Illinois Governor Enacts Remote Notarization Order; Real Estate Transactions to Continue

Chance W. Badertscher • March 30, 2020
Due to the recent stay-at-home order from Illinois Governor J.B. Pritzker, many businesses face uncertainty. Luckily, real estate transactions in the state will continue thanks to several policies led by title companies and financial institutions. The Governor has now enacted an executive order to further assist the real estate industry.

The COVID-19 Executive Order No. 12 was enacted on March 26, 2020. The order allows a Notary Public commissioned under the law of Illinois to perform remote notarization via two-way audio/video communication so long as the Notary Public is physically within the State of Illinois while performing notarial duties and adheres to specific procedures. Section 2 of the order states:

a. The two-way audio-video communication technology must allow for direct, contemporaneous interaction between the individual signing the document ("the signatory") and the witness by sight and sound;

b. The two-way audio-video communication technology must be recorded and preserved by the signatory or the signatory's designee for a period of at least three years;

c. The signatory must attest to being physically located in Illinois during the two-way audio- video communication;

d. The witness must attest to being physically located in Illinois during the two-way audio­video communication;

e. The signatory must affirmatively state on the two-way audio-video communication what document the signatory is signing;

f. Each page of the document being witnessed must be shown to the witness on the two­way audio-video communication technology in a means clearly legible to the witness and initialed by the signatory in the presence of the witness;

g. The act of signing must be captured sufficiently up close on the two-way audio-video communication for the witness to observe;

h. The signatory must transmit by fax or electronic means a legible copy of the entire signed document directly to the witness no later than the day after the document is signed;

i. The witness must sign the transmitted copy of the document as a witness and transmit the signed copy of the document back via fax or electronic means to the signatory within 24 hours of receipt; and

j. If necessary, the witness may sign the original signed document as of the date of the original execution by the signatory provided that the witness receives the original signed document together with the electronically witnessed copy within thirty days from the date of the remote witnessing.

Furthermore, Section 3 of the order states “All provisions of Section 5-120(c) of the Electronic Commerce Security Act, 5 ILCS l 75/5-120(c), which prohibits electronic signatures on certain documents, remain in full effect”. The order will be effective throughout the Governor’s Disaster Proclamation related to COVID-19.

The United States Congress is pushing for a similar bill. The proposed Securing and Enabling Commerce Using Remote and Electronic Notarization Act of 2020 (SECURE) would allow all notaries across the country to perform Remote Online Notarization (RON) during the current COVID-19 pandemic. RON will be valid and binding so long as the notary is physically located in the state of the signing party.

The bill was introduced by Senators Kevin Kramer (R-ND) and Mark Warner (D-VA) on March 18, 2020. SECURE is likely to be introduced to the Senate Banking Committee prior to making its way to the Senate floor. Twenty-two states have already passed similar legislation, but SECURE would allow electronic signatures and notarizations for transactions in all jurisdictions under federal law.

The state’s title companies have also implemented policies to ensure real estate transactions can continue. After originally stating that no closings could occur if a county recorder’s office closed, title companies may now file recordings electronically or via courier so long as all parties sign GAP personal undertaking. 
 
Title companies are also offering remote and curbside closings to promote the social distancing protocol. At this time, title companies, financial institutions, law offices and real estate services are considered essential businesses. This means that the real estate industry may continue to operate during the stay-at-home order without interruption.

If you would like to learn more about the current state of the real estate industry or would like to speak to the author, Chance Badertscher can be reached at 847-241-1779 or cbadertscher@lavellelaw.com.

More News & Resources

Lavelle Law News and Events

Saved or client $1 Million in Estate Tax
By Estate Administration July 30, 2025
Due to Lavelle’s extensive knowledge in estate and gift tax, we were able to generate a combined federal and Illinois estate tax savings of $1 million for the client.
Don’t record a conversation without knowing the law in Illinois!
By Nataly Kaiser July 29, 2025
Do you know it’s a felony in Illinois if you record a conversation without consent? The Illinois Eavesdropping Statute prohibits the secret recording of private conversations without the consent of all parties involved. Protect yourself – Get consent before you hit record! Nataly Kaiser explains.
Now through 10-1-25, Lavelle Law is offering a special discounted rate on powers of attorney for col
By Jackie R. Luthringshausen July 24, 2025
Summer Special! - Now through 10-1-25, Lavelle Law is offering a special discounted rate on powers of attorney for college-bound students and young adults. Don't send your child to college without POA docs in place! Contact Attorney Luthringshausen to start the process. jluthringshausen@lavellelaw.com or 847-705-7555
A summary of The One Big Beautiful Bill Act (OBBBA) and its tax implications.
By Steven A. Migala July 22, 2025
The One Big Beautiful Bill Act (OBBBA), enacted on July 4, 2025, as Pub. L. No. 119-21, permanently extends and modifies key provisions from the 2017 Tax Cuts and Jobs Act (TCJA) while introducing new tax benefits and limitations. The law affects individuals, seniors, children, businesses, and charitable organizations.
An in-depth discussion of the One Big Beautiful Bill Act and its tax implications.
By Steven A. Migala and guest Ed Brooks July 21, 2025
Lavelle Law Shareholder Steven Migala and DHJJ Financial Principal Ed Brooks join host Jim Mitchell for an in-depth look at the new U.S. tax legislation, the One Big Beautiful Bill Act, and discuss how it will impact both businesses and individuals.
An in-depth discussion of the One Big Beautiful Bill Act and its tax implications.
By Steven A. Migala and guest Ed Brooks July 21, 2025
Lavelle Law Shareholder Steven Migala and DHJJ Financial Principal Ed Brooks join host Jim Mitchell for an in-depth look at the new U.S. tax legislation, the One Big Beautiful Bill Act, and discuss how it will impact both businesses and individuals.
What is a fee-shifting provision?
By Sarah J. Reusché July 15, 2025
In the United States, the "American Rule" generally requires each party in a legal dispute to cover their own attorney's fees, regardless of the case's outcome. However, exceptions exist where a judge may order one party to pay the other's attorney’s fees in specific circumstances. Sarah Reusché explains.
The reconciliation process and the financial relationship between landlords and tenants.
By Theodore M. McGinn July 14, 2025
In commercial leases, particularly those involving retail or office spaces, tenants typically pay not only base rent but also a share of additional operating expenses. These include Common Area Maintenance (CAM) charges, property taxes, and insurance premiums. The reconciliation of these expenses is a key process.
Delaware Supreme Court’s Analysis of Indemnification Notices in Merger and Escrow Agreements
By Steven A. Migala July 11, 2025
Attorneys drafting or reviewing indemnification clauses and notice provisions in a sale or acquisition governed by Delaware law should be aware of the recent Delaware Supreme Court decision in Thompson Street Capital Partners IV L.P. v. Sonova U.S. Hearing Instruments, LLC.
Update on Illinois Tax Changes
By Timothy M. Hughes July 10, 2025
Beginning July 1, Illinois residents will face a series of tax increases related to the Fiscal Year 2026 budget, which takes effect from July 1, 2025, to June 30, 2026. These increases are from the $55+B state budget that is supposed to generate $700+M of new taxes ranging from gasoline, short-term rentals, and more.
More Posts