New York State Legislature Eases Record-Keeping Rules for Notaries
June 16, 2024
New York State recently passed bill No. A07241A/S8663, aimed at easing the requirements that notaries in the state keep records of every transaction for a period of 10 years. The initial intent of the law, passed in 2022, was to root out fraud and offer an added layer of protection to ensure the legitimacy of notarized transactions.
In April 2023, the New York State Bar Association released a report that examined the effectiveness of the new rules. In it, the report found that the rules were, “unduly broad and burdensome on notaries and attorneys” and offered “no showing that the new laws and regulations will diminish concerns of fraud.” As such, the Bar recommended rolling back the regulations, which the legislature has done with Bill No. A07241A/S8663.
In response to this latest change, New York State Bar Association President Domenick Napoletano said, “We worked closely advising lawmakers on the impact of the notary law and we thank them for addressing the issue.” He also urged New York Gov. Kathy Hochul to sign the bill into law.
The updated law exempts non-electronic notary acts from the previously established recording and storage requirements, easing the burden on notaries and attorneys, but also reducing the risk that confidential information can be obtained by unauthorized third parties accessing the stored records.