Updated 11-1-23. The Notary seal plays a crucial role in every notarization. Alongside the Notary’s signature, the seal verifies the notarization, enabling the notarized document to be recorded in land records, accepted as evidence in legal proceedings, and recognized when transmitted to other states and countries. Therefore, even in states where the use of Notary seals is not explicitly required by law, Notaries should consistently affix seal impressions when notarizing documents. This practice enhances document security and demonstrates the diligence of Notaries.
Consequently, a fraudster's desire is to acquire an authentic Notary seal to aid in forging notarizations and perpetrating document fraud.
We frequently emphasize Notary seal security in Notary education, and experienced Notaries have likely heard this message multiple times. However, it is worth reiterating as Notary seals continue to be mishandled and stolen. Instances occur due to Notaries failing to safeguard their seals or improperly disposing of old seals. Regardless of the cause, the illicit use of a genuine Notary seal often leads to forged notarizations. Whether utilizing a traditional physical seal or an electronic one, it is imperative to protect your seal from unauthorized access and misuse.
Recently, in a case in North Carolina, a lawyer took his legal assistant’s Notary seal from her unlocked desk while she was absent from the office. This lawyer then falsified a notarization by signing his assistant’s name and affixing her seal to a document, returning the seal to her desk without her knowledge. Unfortunately, there are other individuals, including attorneys, employers, and colleagues, who attempt to exploit the Notary system by "borrowing" seals and engaging in such misconduct. Without taking precautions to safeguard your seal, anyone, even a family member, friend, supervisor, or colleague, could misuse it.
During World War II, maintaining information secrecy and security was crucial for Allied success. Spies utilized gleaned information from casual conversations to influence enemy attacks, prompting the public to be cautioned with the phrase, “Loose lips sink ships.” Today, in the battle against document fraud, preventing false notarizations is paramount. Hence, the motto could be, “Loose Notary seals sink deals.” In essence, Notaries who carelessly allow their seals to be stolen and misused may be held responsible for financial losses resulting from mishandled or stolen Notary tools.
Avoiding Negligence
Many Notaries leave their seals unattended in their work areas without protection against unauthorized usage or theft. In an Illinois case where I provided expert testimony, a Notary working in a busy office habitually left his seal in an unlocked desk drawer shared by multiple colleagues, providing ample opportunity for seal theft and misuse.
If a Notary negligently permits their seal to be borrowed, stolen, or unlawfully transfers or sells an expired seal subsequently used for notarization forgery, they bear legal responsibility for any financial harm arising from the forgery. The critical term in the liability standard is “negligently,” so here are some recommendations to shield yourself from liability.
Protecting Your Seal
Above all, adhere to your state's regulations and exercise reasonable care to safeguard the security of the Notary seal. If you have taken precautions against seal theft and a proficient fraudster still manages to steal it, your liability risk is significantly lower compared to leaving it exposed carelessly.
Remember, your seal is your exclusive property, bearing your name on its imprint. Never allow anyone else to possess or handle your seal, even if your employer funded the commission and you depart before its expiration. Take your seal with you upon leaving employment and continue to secure it.
Keep the seal secure at all times. When not in use (such as between notarizations), either keep it within your immediate reach or store it securely under lock and key, exclusively under your control (as mandated by law for California Notaries). For instance, store the seal in a locked desk drawer, file cabinet, safe, lockbox, or room — provided no one else holds a key to the storage space. Merely leaving the seal on your desk in a locked office does not suffice if others possess a passkey. In such a scenario, a court may deem your care inadequate, potentially holding you liable if the seal is stolen and used for document fraud harming someone.
When traveling for a notarization appointment, avoid leaving the seal visible in your vehicle where it could attract thieves. Instead, secure the seal in the glove compartment and ensure the vehicle is locked.
Similarly, exercise the same caution when safeguarding your Notary journal. It is advisable to keep both the seal and journal together and have both tools on hand during notarizations.
Do Not Sell or Give Away Current or Expired Seals
Upon deciding to cease Notary duties or upon the expiration of your commission, the old seal should be destroyed or defaced to render it unusable. Even an expired seal holds value for a fraudster seeking to backdate a document and forge a notarization. If changing jobs and no longer serving as a Notary, refrain from leaving your seal with a former employer. The seal is your responsibility, and you are legally obligated to protect its security.
Unfortunately, current and expired Notary seals are often found in second-hand markets, presenting an opportunity for misuse. Never sell, give away, or haphazardly discard functional seals. Failure to exercise reasonable care in safeguarding an old seal, subsequently used for fraud, may lead to liability.
Conclusion — Don’t Let ‘Loose Seals Sink Deals’
Hopefully, this discussion has instilled a sense of caution regarding potential liability and highlighted the significance of Notary seal security. However, it has also outlined straightforward precautions to shield your seal from misuse and protect yourself from legal repercussions. The 2022 Model Notary Act (developed and published by the NNA) contains Section 8-4 and its explanatory official comment, delineating the rules for safeguarding the Notary's traditional and/or electronic seal. As a member of the drafting committee and a contributor to the official commentary, the advice presented aligns with the MNA guidelines. Remember: Loose seals sink deals.
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