Download This Bill in Microsoft Word format
A328, R409, H3033
STATUS INFORMATION
General Bill
Sponsors: Reps. Clemmons, Mahaffey and Cotty
Document Path: l:\council\bills\agm\18659mm07.doc
Introduced in the House on January 9, 2007
Introduced in the Senate on April 3, 2007
Last Amended on March 28, 2007
Passed by the General Assembly on June 5, 2008
Governor's Action: June 16, 2008, Signed
Summary: Mortgages or other liens
HISTORY OF LEGISLATIVE ACTIONS
Date Body Action Description with journal page number
-------------------------------------------------------------------------------
12/13/2006 House Prefiled
12/13/2006 House Referred to Committee on Labor, Commerce and Industry
1/9/2007 House Introduced and read first time HJ-28
1/9/2007 House Referred to Committee on Labor, Commerce and Industry
HJ-28
1/11/2007 House Member(s) request name added as sponsor: Cotty
1/23/2007 House Recalled from Committee on Labor, Commerce and Industry
HJ-14
1/23/2007 House Referred to Committee on Judiciary HJ-14
3/21/2007 House Committee report: Favorable with amendment Judiciary HJ-4
3/22/2007 Scrivener's error corrected
3/27/2007 House Requests for debate-Rep(s). WD Smith, Shoopman,
Hamilton, Vick, Davenport, Bedingfield, Clemmons,
Hagood, Lucas, Mack, Leach, Mahaffey, Hosey,
Jefferson, and Edge HJ-20
3/28/2007 House Amended HJ-36
3/28/2007 House Read second time HJ-40
3/28/2007 House Roll call Yeas-107 Nays-0 HJ-40
3/29/2007 House Read third time and sent to Senate HJ-31
4/3/2007 Senate Introduced and read first time SJ-14
4/3/2007 Senate Referred to Committee on Judiciary SJ-14
4/6/2007 Senate Referred to Subcommittee: Martin (ch), Malloy, Campsen,
Williams
5/30/2007 Senate Committee report: Favorable with amendment Judiciary SJ-9
6/3/2008 Senate Committee Amendment Amended and Adopted SJ-30
6/3/2008 Senate Read second time SJ-30
6/4/2008 Scrivener's error corrected
6/4/2008 Senate Read third time and returned to House with amendments
SJ-157
6/5/2008 House Concurred in Senate amendment and enrolled HJ-88
6/10/2008 Ratified R 409
6/16/2008 Signed By Governor
6/24/2008 Copies available
6/24/2008 Effective date 06/16/08
7/11/2008 Act No. 328
View the latest legislative information at the LPITS web site
VERSIONS OF THIS BILL
12/13/2006
3/21/2007
3/22/2007
3/28/2007
5/30/2007
6/3/2008
6/4/2008
(A328, R409, H3033)
AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 29-3-345 SO AS TO PROVIDE FOR A DOCUMENT OF RESCISSION TO CORRECT AN ERRONEOUS RECORDING OF A SATISFACTION OF A MORTGAGE OR OTHER LIEN AFFECTING REAL PROPERTY, TO PROTECT A PRIORITY CREDITOR WHO RECORDS AFTER THE ERRONEOUS RECORDING, TO PROVIDE A CIVIL CAUSE OF ACTION FOR A PERSON INJURED BY A WRONGFUL RECORDING OF A DOCUMENT OF RESCISSION, TO ESTABLISH A RECORDING FEE, AND TO PROVIDE A FORM FOR THE DOCUMENT.
Be it enacted by the General Assembly of the State of South Carolina:
Document of rescission
SECTION 1. Article 5, Chapter 3, Title 29 of the 1976 Code is amended by adding:
"Section 29-3-345. (A) In this section, 'document of rescission' means a document stating that an identified satisfaction or affidavit of satisfaction of a mortgage or other lien affecting real property was recorded erroneously or that a mortgage or other lien affecting real property was satisfied of record erroneously, the secured obligation remains unsatisfied, and the mortgage or other lien affecting real property remains in force.
(B) If a satisfaction or affidavit of satisfaction of a mortgage or other lien affecting real property is recorded in error or a mortgage or other lien affecting real property is satisfied of record erroneously by another means, a document of rescission that has been duly witnessed and notarized in compliance with Section 30-5-30 may be executed and recorded. Upon recording, the document of rescission rescinds the erroneously recorded satisfaction or affidavit and the erroneous satisfaction of record of the mortgage or other lien affecting real property and reinstates the mortgage or other lien affecting real property as of the mortgage's original filing date. The clerk of court, register of deeds, or registrar of mesne conveyance shall index the document of rescission as of the date of filing.
(C)(1) A recorded document of rescission has no effect and does not constitute a lien as to the rights of any grantee or lien creditor, their heirs, successors, or assigns who records an interest in the real property described in a mortgage or other lien affecting real property after the recording of the satisfaction or affidavit of satisfaction of the mortgage, or other lien affecting real property and before the recording of the document of rescission, with a grantee under deed of title taking the property free and clear of the mortgage or other lien that was erroneously satisfied if the deed of title was received during the time period between the recording of the erroneous satisfaction and the end of the next business day observed at the clerk of court, register of deeds, or registrar of mesne conveyance's office following the recording of the document of rescission; and
(2) any person or entity otherwise having priority over or taking free of the lien created by the mortgage or other lien affecting real property as reinstated.
(D) A creditor who erroneously or wrongfully records a document of rescission is liable to a person injured by the recording for a sum of money not exceeding one-half of the original face amount of the debt secured by the mortgage or twenty-five thousand dollars, whichever is less, plus actual damages, costs, and attorney's fees.
(E) The clerk of court, register of deeds, or registrar of mesne conveyance shall collect a filing fee of six dollars, and an additional one dollar per page for a document containing more than one page.
(F) The 'document of rescission' must be in a form substantially similar to:
STATE OF SOUTH CAROLINA ) DOCUMENT OF RESCISSION
COUNTY OF _______________ ) AFFIDAVIT
The undersigned on oath, being first duly sworn, hereby certifies as follows:
1. The undersigned is an authorized representative of ________________, the identified mortgagee/lien holder of the mortgage/lien ('Mortgage') filed at Book _____, Page _____ in the above-referenced County.
2. With respect to the Mortgage, given by ________________ to _________________ dated _____________ and recorded in the above County in the Office of the Register of Deeds, this is to represent and certify that the mortgagee inadvertently and mistakenly marked the Mortgage as paid and/or satisfied and filed that document in the records of the County aforesaid.
3. This is to represent and certify that such satisfaction was erroneous and inadvertent, with the obligation secured by the Mortgage remaining unsatisfied and outstanding and the referenced Mortgage remains in force and effect.
4. Pursuant to Section 29-3-345, the Mortgage is reinstated.
____________________________________
By:_________________________________
Its:_________________________________
Street Address:_____________________________
City, State and Zip Code:_____________________
Telephone:___________________________
_______________________________________
Witness
_______________________________________
Witness
Personally appeared before me ________________________ who with _______________________ did witness and does acknowledge the due execution of the foregoing instrument.
Witness my hand and seal
the ______ day of ___________, ____________
___________________________________(L.S.)
Notary Public for:_______________________
My Commission Expires:___________________"
Time effective
SECTION 2. This act takes affect upon approval by the Governor.
Ratified the 10th day of June, 2008.
Approved the 16th day of June, 2008.
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