The Document Preparation Matrix summarizes, state-by-state, the ‘practice of law’ regarding mortgage document preparation. Important research references discussing mortgage document preparation and what actions may constitute the unauthorized practice of law are provided. State guidance can vary widely from stating that a corporation lending money may prepare documents in connection with that loan (Arizona) to requiring that an attorney be involved in a direct or supervisory capacity in drafting or reviewing all documents affecting transfer of title to real property (Delaware). For this reason, the Document Preparation Matrix summarizes the varying approaches states have taken to the unauthorized practice of law as it relates to mortgage document preparation to serve as a source of general guidance for lenders. We encourage all lenders to consult local counsel with any specific questions or concerns they may have regarding whether a particular activity could be considered the unauthorized practice of law.
Go to DocuTech’s Compliance Resources page to learn more: http://www.docutechcorp.com/federal-disclosure-matrix-2013-docx