New Gubernatorial Order Encourages Electronic Signatures and Remote Notarization

On April 8, 2020, Michigan Governor Gretchen Whitmer issued Executive Order No. 2020-41 to encourage the use of electronic signatures and remote notarization, witnessing and visitation during the COVID-19 Pandemic.  

Under Executive Order 2020-41, the rules and procedures under the Uniform Electronic Act are suspended. Going forward, unless a physical signature has been specifically mandated by law, electronic signatures can be used whenever a signature is required under Michigan law. In addition, Notarial law is also being suspended regarding the physical presence of a notary when conducting services. Going forward, Michigan notaries may conduct services electronically using two-way real-time audiovisual technology.

The order is effective through May 6, 2020 (unless extended).  To mitigate the spread of COVID-19, protect the public health, and provide essential protections to vulnerable Michiganders, it orders that several measures be taken:

  1. Strict compliance with certain statutes, rules, and procedures are temporarily suspended to permit the use of electronic signatures for a transaction whenever a signature is required under Michigan law, unless the law specifically requires a physical signature.  The statutes, rules, and procedures temporarily suspended to the extent necessary involve the Uniform Electronic Transactions Act and the Uniform Real Property Electronic Recording Act.
  1. Each state department is temporarily permitted to send and accept electronic records and electronic signatures without a determination from or approval by the Department of Technology, Management and Budget, as is normally required.
  1. Strict compliance with the Michigan Notarial Law is temporarily suspended to the extent it requires a notary to be in the physical presence of an individual seeking the notary’s services or of any required witnesses.
  1. Governmental agencies and officials are encouraged to use or permit electronic records and electronic signatures for the transaction of business, processing of applications, recognition of validity of legal instruments, and to use a remote electronic notary pursuant to law.
  1. Persons and entities engaged in transactions are encouraged to use electronic records, electronic signatures, and remote electronic notaries pursuant to law.
  1. Michigan notaries may use two-way real-time audiovisual technology, provided certain required conditions are met.
  1. In-person witnesses may attest to or acknowledge an instrument, document, or deed by the use of two-way real-time technology provided certain required conditions are met.
  1. Despite any law or regulation to the contrary, any document signed under this order may be signed in counterparts unless the document itself expressly prohibits this.
  1. Guardians, guardians ad litem or visitors may satisfy requirements for visiting with a person by conferring with them using two-way real-time audiovisual technology that allows direct contemporaneous interaction by sight and sound.
  1. Notarizations, attestations, and acknowledgments can generally be accomplished by two-way real-time audiovisual technology.
  1. Registers of Deeds and financial institutions must not refuse to record tangible copies of electronic records for the reason that they do not bear an original signature, provided the notary certifies that the tangible copy is an accurate copy of the electronic record.
  1. A county recording office must deem all financial institutions and licensed title insurers or their contracted settlement agents as covered by a verified user agreement for the duration of this executive order and any order that may follow from it.

This is only a general summary.  Please contact Demorest Law Firm, PLLC for the specific details.  Our office is ready to assist with your compliance to this executive order.