History

• In ancient Rome, notaries were public officials also known as "scribae" or "scribes." Using a common form of shorthand popular throughout the Roman empire, known as "notarius," these scribes were responsible for transcribing official statements. Today, these public officials are referred to as "notaries."
  
  

Significance

• Notaries are state-appointed public officials who serve as neutral witnesses during document execution. Typically, notaries are commissioned by their state's secretary of state. Notaries are regularly used during real estate sales transactions to witness legal conveyances of deeds and mortgages.
  
  During fraudulent real estate conveyances, the person purporting to be the lawful property owner doesn't have legal title and is not authorized to transfer the property. Because of fraudulent sales proceeds, the entire transaction becomes a sham. Illinois, joining several other states, implemented regulations to help combat real estate fraud.
  
  

Features

• Illinois Public Act 95-988 went into effect in 2009 and was scheduled to sunset in 2013. The law requires Chicago and Cook County notaries to collect additional proof of identity during real estate transactions. Notaries must notarize legal transfers of title and provide a "notarial record." The notarial record consists of collecting the seller's thumbprint and ensuring the proof of identification is currently valid. Additionally, identification must include a photograph and signature. Notary who are employees of residential title companies must provide the notarial record to her employer within 14 days. The employer must keep these records for at least seven years. Delivery of the notarial record must be made within 14 days to the Cook County recorder of deeds by non-title agent notaries.
  
  

Considerations

• The county recorder or the title agency must treat the record as private and classified information available only through subpoena requests. Additionally, the confidentiality requirement is not pre-empted by the Freedom of Information Act.
  
  

Solution

• Mortgage fraud committed during real estate transaction is a growing concern. Notaries may carefully verify proper identification to ascertain the identities of both the purchasers and sellers of residential real estate. Closing agents may also assist the notaries in substantiating this information. These safeguards may be effective measures to combat illegal transfers between the parties.