The Importance of Notarizing Within Your State Borders

In 1985, a landmark decision by the Texas Court of Appeals highlighted a critical lesson about the limits of a notary’s authority. The case, Garza v. Serrato, involved a Texas notary public who unknowingly stepped beyond her jurisdiction, sparking a chain of events that ultimately overturned a multi-million-dollar verdict.

The Car Accident that Sparked a Lawsuit

The story begins with a car accident. Juanita Serrato and Floresvinda Gutierrez were rear-ended by a Southwestern Bell Telephone Company van driven by Joe Rolando Garza. Both women were injured, so they decided to sue Garza and his employer, Southwestern Bell, for the physical and emotional harm caused by the accident. The trial was scheduled for August 15, 1983, in Eagle Pass, Texas.

The Notary’s Mistake: Taking a Deposition in Mexico

Just days before the trial, the plaintiffs' attorneys arranged for a video deposition (a recorded testimony) with Dr. Luis Gonzalez Rios, a key witness in the case. This deposition was set to take place in Piedras Negras, Mexico, just across the Texas border. Christine Barnes-Austin, a Texas notary public and court reporter, was assigned to travel to Mexico to administer the oath to Dr. Rios and record his testimony.

However, there was a significant issue with this plan: Texas notaries are state officials with authority that ends at their state’s borders. This means that Texas notaries cannot legally perform their duties, including administering oaths, outside Texas. Nevertheless, the deposition proceeded in Mexico, just five days before the trial.

The Court’s Decision: Admitting the Deposition

Garza and Southwestern Bell’s attorneys quickly objected. They filed a motion to exclude the deposition from evidence, arguing that it should not have been conducted outside Texas and that, given its proximity to the trial date, they did not have sufficient time to review Dr. Rios’s testimony and prepare counterarguments. Despite their objections, the trial judge later entered the deposition as evidence. Based on this and other evidence, the jury awarded Serrato and Gutierrez over $2 million in damages.

Appealing the Case: Challenging the Texas Notary's Authority in a Foreign Country

Garza and Southwestern Bell appealed the decision, arguing that the deposition should be invalidated. Their appeal was based on several points:

Garza and Southwestern Bell appealed the decision, arguing that the deposition should be invalidated. Their appeal was based on several points:

• Out-of-State Authority: They argued that Ms. Barnes-Austin had exceeded her authority by administering an oath in Mexico. Texas notaries are only authorized to perform notarial acts within Texas, so her actions outside the state’s borders were beyond her legal authority.
• No Witness Signature: Ms. Barnes-Austin also failed to obtain the witness’s signature on the deposition transcript, which is a crucial requirement to validate the testimony.
• Timing: Given that the deposition was conducted just days before the trial, the defense argued they weren’t given sufficient time to prepare their counterarguments.

The Appeals Court Ruling: A Notary’s Authority Has Limits

After reviewing the case, the Texas Court of Appeals sided with Garza and Southwestern Bell, ruling that Ms. Barnes-Austin had exceeded her authority by administering an oath outside Texas. By traveling to Mexico to perform her duties, Ms. Barnes-Austin acted “without authority of law,” which rendered her actions legally invalid.

As a result, the appeals court ruled that the deposition should not have been admitted as evidence and overturned the $2 million judgment awarded by the lower court to Serrato and Gutierrez.

Why This Case Matters for Notaries

The Garza v. Serrato case is a powerful example of why notaries need to understand the limitations of their roles. Here are the main takeaways:

• Notary Authority Has Defined Boundaries: In most states, notaries' authority is limited to their own state’s borders. When notaries operate outside their state, they lose the power to perform any official duties. Notarized documents are legally binding only when completed within the notary’s jurisdiction.
• Know Your State’s Notary Laws and Rules: Notary powers are regulated by specific state laws and rules. Notaries must be familiar with these regulations to avoid actions that could invalidate notarized documents or result in cases being dismissed or evidence being thrown out.

Final Thoughts: The Importance of Performing Notarial Acts Within Your Jurisdiction

For notaries, Garza v. Serrato serves as a real-life warning about the importance of jurisdictional limits. Although Ms. Barnes-Austin’s actions may have seemed minor, a brief trip across the border to record testimony led to the complete reversal of a major court ruling and left Serrato and Gutierrez without the damages they had initially been awarded.