36-13-1
Abstracters' Board of Examiners--Professional members.
36-13-1.1
Lay member of board.
36-13-1.2
Definition of terms.
36-13-1.3
Chain of title defined.
36-13-2
Election of officers--Bond required of secretary-treasurer.
36-13-2.1
Board continued within Department of Labor and Regulation--Records and
reports.
36-13-3
Informational budget reviewed by Legislature--Deposit of funds with state
treasurer--Abstracters' board of examiners account created.
36-13-4
Records and accounts of board--Inspection.
36-13-5
Repealed.
36-13-6
Enforcement of chapter by board--Seal.
36-13-6.1
Promulgation of rules.
36-13-7
Subpoena power of board officers--Administration of oaths--Depositions.
36-13-8
Certificate of registration required for business of abstracting.
36-13-9
Unauthorized business prohibited--Violation as misdemeanor.
36-13-9.1
Injunctions--Election of remedies.
36-13-10
Title plant required to engage in business.
36-13-11
Application for certificate of registration--Examination--Fees.
36-13-11.1
Criminal background investigation of applicants.
36-13-12
Scope of examination for certificate of registration.
36-13-13
Separate applications and examinations for different counties.
36-13-14
Repealed.
36-13-15
Bond required for certificate of registration--Amount and conditions.
36-13-16
Financial standing of personal sureties on bond--Investigation and property
statements.
36-13-17
Filing and registration of bond.
36-13-18
Additional bond required for certificate--Insufficient bond.
36-13-19
Parties to action on abstracter's bond.
36-13-20
Recitals in certificate of registration--Authority to engage in business--Access
to public offices and records.
36-13-21
Fee for certificate of registration--Duration and renewal--Contents of
application for renewal.
36-13-21.1
Inspection costs collected from applicant.
36-13-22
Temporary certificate to engage in business.
36-13-23
Register of applicants and certificates.
36-13-24
Seal of abstracter--Impression deposited with board--Affixing to abstracts.
36-13-25
Schedule of fees for doing business established by board--Exceeding schedule
as misdemeanor.
36-13-26
Certified abstract as prima facie evidence in judicial proceedings.
36-13-26.1
Abstracter's countersignature on title policy.
36-13-27
Destroyed public records replaced from abstracter's records--Expense.
36-13-28
Suspension or revocation of certificate of registration.
36-13-29
Procedure for suspension or revocation.
36-13-30
Omitted.
36-13-31
Appeal.
36-13-32, 36-13-33. Omitted.
36-13-1. Abstracters' Board of Examiners--Professional members.
The board shall be composed of five members appointed by the Governor. Four members of the board shall be abstracters who have been qualified to do the business of abstracting under § 36-13-8 for five years prior to the date of their appointment. The members may not be all of the same political party, and their terms shall be for three years. Members of the board shall qualify by taking the oath of office provided by law for public officers.
The Governor shall, by appointment, fill any vacancy among the professional members of the board for the unexpired term from abstracters qualified as provided in this section. Any appointment to an unexpired term is not considered a full term.
Source: SDC 1939, § 1.0101; SL 1980, ch 378; SL 1990, ch 307; SL 2005, ch 199, § 40; SL 2008, ch 195, § 3.
36-13-1.1. Lay member of board.
The membership of the board shall include one lay member who is a user of the services regulated by the board. The term, lay member who is a user, refers to a person who is not licensed by the board but, if practical, uses the service licensed. The term shall be liberally construed to implement the purpose of this section. The Governor shall appoint the lay member. The lay member shall have the same term of office as other members of the board. No lay member of the board may serve more than three consecutive full terms.
Source: SL 1973, ch 2, § 58; SL 2005, ch 199, § 41; SL 2008, ch 195, § 4.
36-13-1.2. Definition of terms.
Terms used in this chapter mean:
(1) "Abstract," a compilation in orderly arrangement of the materials and facts of record affecting the title to a specific parcel of land, issued under a certificate certifying to the matters contained in such compilation;
(2) "Abstracter," any person holding a certificate of registration from the board;
(3) "Abstracting," the abstracting and reporting upon public or other records under the provisions of this chapter;
(4) "Board," the Abstracters' Board of Examiners of the State of South Dakota;
(5) "Secretary-treasurer," the secretary-treasurer of the board.
Source: SL 2008, ch 195, § 1.
36-13-1.3. Chain of title defined.
The term, chain of title, means all documents of conveyance given in a continuous succession of title:
(1) With respect to unplatted lands, the smaller of:
(a) Each quarter section of land; or
(b) If a patent was issued for a portion of quarter section of land, then that portion for which that patent was issued; and
(2) With respect to platted lands, a lot as shown on the last subdivision plat recorded against the property. However, if all documents transferring ownership and given in a continuous succession of title ownership from the present owner back in time to the recording of the subdivision plat combine more than one lot, then those multiple lots included in the documents of conveyance shall be considered one chain.
As used in this section, the term, lot, means the smallest intact areas into which land has been subdivided by a subdivision plat map, whether denoted a lot, parcel, tract, undivided block, or other similar designation.
Source: SL 2008, ch 195, § 2.
36-13-2. Election of officers--Bond required of secretary-treasurer.
The board shall organize by the election of a president and secretary-treasurer from its members. The secretary-treasurer shall furnish a bond in the sum of not less than fifteen thousand dollars.
Source: SDC 1939, § 1.0102; SL 2008, ch 195, § 5.
36-13-2.1. Board continued within Department of Labor and Regulation--Records and reports.
The board shall continue within the Department of Labor and Regulation and shall retain all its prescribed functions, including administrative functions. The board shall submit such records, information, and reports in the form and at such times as required by the secretary of labor and regulation. However, the board shall report at least annually.
Source: SL 1973, ch 2, § 56 (a); SL 1986, ch 302, § 35; SL 2003, ch 272 (Ex. Ord. 03-1), § 54; SL 2008, ch 195, § 6; SL 2011, ch 1 (Ex. Ord. 11-1), § 162, eff. Apr. 12, 2011.
36-13-3. Informational budget reviewed by Legislature--Deposit of funds with state treasurer--Abstracters' board of examiners account created.
Any money received by the board shall be set forth in an informational budget as described in § 4-7-7.2 and be annually reviewed by the Legislature. Any money received shall be deposited with the state treasurer. The state treasurer shall credit the money to the Abstracters' Board of Examiners account, which account is hereby created. The money in the account shall be used for the purpose of paying the expense of administering and enforcing the provisions of this chapter. The secretary-treasurer shall approve vouchers and the state auditor shall draw warrants to pay expenditures authorized by this chapter.
Source: SDC 1939, §§ 1.0101 to 1.0103; SDCL § 36-13-5; SL 1977, ch 298; SL 2008, ch 195, § 7.
36-13-4. Records and accounts of board--Inspection.
The board shall keep a permanent record of its receipts and disbursements with the supporting vouchers. The records of the board shall be open to public inspection and its accounts shall be subject to audit by the Department of Legislative Audit or the state auditor.
Source: SDC 1939, § 1.0103; SL 2008, ch 195, § 8.
36-13-6. Enforcement of chapter by board--Seal.
The board shall carry out the purposes and enforce the provisions of this chapter.
The board shall have a seal in such form as it may design, but the seal shall contain the words, "State of South Dakota, Abstracters' Board of Examiners."
Source: SDC 1939, §§ 1.0101, 1.0102; revised pursuant to SL 1972, ch 15, § 4; SL 1986, ch 302, § 36; SL 2008, ch 195, § 9.
36-13-6.1. Promulgation of rules.
The board may promulgate rules pursuant to chapter 1-26 for the following:
(1) The fee for examinations pursuant to § 36-13-11;
(2) The fee for plant examinations pursuant to § 36-13-10;
(3) The areas of the law to be included and other requirements for conducting examinations pursuant to § 36-13-12;
(4) The fee for a certificate of registration pursuant to § 36-13-21;
(5) The schedule of fees for doing business pursuant to § 36-13-25;
(6) The requirements and schedule of fees for countersigning title insurance policies pursuant to § 36-13-25; and
(7) The requirements to establish and maintain an abstract plant, and the areas of inquiry and requirements to pass the abstracter plant examination pursuant to § 36-13-10.
Source: SL 1986, ch 302, § 44; SL 2008, ch 195, § 10.
36-13-7. Subpoena power of board officers--Administration of oaths--Depositions.
The president and secretary-treasurer of the board have the powers granted by §§ 1-26-19.1 and 1-26-19.2.
Source: SDC 1939, § 1.0102; revised pursuant to SL 1972, ch 15, § 4; SL 2008, ch 195, § 11.
36-13-8. Certificate of registration required for business of abstracting.
Any person engaging in or continuing in the business of abstracting of titles to property within the state shall first obtain a certificate of registration, file the required bond, and comply with the other requirements of this chapter and the rules promulgated by the board pursuant to chapter 1-26.
Source: SDC 1939, § 1.0104; SL 1986, ch 302, § 37; SL 2008, ch 195, § 12.
36-13-9. Unauthorized business prohibited--Violation as misdemeanor.
Any person making, compiling, or certifying to abstracts of title to property in this state without having a certificate of registration from the board commits a Class 1 misdemeanor.
Source: SDC 1939, § 1.9901; SL 1977, ch 190, § 175; SL 2008, ch 195, § 13.
36-13-9.1. Injunctions--Election of remedies.
The board is empowered to commence actions for injunction for violation of this chapter or rules promulgated pursuant to this chapter as an alternate to criminal proceedings. The commencement of one proceeding by the board constitutes an election.
Source: SL 1972, ch 15, § 4; SL 1986, ch 302, § 38; SL 2008, ch 195, § 14.
36-13-10. Title plant required to engage in business.
Any person engaging in or continuing the business of abstracting of titles to property within the state shall have a title plant, which shall include a set of abstract books or set of indexes or other records showing in a sufficiently comprehensive form, all instruments affecting the title to real estate which are of record or on file in the office of the register of deeds of each county in which the person seeks to engage in the business of compiling abstracts of land titles. The board shall examine each title plant for compliance with this section. The board shall establish, by rules promulgated pursuant to chapter 1-26, a fee for plant examinations not to exceed six hundred dollars. The application for a plant examination shall contain such information as the board may require and be upon a form prepared by the board. The board shall notify the applicant of a date and place for the examination of the applicant's plant. If the applicant is not a natural person, one of the members, managers, partners, shareholders, directors, or officers of the applicant must qualify by examination. The board shall issue a certificate of registration or compliance if the requirements of this section have been met.
Source: SDC 1939, § 1.0104; SL 1986, ch 302, § 39; SL 2008, ch 195, § 15.
36-13-11. Application for certificate of registration--Examination--Fees.
A person may obtain a certificate of registration under this chapter upon the successful completion of an examination. The person shall apply to the board and pay to its secretary-treasurer an examination fee in an amount set by the board by rules promulgated pursuant to chapter 1-26. The examination fee may not exceed seventy-five dollars for each section and the re-examination fee may not exceed fifty dollars for each section. The application shall contain such information as the board may require and be upon a form prepared by the board. The board shall fix a date and place for the examination of the applicant and send a notice to the applicant by mail.
Source: SDC 1939, § 1.0105; SL 1980, ch 257, § 1; SL 1986, ch 302, § 40; SL 2008, ch 195, § 16.
36-13-11.1. Criminal background investigation of applicants.
Each applicant for a certificate of registration shall submit to a state and federal criminal background investigation by means of fingerprint checks by the Division of Criminal Investigation and the Federal Bureau of Investigation. Upon application, the board shall submit completed fingerprint cards to the Division of Criminal Investigation. Upon completion of the criminal background check, the Division of Criminal Investigation shall forward to the board all information obtained as a result of the criminal background check. This information shall be obtained prior to the issuance of any permanent certificate of registration. The board may require a state and federal criminal background investigation for any abstracter who is the subject of a disciplinary investigation by the board. Failure to submit or cooperate with the criminal background investigation is grounds for denial of an application or may result in revocation of a certificate of registration. The applicant shall pay any fees charged for the cost of fingerprinting or the criminal background investigation.
Source: SL 2008, ch 195, § 37.
36-13-12. Scope of examination for certificate of registration.
At the time and place fixed pursuant to § 36-13-11, the board shall proceed to examine the applicant under such rules as the board may promulgate with reference to the laws of this state affecting titles of property, the recording laws, and the common practices, proceedings, and mechanics of compiling abstracts of title, the take-off and abstracting of records, elements of instruments of title essential to an abstract, showing their legal effect, and such similar requirements of education and experience as may be reasonably necessary to carry on the work of abstracting in an accurate, efficient, and reliable manner.
Source: SDC 1939, § 1.0105; SL 1986, ch 302, § 41; SL 2008, ch 195, § 17.
36-13-13. Separate applications and examinations for different counties.
The board may require separate applications and examinations and fees for any abstracter who applies for registration in more than one county. A certificate of registration shall qualify the holder for abstracting only in the county to which it relates.
Source: SDC 1939, § 1.0105; SL 1985, ch 15, § 47; SL 2008, ch 195, § 18.
36-13-15. Bond required for certificate of registration--Amount and conditions.
Before the board may issue a certificate of registration, the applicant shall file with the board a bond to be approved by it running to the State of South Dakota in the penal sum of twenty-five thousand dollars for counties with a population of fifteen thousand or less and fifty thousand dollars for counties having a population of over fifteen thousand as shown by the federal census last taken prior to the filing of such bond. The bond shall be conditioned for the payment by such abstracter of any damages that may be sustained by or accrue to any person by reason of or on account of any error, deficiency, or mistake in any abstract or certificate of title or continuation thereof made and issued by such abstracter.
Source: SDC 1939, § 1.0107; SL 2008, ch 195, § 20.
36-13-16. Financial standing of personal sureties on bond--Investigation and property statements.
If a personal surety bond is given under § 36-13-15, there shall be at least three sureties, each of whom shall justify for the full amount of the bond as a resident and freeholder of this state having unencumbered property in excess of all debts, liabilities, and exemptions allowed by law. The board shall investigate the financial condition of all sureties at least once each year by requiring verified property statements and by such other methods as it may deem advisable. The board may require additional property statements from sureties at any time it may elect.
Source: SDC 1939, § 1.0107; SL 2008, ch 195, § 21.
36-13-17. Filing and registration of bond.
The original bond required by § 36-13-15 shall be filed and registered by and remain in the office of the secretary-treasurer of the board as a public file and record. The secretary-treasurer shall file a certified copy of each bond filed and registered pursuant to this section in the office of the county auditor of the county to which it relates within thirty days after the approval of the bond.
Source: SDC 1939, § 1.0107; SL 2008, ch 195, § 22.
36-13-18. Additional bond required for certificate--Insufficient bond.
The board may at any time require any abstracter holding a certificate under the provisions of this chapter, upon thirty days' notice, to furnish such additional bonds as the board deems proper to meet the requirements of this chapter, and, in proceedings under chapter 1-26, to show cause why any bond should not be held and declared insufficient and invalid or such certificates should not be recalled and annulled.
Source: SDC 1939, § 1.0107; revised pursuant to SL 1972, ch 15, § 4; SL 2008, ch 195, § 23.
36-13-19. Parties to action on abstracter's bond.
Any person damaged by or on account of any error, deficiency, or mistake in any abstract or certificate of title or continuation thereof, whether or not the original purchaser, owner, or holder of the abstract, may maintain an action upon the bond required by § 36-13-15 in the person's own name and also without the necessity of joining the State of South Dakota as a party.
Source: SDC 1939, § 1.0107; SL 2008, ch 195, § 24.
36-13-20. Recitals in certificate of registration--Authority to engage in business--Access to public offices and records.
A certificate issued by the board under the provisions of this chapter shall recite that the bond required by § 36-13-15 has been duly filed and approved. Such certificate authorizes the person named in it to engage in and carry on the business of an abstracter of real estate titles in the county in the State of South Dakota in which the person has his or her or its place of business. An abstracter with such a certificate shall, during ordinary business hours, have access to any of the offices of any of the counties of the State of South Dakota and may make such memoranda or notation from the records thereof as may be necessary for the purpose of making such abstracts of title to property in the county in which the abstracter is qualified, and for the purpose of compiling, posting, copying, and keeping up the abstracter's abstract books, indexes, or records.
Source: SDC 1939, § 1.0109; SL 2008, ch 195, § 25.
36-13-21. Fee for certificate of registration--Duration and renewal--Contents of application for renewal.
A certificate of registration shall be issued upon the payment of a fee set by the board by rules promulgated pursuant to chapter 1-26. The fee for a certificate of registration may not exceed the following: for counties with a population of ten thousand or less, five hundred dollars; for counties with a population over ten thousand to fifteen thousand, inclusive, seven hundred dollars; for counties with a population over fifteen thousand, one thousand dollars. The certificate is valid for a period of one year. The certificate may be renewed by the board upon application within thirty days prior to the expiration of the certificate and upon payment of the amount to the secretary-treasurer of the board. The renewal application shall be accompanied by an affidavit and any other evidence deemed necessary by the board showing that the applicant has been continuously and actively engaged in the business of making and compiling abstracts of title during the life of the preceding certificate.
Source: SDC 1939, § 1.0106; SL 1970, ch 213; SL 1976, ch 233; SL 1980, ch 257, § 2; SL 1986, ch 302, § 42; SL 2008, ch 195, § 26.
36-13-21.1. Inspection costs collected from applicant.
The board shall charge to and collect from the applicant for a certificate of registration for a new plant or the transfer of a certificate of registration, the actual expenses of inspecting and approving the new plant or transfer of registration including per diem, travel, and room and board.
Source: SL 1977, ch 297; SL 2008, ch 195, § 27.
36-13-22. Temporary certificate to engage in business.
The board may issue a temporary certificate to any person desiring to engage in the business of abstracting in any county where there is no registered abstracter, or where the only existing abstract plant has been destroyed so that its records and indexes are not available, or where the certificate of the only qualified abstracter has been canceled for cause by order of the board, without the possession of an abstract plant, if the person successfully completes the examination required by § 36-13-11 and furnishes the bond required in § 36-13-15. No certificate issued pursuant to this section may be continued in effect for more than four years.
Source: SDC 1939, § 1.0112; SL 2008, ch 195, § 28.
36-13-23. Register of applicants and certificates.
The board shall enter the names of all applicants for registration with their place of residence and such other information as may be deemed appropriate in a register. The register shall include any action taken by the board regarding the applicant and the date upon which the certificate of registration was issued, if any.
Source: SDC 1939, § 1.0103; SL 2008, ch 195, § 29.
36-13-24. Seal of abstracter--Impression deposited with board--Affixing to abstracts.
Any abstracter furnishing abstracts of title to real property under the provisions of this chapter shall first obtain a seal and shall deposit an impression of the seal with the secretary-treasurer of the board before the certificate of registration may be issued. The seal shall have stamped on it the name and location of the abstracter that is furnishing the abstracts. The seal shall be affixed to every abstract or certificate of title issued by such abstracter.
Source: SDC 1939, § 1.0108; SL 2008, ch 195, § 30.
36-13-25. Schedule of fees for doing business established by board--Exceeding schedule as misdemeanor.
The board shall, by rule promulgated pursuant to chapter 1-26, establish a schedule of fees for doing business under the provisions of this chapter and shall furnish to each licensed abstracter a copy of such schedule and any amendments. The board shall also establish, by rule promulgated pursuant to chapter 1-26, a schedule of fees and the requirements for an abstracter's services for countersigning title insurance policies pursuant to § 58-25-16. It is a Class 2 misdemeanor to exceed the schedule established by the Abstracters' Board of Examiners.
Source: SDC 1939, § 1.0201; SL 1951, ch 1; SL 1953, ch 2; SL 1971, ch 215; SL 1977, ch 190, § 176; SL 1980, ch 256, § 1; SL 1986, ch 302, § 43; SL 2008, ch 195, § 31.
36-13-26. Certified abstract as prima facie evidence in judicial proceedings.
Any abstract of title certified to be true and correct by any abstracter holding a valid certificate of registration pursuant to this chapter, under the signature and seal of such abstracter, shall be received by the courts of this state as prima facie evidence of the existence of records of the content and filing indicated on the abstract, subject to such rules as to procedure as the Supreme Court may promulgate in such cases.
Source: SDC 1939, § 1.0110; SL 2008, ch 195, § 32.
36-13-26.1. Abstracter's countersignature on title policy.
An abstracter's countersignature on a title insurance policy is verification that the abstracter has furnished the insurer a report based on the examination of record title and any other title information and services required by the insurer and § 36-13-25.
Source: SL 1980, ch 256, § 2.
36-13-27. Destroyed public records replaced from abstracter's records--Expense.
If the records of any county are destroyed or so spoiled as to be unintelligible, any of the certified abstracters in that county shall furnish to the county a copy of any of its abstracts, indexes, or other records of any instruments that the county may require by resolution of its board of county commissioners. The board of county commissioners shall pay the actual cost of copying the abstracts, indexes, or other records.
Source: SDC 1939, § 1.0113; SL 2008, ch 195, § 33.
36-13-28. Suspension or revocation of certificate of registration.
A certificate of registration may be suspended or revoked by the board for violation of any provision of this chapter or upon conviction of the holder of such certificate of a crime involving moral turpitude or dishonesty, or for violation of any lawful order of the board, or when the holder of such certificate is guilty of habitual intemperance, habitual carelessness, or inattention to business, or of unethical or fraudulent practices. If the certificate is not held by a natural person, the provisions of this section and § 36-13-29 apply to the members, managers, directors, shareholders, or officers as well as to the certificate holder.
Source: SDC 1939, § 1.0114; SL 2008, ch 195, § 34.
36-13-29. Procedure for suspension or revocation.
No certificate may be suspended or revoked pursuant to § 36-13-28 except upon proceedings in compliance with chapter 1-26.
Source: SDC 1939, § 1.0114; revised pursuant to SL 1972, ch 15, § 4; SL 2008, ch 195, § 35.
