What's happening
This bill allows electronic signatures for powers of attorney used to transfer salvage vehicle titles and related disclosures.
Why it matters
Streamlines salvage vehicle processing. By allowing electronic signatures for power of attorney and required disclosures, the bill enables insurers, vehicle owners, and other parties to handle salvage title transfers more quickly and efficiently—potentially reducing paperwork delays after a total loss claim.
Increases consumer convenience and access. Vehicle owners no longer need to complete physical paperwork or be physically present to authorize title transfers in salvage situations, which could be especially important after accidents or in rural/remote areas.
Aligns legal processes with modern technology. The bill updates New York’s legal framework to match current digital business practices, making it easier for insurance and automotive industries to use secure electronic documentation and authentication.
Maintains safeguards via authentication. While enabling electronic execution, the bill requires that electronic signatures be authenticated, helping to prevent fraud and ensure that only authorized parties can transfer salvage vehicle titles.
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Who cares
Headline styles
Allow E-Signing Salvage Titles
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to judiciary
- Referred to judiciary
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
5729
2019-2020 Regular Sessions
IN SENATE
May 13, 2019
Introduced by Sen. BRESLIN -- read twice and ordered printed, and when printed to be committed to the Committee on Judiciary
AN ACT to amend the general obligations law and the state technology law, in relation to electronic signatures and salvage title
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 5-1501B of the general obligations law is amended by adding a new subdivision 5 to read as follows:
5. Nothing in this title shall prohibit the execution of a valid power of attorney for the purpose of transferring a salvage certificate of title and the execution of an odometer and damage disclosure statement in connection with such title by electronic means pursuant to article three of the state technology law.
§ 2. Subdivision 1 of section 307 of the state technology law, as amended by chapter 158 of the laws of 2012, is amended to read as follows:
1. To any document providing for the disposition of an individual's person or property upon death or incompetence, or appointing a fiduciary of an individual's person or property, including, without limitation, wills, trusts, decisions consenting to orders not to resuscitate, powers of attorney and health care proxies, with the exception of: (a) contractual beneficiary designations; [and] (b) the registration of making, amending, or revoking an anatomical gift under section forty-three hundred ten of the public health law; and (c) whenever a loss in connection with a private automobile is determined by an insurer to be a total loss or constructive total loss under section thirty-four hundred twelve of the insurance law, for the purpose of transferring a salvage certificate of title and the execution of an odometer and disclosure statement in connection with such title, the electronic execution of a power of attorney shall be permissible provided that signature is authenticated.
§ 3. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD11522-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the general obligations law and the state technology law, in relation to electronic signatures and salvage title
Purpose or general idea of bill
This bill amends the general obligations law and the state technology law to allow the use of an authenticated electronic signature in connection with a power of attorney used specifically for salvage vehi- cle title transfer documents.
Summary of provisions
Section 1: amends section 5-1501-B of the general obligations law by adding a new subdivision 5 to allow the execution of a valid power of attorney for the purposes of transferring a salvage certificate of title and damage disclosure statement by electronic means.
Section 2: amends subdivision 1 of section 307 of the state technology law to allow the electronic execution of a power of attorney specif- ically for the transfer of a salvage certificate of title and execution of an odometer and disclosure statement in a vehicle total loss or constructive loss.
Section 3: provides an immediate effective date.
Justification
Vehicles covered by insurance are sometimes damaged to the point of being declared a total loss as occurs when an insured is involved in a devastating accident or in situations where weather-related storms strike New York. In those instances, the customer and insurer agree on a settlement value for the damaged vehicle and the insurer, pending receipt of title, delivers payment to the customer for the value of their vehicle. Unfortunately, given the current statutory constraints in New York under the General Obligations law, it takes on average 9-11 days for the customer to receive their settlement payment. The delay in payments and hardship on the insureds and their family was glaring when Hurricanes Sandy and Irene hit New York. If this bill were enacted into law, the use of an authenticated electronic signature for a power of attorney and odometer damage and disclosure statement would be permit- ted, and the average time for a customer to receive payment would be greatly reduced, in most cases between 24 to 48 hours.
There are 17 other states that use this or some other form of authenti- cated electronic signatures to expedite payments to customers when a vehicle is declared a total loss.
Prior legislative history
New bill
Fiscal implications for state and local governments
None
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.