Below are the recent Jurisdictional Updates as of May 11, 2021. Since there is such a large volume of updates, be sure to check back for the remainder later this week. Since there are many pending changes we will only be focusing on passed legislation.
Legislation Amends the Small Business and CARES Acts House Bill 1799 (Public Law 117-6) signed by the President and effective March 30, 2021, to extend the covered period for the paycheck protection program.
HB 177 – The governor signed on April 29, 2021, to amend the state’s UETA so a municipality is able to use electronic signatures and records in the conduct of its affairs. The new law took effect immediately.
SB 275 – The governor signed on April 28, 2021, to ratify and validate all deeds, conveyances, deeds of trust, mortgages, mineral leases, marriage contracts, and other instruments in writing, affecting or purporting to affect title to any real estate or personal property that was acknowledged via remote notarization before the new law takes effect on July 1, 2021.
SB 1115 – Passed on March 18, 2021, to adopt the 2018 Revised Uniform Law on Notarial Acts. The new law takes effect on June 30, 2022.
Secretary of State to collect Franchise Taxes effective March 15, 2021, according to posted news items at The Administration of Franchise Taxes this was transferred from the Secretary of State to the Department of Finance and Administration effective January 1, 2021, pursuant to the Arkansas Tax Reform Act of 2019.
HB 1183 – Authorize county clerks to accept payment of recording and other fees by credit card and allow the clerk to assess a transaction fee to cover the costs. The governor signed the bill on March 4, 2021, and it takes effect on the 91st day after the legislature adjourns.
HB 1255 – Regulate cross-collateralization clauses, passed the Senate on March 8, 2021, and signed by the governor on March 10, 2021. The bill provides requirements for an enforceable cross-collateralization clause in a security instrument, mortgage, or deed of trust that secures indebtedness incurred for personal, family, or household purposes. The new law takes effect 91 days after adjournment.
HB 1273 – Act 275 on March 8, 2021, to establish the Oil and Gas Owners Lien Act of 2021. The bill creates a lien in favor of each owner of oil and gas to secure the obligations of a first purchaser to pay the sale price. The lien will be perfected automatically without the need to file a financing statement or other record and have a super-priority over other liens. The new law takes effect 91 days after adjournment.
HB 1124 – The governor signed on April 19, 2021, to facilitate electronic business activity. The bill includes numerous changes to the business organization laws for electronic meetings of the board of directors and shareholders. In addition, the bill amends existing laws to authorize the delivery of notices by electronic means. The new law took effect immediately.
HB 1255 – The governor signed on April 29, 2021, to amend various provisions of state law related to electronic wills, notarial act requirements, and requirements for recordation of documents. The bill also allows for proof of various documents by witnessing remotely using audio-visual technology. The new law takes effect on July 1, 2021.
HB 1464 – The governor signed on April 29, 2021, to prohibit the use of an entity name or assumed name that suggests the entity is affiliated with any state or federal government agency. The bill also amends provisions related to emergency by-laws and authorizes a corporation to hold annual meetings of members by remote communications. The new law takes effect on July 1, 2021.
HB 1056 – Signed by the governor on February 18, 2021, this new law clarifies that the term “instrument” includes both electronic and paper documents and amends requirements for proof of notarial acts on instruments to be recorded. The new law took effect upon passage.
SB 204 – Signed on April 15, 2021, to provide for remote notarization of advance healthcare directives. The bill includes a provision that the presence before the notary requirement can be satisfied by telephonic interaction. The new law takes effect on July 1, 2021.
HB 2390 – Addressed disclosure of public records, was amended in the Senate to include provisions to address fraudulent filing or recording of documents. The amendments make it a felony to file or record false liens or financing statements. The bill was approved by both chambers after conference committee and it was signed by the governor on April 21, 2021. The new law takes effect upon publication in the statute book.
HB 2391 – The governor signed on April 21, 2021, to provide that business entities shall file a written business information report biennially. The new law takes effect upon publication in the statute book.
SB 106 – The governor signed on April 21, 2021, to adopt the Revised Uniform Law on Notarial Acts. The new law takes effect upon publication in the statute books.
SB 162 – The governor signed on April 5, 2021, to reorganize the Secretary of State Office. The new law will divide the SOS into three offices, rather than the current two divisions, each with an executive director appointed by the secretary. These include the Office of Administration, the Office of Elections, and the Office of Business Services. The Office of Business Services would be responsible for all functions related to business filings, including business entity filings and filings under the Uniform Commercial Code, business records, trademarks and service mark registration, notary appointments, and apostilles. The new law takes effect 90 days after the general assembly adjourns.
SB 132 – The governor signed on April 13, 2021, to provide that the custodian of a public record is only allowed to disclose the home address and phone number of a notary if the notary has not provided a business address and phone number. The new law takes effect on October 1, 2021.
SB 212 – The governor signed on April 13, 2021, to change content requirements for notarial stamps. The new law provides that the stamp must include the notary’s county of residence if the notary resides in the state. If the notary does not reside in the state, the stamp must include the county in which the notary was qualified. The new law takes effect on July 1, 2021.
SB 320 – The governor signed on April 13, 2021, to amend resident agent requirements for foreign corporations. This bill authorizes a foreign corporation to certify that the State Department of Assessments and Taxation (SDAT) is the corporation’s resident agent when registering or qualifying with SDAT, and authorizes SDAT to act as a resident agent for a foreign corporation that does business in MD without a resident agent or with a resident agent who cannot be found or served with the exercise of reasonable diligence. The new law takes effect on October 1, 2021.
HB 277 – The governor signed on March 18, 2021, to amend several state laws to recognize tribal identification cards as the equivalent of a state-issued driver’s license or ID card. The bill includes an amendment to the individual debtor name requirements for purposes of a financing statement in the state’s version of UCC § 9-503(a)(4). The amendment provides that if the debtor furnishes a valid identification card issued by a federally recognized Indian tribe or band that contains a color photograph and the card holder’s legal name (note – it is not clear from the text how a lender could make that determination), residence address and date of birth that has not expired, then the financing statement is sufficient if it provides the name of the individual indicated on such tribal identification card. The new law takes effect on July 1, 2021.
SB 2638 – The governor signed on April 9, 2021, to provide a procedure for recording a tangible copy of an electronic document in counties that lack eRecording capability. The new law takes effect on July 1, 2021.
HB 23 – Legislation Revises Tax Deed and Tax Lien Process signed by the governor and effective February 23, 2021, revises the tax deed and tax lien process.
LB 94 – The governor signed on March 31, 2021, to prohibit the invalidation of certain notarial acts performed online under the governor’s emergency order between April 2, 2020, and July 1, 2020.
LB 177 – The governor signed on March 31, 2021, to extend the filing deadline for certain agricultural liens under UCC Article 9 from 60 to 120 days. The new law takes effect 90 days after the legislature adjourns.
LB 253 – LLC Protected Series Act Amended signed by the governor March 17, 2021, and effective March 18, 2021, amended the LLC and the Protected Series Act to clarify (1) fees for designation of protected series filings and (2) a protected series may not provide professional services