Bulletin: CO2023004

Dear Associates:

The following are summaries of some Bills passed during the 2023 Colorado legislative session, which are of interest to the title insurance industry.

House Bill 23-1125 – Modernize Process to Obtain Water Well Information: This Bill clarifies the process to complete a change of ownership of a water well. Among other changes, the Bill provides that anyone providing closing services for a transaction in which a well is transferred is required to submit a change in owner form to the Division of Water Resources (the “Division”). The Division will create an online form for title companies to use to submit the change of ownership information. However, title companies will only be required to submit as much information as is available to them at the time of closing. The Division will follow up with a purchaser to obtain any missing information. The Bill will become effective as of August 6, 2023. 

Senate Bill 23-052 – Municipal Liens: This Bill will not affect the current validity or priority of municipal liens. Instead, it will require a County Treasurer to accept certain municipal liens for certification if the liens have been recorded and submitted for certification within certain time periods. The Bill will become effective as of August 6, 2023. 

Senate Bill 23-077 – Restrictions on Broker Engagement Contracts: Also known as the “MV Realty Bill”, this Bill restricts certain provisions with a Broker Engagement Contract, especially the type of contract previously used by MV Realty and similar operations. The Bill prohibits any form of contractual provision which runs with the land as a covenant or which purports to create a lien or encumbrance. This Bill will become effective as of August 6, 2023, and will apply to any contracts executed on or after that date. There are no retroactive effects as to existing Broker Engagement Contracts. Please contact a Stewart Title Guaranty Underwriter if you have questions regarding the treatment of contracts executed and recorded prior to August 6, 2023. 

Senate Bill 23-153 – Changes to Revised Uniform Law On Notarial Acts: Among other changes, this Bill allows the use of Interpreters when a Notary and the individual signing do not communicate in the same language. The party acting as an Interpreter must appear personally and cannot have a disqualifying interest in the transaction for which documents are being notarized. This Bill will become effective as of September 1, 2023. 

Senate Bill 23-188 – Protections for Accessing Reproductive Health Care: This Bill adds Healthcare Workers, Providers and Patients to the list of parties whose personal information cannot be published on the Internet. As with the other protected categories, Healthcare Workers, Providers and Patients may request that certain information be redacted from the publicly available documents on a County Clerk and Recorder website. The title company exemption from prior years is still in place and will allow title companies to obtain access to unredacted Clerk and Recorder records. This Bill became effective as of April 21, 2023.

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

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