Posted by Ernest__CT on 5/27/08 10:46am
Msg #248811

Sure, I'll practice law without a license.

This morning I received a document that says, in part, "The undersigned Closing agent certifies that he/she has completed the following [...] Explained the loan documents to the borrower and outlined the responsibilities involved in entering into the loan transaction, including the consequences if the borrower defaults on the loan and insurance claim is paid by HUD."

Any Notary Signing Agent who does the above is begging to have their commission revoked and be sued. IT IS UNAUTHORIZED PRACTICE OF LAW. Period.

Reply by ReneeK_MI on 5/27/08 10:52am
Msg #248813

Would be UPL for the bona-fide "Closing Agent" to do, as well - UNLESS they were an attorney.

The explanation of the documents - if limited to general descriptions and NOT including legal consequences or any interpretations of any laws - would IMHO be fine. Everything in the statement BEYOND that part is clearly UPL, as it involves those things - interpretations and consequences.

Reply by Ernest__CT on 5/27/08 10:54am
Msg #248815

ReneeK makes a good point. "Describe" versus "Explain". n/m

Reply by Brickslaw/GA on 5/27/08 11:08am
Msg #248821

Judging by your screen name, I'm assuming you are a Connecticut notary and the closing is for a Connecticut property. If memory serves me, Connecticut is an attorney-only state, so if it is and you are not an attorney, then you should not be conducting the closing, as Connecticut considers it the unauthorized practice of law when done by a non-attorney. This is regardless of the fact neither the attorney nor the notary is to render legal advice for this transaction.

Reply by Ernest__CT on 5/27/08 11:11am
Msg #248822

Brickslaw is incorrect. n/m

Reply by Linda_H/FL on 5/27/08 11:25am
Msg #248828

I didn't think so, Ernest...although I understand

CT is kind of "on the fence" about signing agents and their authority - I didn't think CT was an attorney-only state yet ... MHO

Reply by MW/VA on 5/27/08 1:48pm
Msg #248886

The term "Closing Agent" refers to the title company, not the signing agent. In every FHA loan I have ever done there is a HUD disclosure that covers what you are referring to.
I don't see how any of this comes close to UPL. UPL is advising the borrower.