CERTIFICATION OF ENROLLMENT

                        HOUSE BILL 1452

                    Chapter 14, Laws of 1997

                        55th Legislature

                      1997 Regular Session

TITLE INSURERS--CLARIFICATION OF TERMS

                    EFFECTIVE DATE:  7/27/97

Passed by the House March 12, 1997   Yeas 97   Nays 0              CLYDE BALLARD Speaker of the       House of Representatives Passed by the Senate April 8, 1997   Yeas 44   Nays 0

CERTIFICATE I, Timothy A. Martin, Chief Clerk of the House of Representatives of the State of Washington, do hereby certify that the attached is HOUSE BILL 1452  as passed by the House of Representatives and the Senate on the dates hereon set forth.

BRAD OWEN President of the Senate

TIMOTHY A. MARTIN                           Chief Clerk

Approved April 15, 1997 Place Style On Codes above, and Style Off Codes below.

FILED                       April 15, 1997 - 5:16 p.m.

GARY LOCKE Governor of the State of Washington

Secretary of State                   State of Washington

          _______________________________________________

                          HOUSE BILL 1452

          _______________________________________________

             Passed Legislature - 1997 Regular Session

State of Washington      55th Legislature     1997 Regular Session

By Representatives L. Thomas, Wolfe, Zellinsky, Alexander and Keiser

Read first time 01/27/97.  Referred to Committee on Financial Institutions & Insurance.

Providing definitions concerning title insurers.  

    AN ACT Relating to title insurers; and amending RCW 48.29.010.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

    Sec. 1.  RCW 48.29.010 and 1947 c 79 s .29.01 are each amended to read as follows:

    (1) This chapter relates only to title insurers.

    (2) None of the provisions of this code shall be deemed to apply to persons engaged in the business of preparing and issuing abstracts of title to property and certifying to the correctness thereof so long as such persons do not guarantee or insure such titles.

(3) For purposes of this chapter, unless the context clearly requires otherwise:

(a) "Title policy" means any written instrument, contract, or guarantee by means of which title insurance liability is assumed.

(b) "Abstract of title" means a written representation, provided pursuant to contract, whether written or oral, intended to be relied upon by the person who has contracted for the receipt of such representation, listing all recorded conveyances, instruments, or documents which, under the laws of the state of Washington, impart constructive notice with respect to the chain of title to the real property described.  An abstract of title is not a title policy as defined in this subsection.

(c) "Preliminary report," "commitment," or "binder" means reports furnished in connection with an application for title insurance and are offers to issue a title policy subject to the stated exceptions set forth in the reports, the conditions and stipulations of the report and the issued policy, and such other matters as may be incorporated by reference.  The reports are not abstracts of title, nor are any of the rights, duties, or responsibilities applicable to the preparation and issuance of an abstract of title applicable to the issuance of any report.  Any such report shall not be construed as, nor constitute, a representation as to the condition of the title to real property, but shall constitute a statement of terms and conditions upon which the issuer is willing to issue its title policy, if such offer is accepted.

    Passed the House March 12, 1997.

    Passed the Senate April 8, 1997.

Approved by the Governor April 15, 1997.

    Filed in Office of Secretary of State April 15, 1997.