[Legislativecommittee1] Please oppose HB 2298

Thu Jan 22 10:59:02 PST 2026

I agree we should dissent, here are some notes from our advocacy team:

HB 2298 strengthens fraud prevention but adds process complexity.
It shifts some responsibility upstream—requiring title and escrow to proactively identify protected properties and ensure compliance—while ultimately reducing long-term fraud risk and title claim exposure.
Problematic language
§ 1(2) and conforming amendment in RCW 65.04.030:
“If a county auditor receives any instrument transferring ownership of real property for which a fraud protection instrument has been recorded, the auditor may delay the recording … for up to five business days.”
Recording in Washington is traditionally ministerial, not discretionary.
Authorizing delay — without objective criteria — introduces: gap risk, uncertainty of vesting time,
inconsistent application between counties, underwriting ambiguity (especially for same-day policies and escrow disbursement).

§ Section 1(1)(b):
“… without the use of a secure personal identification number, an approved override process, or until a release of fraud protection instrument…”
This: does not define “approved override process. It does not identify who approves it, what documentation suffices, or whether title/escrow may rely on it. That creates county-by-county standards and exposes escrow agents to rejection risk after closing.

§ Section 1(1)(b):
“… without the use of a secure personal identification number …”
It does not specify how the PIN is issued, how long it’s valid, whether agents may submit it on behalf of owners, or whether it must appear on the face of the document or in the e-recording metadata. That ambiguity directly affects: closing checklists, e-recording vendors, and rejection rates.

§ Section 1(1)(b):
“… The program must allow for an emergency override process through verified court orders or authorized legal representative actions.”
The phrase “authorized legal representative actions” is broad:
• Does this include POAs?
• Guardians?
• Executors?
• Attorneys without recorded authority?
Auditors may interpret narrowly or broadly — creating inconsistency and delay.

Michelle Taylor
Regional Underwriting Director, Pacific Northwest
[Description: http://www.firstam.com/assets/email/images/email-logo.jpg]
First American Title Insurance Company
Madison Centre | 920 Fifth Avenue, Suite 1300 | Seattle, WA 98104
Direct: 206.615.3050
Tollfree: 800-526-7544
Facsimile: 714.481.2686
Email: mjtaylor at firstam.com<mailto:mjtaylor at firstam.com>

Should we receive emailed wiring instructions please understand that we will need to telephone a trusted individual to confirm the authenticity of the instructions prior to releasing the wire.  The safety of your funds is important to us and with wire fraud on the rise we do want to add a layer of protection.

From: Jp Kissling <jpkissling at fitico.com>
Sent: Thursday, January 22, 2026 10:50 AM
To: Maureen Pfaff <maureen at olypentitle.com>
Cc: Carrie Tellefson <carrie at sound-gov.com>; Michelle Taylor <mjtaylor at firstam.com>; sean powell <legislativecommittee1 at washingtonlandtitle.com>
Subject: [External] Re: Please oppose HB 2298

I agree we should oppose. Sadly I’m sick as a dog. When is the hearing and do we have a fiscal note yet?

Sent from my iPhone

On Jan 22, 2026, at 10:43 AM, Maureen Pfaff <maureen at olypentitle.com<mailto:maureen at olypentitle.com>> wrote:

I'm in a class for the next 3 hours but can look into this further this afternoon.  I'm sure WLTA can testify on this about our concerns.

Maureen
<Outlook-velfzzsg.png>

Maureen Pfaff, President and CEO

Ph: (360) 457-4451 | Fax: (844) 513-2400

403 S Peabody St, Port Angeles, WA 98362

maureen at olypentitle.com<mailto:maureen at olypentitle.com>

www.olypentitle.com<https://urldefense.com/v3/__https:/url.avanan.click/v2/r01/___http:/*www.olypentitle.com/___.YXAzOmZpZGVsaXR5dGl0bGVjbzphOm86MzhlYWJiZWQ0YzNmNGY4MTNmOTQ2Nzk2MGQxZWFjYmI6NzozZGIyOjhhOGE4YWU4ZTA4MDlkOTZhNTRkMWQwNDE2MDQ0ZDcxZTQ1ZTk4MjNiNzhiNTQzOWQ2MjNhN2FkZmYzNzVlNjQ6aDpUOkY__;Lw!!L1aKtqoz4WY!bsZhuV-F94vxkAZTsOyR0dsEaATZTWGsBJrySFxqwB-96v_Hn9i59R_s1f_IG8wZ7rd2QWf2Sx-MlK4W2fIO$>

WARNING – FRAUDULENT FUNDING INSTRUCTIONS

Email hacking and fraud are on the rise to fraudulently misdirect funds. Please call your escrow officer immediately using contact information found from an independent source, such as the sales contract or internet, to verify any funding instructions received. We are not responsible for any wires sent by you to an incorrect bank account.

ATTENTION LENDERS:  Loan packages, complete with documents and balanced CD, must be received no later than 2:00 pm PST on the day prior to signing.

[https://ci4.googleusercontent.com/proxy/NTeYNcEClGPpwHggQhZwTEbSA0lLJUWpRPCqETkeQth0ttOrN_jGm27ifReH9Vuc9_0=s0-d-e1-ft#https://i.imgur.com/JbY2vXS.png]

CLICK HERE TO WATCH VIDEO <https://urldefense.com/v3/__https:/url.avanan.click/v2/r01/___https:/*www.youtube.com/watch?v=ek4TwC9owwY&feature=youtu.be___.YXAzOmZpZGVsaXR5dGl0bGVjbzphOm86MzhlYWJiZWQ0YzNmNGY4MTNmOTQ2Nzk2MGQxZWFjYmI6NzpjM2FhOjhkNGIwYjM2MTc4NmQzZWQxYjIxODAyMzA0MTEwODkxMGVmMzU5MTk4NDA1ODYzN2FmODMxNTNjZmM2ZGFkZmE6aDpUOkY__;Lw!!L1aKtqoz4WY!bsZhuV-F94vxkAZTsOyR0dsEaATZTWGsBJrySFxqwB-96v_Hn9i59R_s1f_IG8wZ7rd2QWf2Sx-MlIRRINp1$>
ON WIRE FRAUD PREVENTION<https://urldefense.com/v3/__https:/url.avanan.click/v2/r01/___https:/*www.youtube.com/watch?v=ek4TwC9owwY&feature=youtu.be___.YXAzOmZpZGVsaXR5dGl0bGVjbzphOm86MzhlYWJiZWQ0YzNmNGY4MTNmOTQ2Nzk2MGQxZWFjYmI6NzowMWI2OjRkOTIzNGVjYmI2NGJhYjgxNTA5OGY1Y2ViZTJmZmNkNDgyYjExMzc1NzliZWM4YjIyMGRjNzM2OWJiN2ZmNWM6aDpUOkY__;Lw!!L1aKtqoz4WY!bsZhuV-F94vxkAZTsOyR0dsEaATZTWGsBJrySFxqwB-96v_Hn9i59R_s1f_IG8wZ7rd2QWf2Sx-MlImzaveY$>
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________________________________
From: Carrie Tellefson <carrie at sound-gov.com<mailto:carrie at sound-gov.com>>
Sent: Thursday, January 22, 2026 10:32 AM
To: JP Kissling <jpkissling at fitico.com<mailto:jpkissling at fitico.com>>; Maureen Pfaff <maureen at olypentitle.com<mailto:maureen at olypentitle.com>>; Michelle Taylor <mjtaylor at firstam.com<mailto:mjtaylor at firstam.com>>; sean powell <legislativecommittee1 at washingtonlandtitle.com<mailto:legislativecommittee1 at washingtonlandtitle.com>>
Subject: Fwd: Please oppose HB 2298

FYI please see the Trustee’s concerns on this bill.  I have forwarded to the bankers to see if they want to weigh in.

Does the WLTA plan to testify?

Sent from my iPhone

Begin forwarded message:
From: hollychisa <hollychisa at hpcadvocacy.com<mailto:hollychisa at hpcadvocacy.com>>
Date: January 22, 2026 at 10:28:49 AM PST
To: Carrie Tellefson <carrie at sound-gov.com<mailto:carrie at sound-gov.com>>
Subject: Please oppose HB 2298

Hey there.  On behalf of the United Trustees, I’m alerting folks to the hearing on HB 2298.  The bill allows for providing some kind of mechanism to “secure” a property title.  The trustees believe this will cloud title and potentially make foreclosures impossible if the person dies or refuses to unlock the title to be processed in foreclosure.

I’m asking for financial institutions to oppose.  Would you be able to talk with your folks and help us?  Lance Olsen’s analysis is below.

Holly Chisa

(360)791-6647

hollychisa at hpcadvocacy.com<mailto:hollychisa at hpcadvocacy.com>
From: Lance Olsen <LOlsen at McCarthyHolthus.com<mailto:LOlsen at McCarthyHolthus.com>>
Date: Monday, January 12, 2026 at 11:50 AM
Subject: RE: Please review attached HB 2298

I could see this being an invitation to abuse.

There needs to be an exception for the recording of a trustee’s deed.  Absent that, the county could reject recording a TD for up to five days it would appear and that could delay the recording to outside the 15 day relation back period.

If I am reading this correctly, they are trying to allow for recording something that protects against fraudulent transfer.  OK, seems like this won’t do much, but it needs to be clear that a trustee’s deed can be recorded right away, or, that any delay in recording will have no impact on the relation back of the deed to the time of sale.

That’s my quick reading.

Lance E. Olsen

Managing Partner Northwest

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FAFLD
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