CHAPTER 398

An Act to amend and reenact § 55-58.1, as amended, of the Code of
Virginia, relating to security trusts and trustees thereunder.

([S 388]
Approved April 1, 1966

Be it enacted by the General Assembly of Virginia:

1. That § 55-58.1, as amended, of the Code of Virginia, be amended
and reenacted as follows:

§ 55-58.1. (1) For the purposes of this article, the term “security
trust” shall include a deed of trust, mortgage, bond or other instrument,
entered into after the effective date of this article under which the title
to real and personal property, or either of them, wholly situate in and
including no property situate outside of the State of Virginia, is conveyed,
transferred, encumbered or pledged to secure the payment of money or
the performance of an obligation; provided, however, that the provisions
of this article shall not apply to supplements to existing security trust
instruments now of record executed pursuant to the provisions of said
existing security trust instruments, nor shall the article apply to security
trusts applying to property singly or jointly owned and situate partly in
this State and partly outside this State or to property situate in this
State which, together with property situate outside this State, is the
security for the performance of an obligation.

(2) No person not a resident of this State may be named or act,
in person or by agent or attorney, as the trustee of a security trust,
either individually or as one of several trustees, the other or others of
which are residents of this State. No corporation may be named or act
as the trustee or as one of the trustees of a security trust unless it is
chartered under the laws of this State or of the United States of America,
and unless its principal office is within this State.

(3) No clerk shall hereafter admit any security trust for recorda-
tion * which does not state the residence address of the trustees or trustees
named therein; provided, however, that the county, city or town in
this State in which the said trustee resides shall be sufficient statement
of the residence address thereof; notwithstanding any other provisions
of this section, if any security trust is admitted by a clerk for recorda-
tion * it shall be conclusively presumed that such security trust com-
plies with all the requirements of this section.

(4) All deeds of trust, mortgages, bonds or other instruments re-
corded by the clerk without the residence address of the trustee or trustees
named therein shall be valid for all purposes as if such address had been
named therein, if such recordation be otherwise valid according to the
law then in force, provided, that this section shall not affect any right
or remedy of any third party which accrued after the recordation of said
instrument or before July one, nineteen hundred sixty.