Sacramento Report
July 21, 2009
CLTA Takes Lead in Sidelining Bill Requiring Riders on Deeds of Trust
A coalition led by the CLTA has sidelined a bill this year which would have required a rider to deeds of trust listing a laundry list of real estate professionals involved in the transaction or else the deed of trust would be void. Assembly Bill 919 (Nava) had already passed the Assembly but now will not be considered in the Senate until next year.
Although the purposed of this bill was to discourage fraud and to create a paper trail for enforcement action, the CLTA argued that AB 919 would have the unintended consequence making it easier to commit fraud by creating a list of real estate providers with their license numbers in each and every loan transaction.
