Encourage and require to regulate the Oklahoma abstract industry.

An abstract is a full and complete record of all matters filed of public record that affect ownership rights to a particular piece of real property.

The stock in trade of an abstract company is its abstract plant, which consists of two elements: an organized collection of copies/images of instruments affecting real property which are filed for record at the offices of the county clerk and court clerk, and an index that is built independently of the county’s index of records. This index provides an efficient method for identifying and locating all records pertaining to a described piece of land to compile them into a certified Abstract of Title. While some abstract plants in Oklahoma still consist of actual paper copies and a set of file cards, many are now “virtual” abstract plants stored on computer equipment. The copies consist of scanned electronic images of the original documents, and the index is simply an elaborate database software program written for the specific purpose of abstracting.

There are no state laws that require an abstract in order to purchase real estate, and none that require title insurance when purchasing property.  With few exceptions, lenders now require a title insurance lenders policy  as a condition of the loan.  If no lender is involved in the transaction, buyers and sellers sometimes use an abstract as an alternative to title insurance, in a manner of speaking.  Many buyers and sellers in cash transactions feel it is insurance enough to order an abstract, have it examined by a title examination attorney, and clear up any title problems discovered in the process.

After a complaint is initiated, the Board shall review the complaint to determine if the alleged acts of the respondent constitute a violation of the abstractor’s law and regulations, or OAB’s orders, and if it is reasonable that the claim can be supported with sufficient evidence.  If the complaint fails this review, the Board shall respond to the complainant, explaining the reason(s) why the complaint will not be acted upon. If the complaint passes the review, the Board may:

1. Order the respondent to provide, within 10 working days, a written response to the allegations;
2. Attempt an informal resolution;
3. Initiate an investigation;
4. Conduct an inspection of the abstract company; and/or
5. Terminate the investigation when it appears there is no violation of law or rules and regulations, or when it clearly appears there is not sufficient evidence to support such a claim.

In order to do business in Oklahoma as an abstract company, a company must have a Certificate of Authority (“certificate”), issued by the Oklahoma Abstractors Board, which gives a company the right to be in the abstract business within the county for which the certificate is issued. Prior to receiving a certificate, applicants must show their company has access to a complete abstract plant.