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| To amend sections 5301.01 and 5301.255 of the Revised | 1 |
| Code to provide that memoranda of trust be | 2 |
| executed and acknowledged only by the trustee of | 3 |
| the trust instead of both the settlor and trustee. | 4 |
| Section 1. That sections 5301.01 and 5301.255 of the Revised | 5 |
| Code be amended to read as follows: | 6 |
| Sec. 5301.01. (A) A deed, mortgage, land contract as referred | 7 |
| to in division (A)(2)(b) of section 317.08 of the Revised Code, or | 8 |
| lease of any interest in real property and a memorandum of trust | 9 |
| as described in division (A) of section 5301.255 of the Revised | 10 |
| Code shall be signed by the grantor, mortgagor, vendor, or lessor | 11 |
| in the case of a deed, mortgage, land contract, or lease or shall | 12 |
|
be
signed by the | 13 |
| of trust. The signing shall be acknowledged by the grantor, | 14 |
|
mortgagor, vendor, or
lessor, or by
the | 15 |
| before a judge or clerk of a court of record in this state, or a | 16 |
| county auditor, county engineer, notary public, or mayor, who | 17 |
| shall certify the acknowledgement and subscribe the official's | 18 |
| name to the certificate of the acknowledgement. | 19 |
| (B)(1) If a deed, mortgage, land contract as referred to in | 20 |
| division (A)(2)(b) of section 317.08 of the Revised Code, lease of | 21 |
| any interest in real property, or a memorandum of trust as | 22 |
| described in division (A) of section 5301.255 of the Revised Code | 23 |
| was executed prior to February 1, 2002, and was not acknowledged | 24 |
| in the presence of, or was not attested by, two witnesses as | 25 |
| required by this section prior to that date, both of the following | 26 |
| apply: | 27 |
| (a) The instrument is deemed properly executed and is | 28 |
| presumed to be valid unless the signature of the grantor, | 29 |
| mortgagor, vendor, or lessor in the case of a deed, mortgage, land | 30 |
| contract, or lease or of the settlor and trustee in the case of a | 31 |
| memorandum of trust was obtained by fraud. | 32 |
| (b) The recording of the instrument in the office of the | 33 |
| county recorder of the county in which the subject property is | 34 |
| situated is constructive notice of the instrument to all persons, | 35 |
| including without limitation, a subsequent purchaser in good faith | 36 |
| or any other subsequent holder of an interest in the property, | 37 |
| regardless of whether the instrument was recorded prior to, on, or | 38 |
| after February 1, 2002. | 39 |
| (2) Division (B)(1) of this section does not affect any | 40 |
| accrued substantive rights or vested rights that came into | 41 |
| existence prior to February 1, 2002. | 42 |
| Sec. 5301.255. (A) A memorandum of trust that satisfies both | 43 |
| of the following may be presented for recordation in the office of | 44 |
| the county recorder of any county in which real property that is | 45 |
| subject to the trust is located: | 46 |
| (1) The memorandum shall be executed by the | 47 |
|
trustee of the trust and acknowledged by
the | 48 |
| of the trust in accordance with section 5301.01 of the Revised | 49 |
| Code. | 50 |
| (2) The memorandum shall state all of the following: | 51 |
| (a) The | 52 |
| trustee of the trust; | 53 |
| (b) The date of execution of the trust; | 54 |
| (c) The powers specified in the trust relative to the | 55 |
| acquisition, sale, or encumbering of real property by the trustee | 56 |
| or the conveyance of real property by the trustee, and any | 57 |
| restrictions upon those powers. | 58 |
| (B) A memorandum of trust that satisfies divisions (A)(1) and | 59 |
| (2) of this section also may set forth the substance or actual | 60 |
| text of provisions of the trust that are not described in those | 61 |
| divisions. | 62 |
| (C) A memorandum of trust that satisfies divisions (A)(1) and | 63 |
| (2) of this section shall constitute notice only of the | 64 |
| information contained in it. | 65 |
| (D) Upon the presentation for recordation of a memorandum of | 66 |
| trust that satisfies divisions (A)(1) and (2) of this section and | 67 |
| the payment of the requisite fee prescribed in section 317.32 of | 68 |
| the Revised Code, a county recorder shall record the memorandum of | 69 |
| trust as follows: | 70 |
| (1) Unless division (D)(2) of this section applies, in the | 71 |
| record of deeds described in division (A)(1) of section 317.08 of | 72 |
| the Revised Code, if the memorandum of trust describes specific | 73 |
| real property, or in the record of powers of attorney described in | 74 |
| division (A)(3) of that section, if the memorandum of trust does | 75 |
| not describe specific real property; | 76 |
| (2) If the county recorder records instruments in accordance | 77 |
| with division (C) of section 317.08 of the Revised Code, in the | 78 |
| official records described in that division. | 79 |
| Section 2. That existing sections 5301.01 and 5301.255 of the | 80 |
| Revised Code are hereby repealed. | 81 |