In this age of "identity theft" and eponymous, bogus "42 Street Identifications,"1 it is not uncommon for an imposter to present himself to a notary for the purpose of acknowledging2 a document, which is subsequently used to transfer property (a power of attorney is a perfect example). Indeed, a notary can be part of the scam, knowing full well that the person is an imposter. A completely innocent purchaser for value who purchases real property will be in for a rude awakening when he learns that his rights to his new purchase are trumped, of course, by the rights of the real owner because a forgery cannot convey good title absent exceptional equitable circumstances. With the imposter sipping Margaritas in the Bahamas and having made off with the funds from the scam, the innocent purchaser (or his title insurer) is often left holding the proverbial bag unless the notary was guilty of some misconduct that was a proximate cause of the loss.
Oddly, while New York has a fairly robust and lengthy history of actions holding notaries accountable in such or similar situations, the cases offer little guidance with respect to what steps a notary should take to verify someone's identity. Moreover, New York does not have any regulations setting forth any specific standard, leaving a notary to ponder whether the person appearing before him has presented "satisfactory evidence" of his identity.3
Statutory or Common Law
