under section 41-255 the first time the notary performs the notarization for the individual but may not require satisfactory evidence of identity or the individual to sign the journal for subsequent notarizations performed for the individual during the six month period.

D. If a notary public performs more than one notarization of the same type for a signer either on like documents similar records or within the same document record and at the same time, the notary public may group the documents records together and make one journal entry for the transaction.

E. If one or more entries in a notary public's journal are not public records, the notary public shall keep one journal that contains entries that are not public records and one journal that contains entries that are public records. If a notary public keeps only one journal, that journal is presumed to be a public record. A notary public's journal that contains entries that are not public records is the property of the employer of that notary public and shall be retained by that employer if the notary public leaves that employment. A notary public's journal that contains only public records is the property of the notary public without regard to whether the notary public's employer purchased the journal or provided the fees for the commissioning of the notary public.

F. Except as provided in subsections A and E of this section, the notary's notary public's journal is a public record that may be viewed by or copied for any member of the public, but only on presentation to the notary public of a written request that details the month and year of the notarial act, the name of the person individual whose signature was notarized and the type of document record or transaction. END_STATUTE

Sec. 15. Section 41-320, Arizona Revised Statutes, is amended to read:

START_STATUTE41-320. Competency of bank and corporation notaries

A. It is lawful for a notary public who is a stockholder, director, officer or employee of a corporation to take the acknowledgment or oath of any party to any written instrument record executed to or by the corporation, or to administer an oath to any other stockholder, director, officer, employee or agent of the corporation, or to protest for nonacceptance or nonpayment of bills of exchange, drafts, checks, notes and other negotiable instruments which that may be owned or held for collection by the corporation.

B. It is unlawful for any notary public to take the acknowledgment of an instrument a record executed by or to a corporation of which he the notary public is a stockholder, director, officer or employee, where the notary public is a party to the instrument record, either individually or as a representative of the corporation, or to protest any negotiable instrument owned or held for collection by the corporation, where the notary is individually a party to the instrument. A notarial act performed in violation of this subsection is voidable. END_STATUTE

Sec. 16. Repeal

Sections 41-321 and 41-322, Arizona Revised Statutes, are repealed.

Sec. 17. Section 41-323, Arizona Revised Statutes, is amended to read:

START_STATUTE41-323. Change of address; lost, stolen or compromised journal or seal; civil penalty

A. Within thirty days after the change of a notary's notary public's mailing, business or residential address, the notary public shall deliver to the secretary of state, by certified mail or other means providing a receipt, a signed notice of the change that provides both the old and new addresses.

B. Within ten days after the loss, theft or compromise of an official journal or seal stamping device, the notary public shall deliver to the secretary of state, by certified mail or other means providing a receipt, a signed notice of the loss, theft or compromise. The notary also shall inform the appropriate law enforcement agency in the case of theft.

C. If a notary public fails to comply with subsection A or B of this section, the notary public has failed to fully and faithfully discharge the duties of a notary public and the secretary of state may impose a civil penalty of twenty-five dollars $25 against the notary. The notary public shall pay any civil penalty imposed by the secretary of state pursuant to this subsection before the renewal of the notary's commission. END_STATUTE

Sec. 18. Section 41-324, Arizona Revised Statutes, is amended to read:

START_STATUTE41-324. Court reporters; notarial acts

A. Court reporters who administer oaths and affirmations in judicial proceedings are exempt from the provisions of this chapter other than section 41-315 41-269, subsections C and D. Court reporters who are commissioned as notaries and who perform notarial acts outside of judicial proceedings are subject to all provisions of this chapter and of other laws of this state that regulate notaries public.

B. A court reporter who prepares a transcript of a judicial proceeding shall attach a certificate page to the transcript. On the certificate page, the court reporter shall attest to the fact that the reporter administered an oath or affirmation to each witness whose testimony appears in the transcript.

C. An affidavit of nonappearance that is prepared by a court reporter does not need to be witnessed by a notary public. END_STATUTE

Sec. 19. Section 41-327, Arizona Revised Statutes, is amended to read:

START_STATUTE41-327. Surname change; notification; continuation of commission

A notary public who has a change of surname may continue to use the official seal stamp and commission in the notary public's prior name until that commission expires. The notary public shall sign the changed surname on the line that is designated for the notary public's signature on the notarial certificate. Immediately below that signature, the notary public shall sign the name under which the notary was commissioned. The notary public shall notify the secretary of state's office within thirty days of after the notary's notary public's change of surname. Failure to notify the secretary of state of this change of surname is evidence of the notary's notary public's failure to fully and faithfully discharge the duties of a notary public. END_STATUTE

Sec. 20. Repeal

Sections 41-328, 41-329 and 41-330, Arizona Revised Statutes, are repealed.

Sec. 21. Section 41-332, Arizona Revised Statutes, is amended to read:

START_STATUTE41-332. Notary education fund

The notary education fund is established consisting of monies deposited pursuant to section 41-312 41-270. The secretary of state shall administer the fund. Monies in the fund are subject to legislative appropriation. END_STATUTE

Sec. 22. Repeal

Title 41, chapter 2, articles 3 and 4, Arizona Revised Statutes, are repealed.

Sec. 23. Section 44-7003, Arizona Revised Statutes, is amended to read:

START_STATUTE44-7003. Scope

A. Except as otherwise provided in subsections B and C of this section, this chapter applies to any electronic record and electronic signature relating to a transaction.

B. For the purposes of this article and articles 2, 3 and 4 of this chapter, this chapter does not apply to a transaction to the extent the transaction is governed by:

1. Title 14 as it relates to the creation and execution of wills, codicils or testamentary trusts.

2. Title 19, chapter 1 as it relates to the signing of referendum petitions and initiative petitions.

2. 3. Title 47, other than title 47, chapters 2 and 2A and section 47-1306 and as otherwise provided in section 44-7016.

C. Article 5 of this chapter applies only to title 10 and transactions governed by title 47, chapters 2, 2A and 7.

D. This chapter applies to an electronic record or electronic signature otherwise excluded from the application of this chapter under subsection B or C of this section to the extent the record or signature is governed by a law other than those laws described in subsection B or C of this section.

E. Any transaction subject to this chapter is also subject to any other applicable substantive law.END_STATUTE

Sec. 24. Section 44-7011, Arizona Revised Statutes, is amended to read:

START_STATUTE44-7011. Notarization; acknowledgment

Notwithstanding title 41, chapter 2, article 2, If the a law requires a signature or record to be notarized, acknowledged, verified or made under oath, that requirement is satisfied if a notary completes a notarial certificate on the electronic record. That notarial certificate on the electronic record is complete without the imprint or perceivable image of the notary's seal if all of the following apply:

1. The electronic record is signed pursuant to this chapter or section 18-106 in the presence of a notary.

2. The notary reasonably verifies that the electronic signature on the electronic record is the electronic signature executed or adopted by the signer pursuant to this chapter or issued to the signer pursuant to section 18-106.

3. The notary electronically signs with an electronic signature that is consistent with this chapter or any other applicable law.

4. The following information appears electronically within the record electronically signed by the notary:

(a) The notary's full name and commission number exactly as it appears on the notary's commission.

(b) The words "notary public", "state of Arizona" and "my commission expires on (date)".

(d) The notary's e-mail or other electronic address exactly as it appears on the notary's commission the electronic signature of the person authorized to perform those acts, together with all other information required to be included by other applicable law, is attached to or logically associated with the signature or record. END_STATUTE

Sec. 25. Effective date

This act is effective from and after June 30, 2022.

Sec. 26. Requirements for enactment; three-fourths vote

Pursuant to article IV, part 1, section 1, Constitution of Arizona, section 16-946, Arizona Revised Statutes, as amended by this act, is effective only on the affirmative vote of at least three-fourths of the members of each house of the legislature.