Posted by Stamper_WI on 9/15/08 3:26pm
Msg #264278
Liabilities of the employer
I got a call from a title Co in CA looking for a certain notary that had filled out her certificate incorrectly and it was being rejected by the Reg of Deeds. It sounded like it was holding up a transaction. Since she was not in my network, I directed them to the SOS site. When I had a chance to go there my self, I see she got her commission under her employer, Fed Ex Kinko's which got me thinking. Is kinko's liable for her errors? WOnder if they carry E&O insurance?
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Reply by PAW on 9/15/08 7:19pm
Msg #264297
Typically, the notary is solely responsible since it is the notary that receives the commission. However, many states (such as FL) extend liability to the notary's employer IF the notarial act was performed was done within the scope of the notary’s employment. I'm not sure how any other state handles the liability issue when the notarial act is performed as part of the employee's duties.
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Reply by BobbiCT on 9/16/08 7:13am
Msg #264322
Employer is liable 99.9% of the time
Kinko's has already had at least one lawsuit brought against it for a "bad" notarization by a notary employee (FedEx Kinko's was found liable; I believe the case is being appealed).
Last I heard, some Kinko's franchise "employers" still require at least one employee to become a notary, paid for notary commission and supplies, notarizations are performed as "part of the job" and the notarization fee is booked as FedEx Kinko's income. If you see FedEx, UPS, local bank, real estate office or whatever advertising that "the business" offers notary public services ... you can very quickly get to the employer deep pocket. Odds are the employee-notary will help the Plaintiff. After all, if the employer isn't brought in as partially or fully liable, the employee gets stuck with the entire cost, which as we all know can be legal fees PLUS UP TO 100% of the loss of ALL PARTIES who suffered a loss. Not the worst case example: all parties can be the Plaintiff (individual) who suffered a loss (for example, didn't sign the deed), the title insurance company, the lender, the secondary market purchaser, and "loss" can include every party's expenses, legal fees and "loss of value". NOT to scare, but this is why long-term notaries are extraordinarily careful and follow their State laws to the letter; it is the only protection we have.
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