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CT HB06510
Bill
Status
3/2/2011
Primary Sponsor
Insurance and Real Estate Committee
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AI Summary
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Prohibits imposition of private transfer fee obligations effective immediately; any such obligations imposed after the bill's effective date are void and unenforceable.
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Requires all contracts for sale of real property encumbered by pre-existing private transfer fee obligations to disclose the obligation's existence, description, and subject matter; contracts violating this requirement are void and purchasers are entitled to return of all deposits.
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Mandates that persons receiving private transfer fees record a "Notice of Private Transfer Fee Obligation" in local land records by December 31, 2011, containing the fee amount, examples for residential property, expiration terms, intended use of funds, contact information, and the receiver's signature.
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Allows property owners to eliminate pre-existing private transfer fee obligations by recording an affidavit if the fee recipient fails to file the required notice by December 31, 2011, or fails to provide a written statement of the fee amount within thirty days of the owner's written request.
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Classifies violations as unfair or deceptive acts or practices under Connecticut's consumer protection laws, with liability assessed to principals when agents impose private transfer fees on their behalf.
Legislative Description
An Act Concerning The Regulation Of Private Transfer Fees.
Last Action
Referred by House to Committee on Finance, Revenue and Bonding
5/4/2011