BILL REQ. #: S-1498.1
State of Washington | 62nd Legislature | 2011 Regular Session |
READ FIRST TIME 02/21/11.
AN ACT Relating to clarifying agency relationships in reconveyances of deeds of trust; and amending RCW 61.24.110.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1 RCW 61.24.110 and 1998 c 295 s 13 are each amended to read
as follows:
(1) The trustee of record shall reconvey all or any part of the
property encumbered by the deed of trust to the person entitled thereto
on written request of the beneficiary, or upon satisfaction of the
obligation secured and written request for reconveyance made by the
beneficiary or the person entitled thereto.
(2) If the beneficiary fails to request reconveyance within the
sixty-day period specified under RCW 61.16.030 and has received payment
as specified by the beneficiary's demand statement, a title insurance
company or title insurance agent as licensed and qualified under
chapter 48.29 RCW, a licensed escrow agent as defined in RCW 18.44.011,
or an attorney admitted to practice law in this state, who has paid the
demand in full from escrow, upon receipt of notice of the beneficiary's
failure to request reconveyance, may, as agent for the person entitled
to receive reconveyance, in writing, submit proof of satisfaction and
request the trustee of record to reconvey the deed of trust.
(3)(a) If the trustee of record is unable or unwilling to reconvey
the deed of trust within one hundred twenty days following payment to
the beneficiary as prescribed in the beneficiary's demand statement, a
title insurance company or title insurance agent as licensed and
qualified under chapter 48.29 RCW, a licensed escrow agent as defined
in RCW 18.44.011, or an attorney admitted to practice law in this state
may record with each county auditor where the original deed of trust
was recorded a notarized declaration of payment. The notarized
declaration must: (i) Identify the deed of trust, including original
grantor, beneficiary, trustee, loan number if available, and the
auditor's recording number and recording date; (ii) state the amount,
date, and name of the beneficiary and means of payment; and (iii)
include a declaration that the payment tendered was sufficient to meet
the beneficiary's demand and that no written objections have been
received.
(b) A copy of the recorded declaration of payment must be sent by
certified mail to the last known address of the beneficiary and the
trustee of record not later than two business days following the date
of recording of the notarized declaration. The beneficiary or trustee
of record has sixty days from the date of recording of the notarized
declaration to record an objection, including reference to the
recording number of the declaration and original deed of trust, in the
records where the notarized declaration was recorded. If no objection
is recorded within sixty days following recording of the notarized
declaration, any lien of the deed of trust against the real property
encumbered must cease to exist.