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Committee advances bill to authorize vetted vendors for electronic deed filings to curb fraud
Summary
House Bill 1039, sponsored by Representative Garrett, would require counties to accept electronic filings only from authorized vendors, aiming to reduce fraudulent deeds and associated title costs; the committee advanced the bill unanimously.
Representative Garrett told the Cities & Counties Subcommittee on Feb. 19, 2025, that House Bill 1039 responds to a growing problem of fraudulent electronic deed filings that can create title defects discovered later when a homeowner refinances or sells.
The bill would create a process to list authorized vendors for electronic filing of deeds and other documents, placing responsibility on those vendors to ensure documents are genuine copies of originals. Garrett said the change is intended to prevent invalid liens and other fraudulent recordings that impose legal costs and title-clearing expenses on property owners.
Supporters noted the policy also could free counter staff to serve walk-in customers by channeling legitimate electronic filings through trusted vendors. Garrett and others said the bill would create vendor accountability by making unauthorized vendors financially responsible for costs incurred to clear a title if they file fraudulent documents.
The committee voted to move House Bill 1039 to the next State and Local Government calendar; the clerk recorded five ayes and zero nos.
