Arizona 2024 Regular Session

Arizona House Bill HB2869 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	REFERENCE TITLE: uniform act; unlawful restrictive covenants State of Arizona House of Representatives Fifty-sixth Legislature Second Regular Session 2024 HB 2869 Introduced by Representatives Villegas: Aguilar, Austin, Blattman, Contreras P, Crews, De Los Santos, Gutierrez, Hernandez A, Hernandez C, Hernandez L, Hernandez M, Ortiz, Pawlik, Peshlakai, Sandoval, Schwiebert, Seaman, Stahl Hamilton, Terech An Act amending title 33, chapter 4, Arizona Revised Statutes, by adding article 7; relating to conveyances and deeds. (TEXT OF BILL BEGINS ON NEXT PAGE)
2	2
3	3
4	4
5	5
6	6
7	7
8	8
9	9	REFERENCE TITLE: uniform act; unlawful restrictive covenants
10	10	State of Arizona House of Representatives Fifty-sixth Legislature Second Regular Session 2024
11	11	HB 2869
12	12	Introduced by Representatives Villegas: Aguilar, Austin, Blattman, Contreras P, Crews, De Los Santos, Gutierrez, Hernandez A, Hernandez C, Hernandez L, Hernandez M, Ortiz, Pawlik, Peshlakai, Sandoval, Schwiebert, Seaman, Stahl Hamilton, Terech
13	13
14	14	REFERENCE TITLE: uniform act; unlawful restrictive covenants
15	15
16	16
17	17
18	18
19	19
20	20
21	21
22	22
23	23
24	24	State of Arizona
25	25
26	26	House of Representatives
27	27
28	28	Fifty-sixth Legislature
29	29
30	30	Second Regular Session
31	31
32	32	2024
33	33
34	34
35	35
36	36
37	37
38	38
39	39
40	40	HB 2869
41	41
42	42
43	43
44	44	Introduced by
45	45
46	46	Representatives Villegas: Aguilar, Austin, Blattman, Contreras P, Crews, De Los Santos, Gutierrez, Hernandez A, Hernandez C, Hernandez L, Hernandez M, Ortiz, Pawlik, Peshlakai, Sandoval, Schwiebert, Seaman, Stahl Hamilton, Terech
47	47
48	48
49	49
50	50
51	51
52	52
53	53
54	54
55	55
56	56
57	57
58	58
59	59
60	60
61	61
62	62
63	63
64	64	An Act
65	65
66	66
67	67
68	68	amending title 33, chapter 4, Arizona Revised Statutes, by adding article 7; relating to conveyances and deeds.
69	69
70	70
71	71
72	72
73	73
74	74	(TEXT OF BILL BEGINS ON NEXT PAGE)
75	75
76	76
77	77
78	78	Be it enacted by the Legislature of the State of Arizona: Section 1. Title 33, chapter 4, Arizona Revised Statutes, is amended by adding article 7, to read: ARTICLE 7. RESTRICTIONS IN LAND RECORDS START_STATUTE33-531. Short title This article may be cited as the "Freedom in Housing act". END_STATUTE START_STATUTE33-532. Definitions In this article, unless the context otherwise requires: 1. "Amendment" means a document that removes an unlawful restriction. 2. "Document" means a record recorded or eligible to be recorded in land records. 3. "Governing instrument" means a document recorded in land records that does all of the following: (a) Establishes a governing body responsible for managing common areas or facilities used by more than one owner of a property interest affected by the document. (b) Requires contribution, enforceable by a lien on a separate property interest, of a share of taxes, insurance premiums, maintenance, improvement of or services or other expenses for the common benefit of the real property described in the document. 4. "Index" means a system that enables a search for a document in land records. 5. "Land records" means documents and indexes maintained by a recorder. 6. "Owner" means a person that has a fee interest in real property. 7. "Person" means an individual, estate, business or nonprofit entity, government or governmental subdivision, agency, instrumentality or other legal entity. 8. "Record", used as a noun, means information that is either of the following: (a) Inscribed on a tangible medium. (b) Stored in an electronic or other medium and retrievable in perceivable form. 9. "Recorder" means the county recorder. 10. "Remove" means eliminate any apparent or purportedly continuing effect on title to real property. 11. "Unlawful restriction" means a prohibition, restriction, covenant or condition in a document that purports to interfere with or restrict the transfer, use or occupancy of real property and that is both of the following: (a) On the basis of race, color, religion, national origin, sex, familial status, disability or other personal characteristics. (b) In violation of other state or federal laws. END_STATUTE START_STATUTE33-533. Amendment by owner Except with respect to property to which section 33-534 applies, an owner of real property subject to an unlawful restriction may submit to the recorder for recordation in the land records of the county in which the property is located an amendment to remove the unlawful restriction, but only as to the owner's property. END_STATUTE START_STATUTE33-534. Amendment by association of owners A. The governing body of an association of owners identified in a governing instrument, including the board of directors of a condominium as prescribed in chapter 9 of this title or a planned community as prescribed in chapter 16 of this title, without a vote of the members of the association, may amend the governing instrument to remove an unlawful restriction. B. A member of an association of owners may request in a record that sufficiently identifies an unlawful restriction in the governing instrument that the governing body exercise its authority under subsection A of this section. Not later than ninety days after the governing body receives the request, the governing body shall determine, reasonably and in good faith, whether the governing instrument includes the unlawful restriction. If the governing body determines the governing instrument includes the unlawful restriction, the governing body not later than ninety days after the determination shall amend the governing instrument to remove the unlawful restriction. C. Notwithstanding any provision of the governing instrument or any other law, the governing body may execute an amendment under this section. D. An amendment under this section is effective, notwithstanding any provision of the governing instrument or any other law that requires a vote of the members of the association of owners to amend the governing instrument. END_STATUTE START_STATUTE33-535. Requirements and limitations of amendment A. An amendment under this article must identify the owner, the real property affected and the document containing the unlawful restriction. The amendment must include a conspicuous statement in substantially the following form: This amendment removes from this deed or other document affecting title to real property an unlawful restriction as defined in section 33-532, Arizona Revised Statutes. This amendment does not affect the validity or enforceability of a restriction that is not an unlawful restriction. B. The amendment must be executed and acknowledged in the manner required for recordation of a document in the land records. The amendment must be recorded in the land records of each county in which the document containing the unlawful restriction is recorded. C. The amendment does not affect the validity or enforceability of any restriction that is not an unlawful restriction. D. The amendment or a future conveyance of the affected real property is not a republication of a restriction that otherwise would expire by passage of time under any other law. END_STATUTE START_STATUTE33-536. Optional form for amendment by owner The following form may be used by an owner to make an amendment under section 33-533: Amendment by Owner to Remove an Unlawful Restriction This amendment is recorded under title 33, chapter 4, article 7, Arizona Revised Statutes, by an owner of an interest in real property subject to an unlawful restriction as defined in section 33-532, Arizona Revised Statutes. 1. Name of owner: 2. Owner's property that is subject to the unlawful restriction is described as follows: Address: Legal Description: 3. This amendment amends the following document: Title of document being amended: Recording date of document being amended: Recording information (book/page or instrument number): This amendment removes from the document described in paragraph 3 all unlawful restrictions as defined in section 33-532, Arizona Revised Statutes. Removal of an unlawful restriction through this amendment does not affect the validity and enforceability of any other restriction that is not an unlawful restriction as defined under section 33-532, Arizona Revised Statutes, at the time of filing this amendment. This amendment is not effective if the property is subject to a governing instrument as defined in section 33-532, Arizona Revised Statutes. Owner's Signature Date Notary Acknowledgment END_STATUTE START_STATUTE33-537. Duty and liability of recorder A. The recorder shall record an amendment submitted under this article, add the amendment to the index and cross reference the amendment to the document containing the unlawful restriction. B. The recorder and the county are not liable for recording an amendment under this article. END_STATUTE START_STATUTE33-538. Uniformity of application and construction In applying and construing this article, a court shall consider the promotion of uniformity of the law among jurisdictions that enact it. END_STATUTE START_STATUTE33-539. Relation to electronic signatures in global and national commerce act This article modifies, limits or supersedes the electronic signatures in global and national commerce act, 15 United States Code 7001 through 7031 but does not modify, limit or supersede 15 United States Code section 7001(c), or authorize electronic delivery of any of the notices described in 15 United States Code section 7003(b). END_STATUTE Sec. 2. Severability If a provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.
79	79
80	80	Be it enacted by the Legislature of the State of Arizona:
81	81
82	82	Section 1. Title 33, chapter 4, Arizona Revised Statutes, is amended by adding article 7, to read:
83	83
84	84	ARTICLE 7. RESTRICTIONS IN LAND RECORDS
85	85
86	86	START_STATUTE33-531. Short title
87	87
88	88	This article may be cited as the "Freedom in Housing act". END_STATUTE
89	89
90	90	START_STATUTE33-532. Definitions
91	91
92	92	In this article, unless the context otherwise requires:
93	93
94	94	1. "Amendment" means a document that removes an unlawful restriction.
95	95
96	96	2. "Document" means a record recorded or eligible to be recorded in land records.
97	97
98	98	3. "Governing instrument" means a document recorded in land records that does all of the following:
99	99
100	100	(a) Establishes a governing body responsible for managing common areas or facilities used by more than one owner of a property interest affected by the document.
101	101
102	102	(b) Requires contribution, enforceable by a lien on a separate property interest, of a share of taxes, insurance premiums, maintenance, improvement of or services or other expenses for the common benefit of the real property described in the document.
103	103
104	104	4. "Index" means a system that enables a search for a document in land records.
105	105
106	106	5. "Land records" means documents and indexes maintained by a recorder.
107	107
108	108	6. "Owner" means a person that has a fee interest in real property.
109	109
110	110	7. "Person" means an individual, estate, business or nonprofit entity, government or governmental subdivision, agency, instrumentality or other legal entity.
111	111
112	112	8. "Record", used as a noun, means information that is either of the following:
113	113
114	114	(a) Inscribed on a tangible medium.
115	115
116	116	(b) Stored in an electronic or other medium and retrievable in perceivable form.
117	117
118	118	9. "Recorder" means the county recorder.
119	119
120	120	10. "Remove" means eliminate any apparent or purportedly continuing effect on title to real property.
121	121
122	122	11. "Unlawful restriction" means a prohibition, restriction, covenant or condition in a document that purports to interfere with or restrict the transfer, use or occupancy of real property and that is both of the following:
123	123
124	124	(a) On the basis of race, color, religion, national origin, sex, familial status, disability or other personal characteristics.
125	125
126	126	(b) In violation of other state or federal laws. END_STATUTE
127	127
128	128	START_STATUTE33-533. Amendment by owner
129	129
130	130	Except with respect to property to which section 33-534 applies, an owner of real property subject to an unlawful restriction may submit to the recorder for recordation in the land records of the county in which the property is located an amendment to remove the unlawful restriction, but only as to the owner's property. END_STATUTE
131	131
132	132	START_STATUTE33-534. Amendment by association of owners
133	133
134	134	A. The governing body of an association of owners identified in a governing instrument, including the board of directors of a condominium as prescribed in chapter 9 of this title or a planned community as prescribed in chapter 16 of this title, without a vote of the members of the association, may amend the governing instrument to remove an unlawful restriction.
135	135
136	136	B. A member of an association of owners may request in a record that sufficiently identifies an unlawful restriction in the governing instrument that the governing body exercise its authority under subsection A of this section. Not later than ninety days after the governing body receives the request, the governing body shall determine, reasonably and in good faith, whether the governing instrument includes the unlawful restriction. If the governing body determines the governing instrument includes the unlawful restriction, the governing body not later than ninety days after the determination shall amend the governing instrument to remove the unlawful restriction.
137	137
138	138	C. Notwithstanding any provision of the governing instrument or any other law, the governing body may execute an amendment under this section.
139	139
140	140	D. An amendment under this section is effective, notwithstanding any provision of the governing instrument or any other law that requires a vote of the members of the association of owners to amend the governing instrument. END_STATUTE
141	141
142	142	START_STATUTE33-535. Requirements and limitations of amendment
143	143
144	144	A. An amendment under this article must identify the owner, the real property affected and the document containing the unlawful restriction. The amendment must include a conspicuous statement in substantially the following form:
145	145
146	146	This amendment removes from this deed or other document affecting title to real property an unlawful restriction as defined in section 33-532, Arizona Revised Statutes. This amendment does not affect the validity or enforceability of a restriction that is not an unlawful restriction.
147	147
148	148	B. The amendment must be executed and acknowledged in the manner required for recordation of a document in the land records. The amendment must be recorded in the land records of each county in which the document containing the unlawful restriction is recorded.
149	149
150	150	C. The amendment does not affect the validity or enforceability of any restriction that is not an unlawful restriction.
151	151
152	152	D. The amendment or a future conveyance of the affected real property is not a republication of a restriction that otherwise would expire by passage of time under any other law. END_STATUTE
153	153
154	154	START_STATUTE33-536. Optional form for amendment by owner
155	155
156	156	The following form may be used by an owner to make an amendment under section 33-533:
157	157
158	158	Amendment by Owner to Remove an Unlawful Restriction
159	159
160	160	This amendment is recorded under title 33, chapter 4, article 7, Arizona Revised Statutes, by an owner of an interest in real property subject to an unlawful restriction as defined in section 33-532, Arizona Revised Statutes.
161	161
162	162	1. Name of owner:
163	163
164	164	2. Owner's property that is subject to the unlawful restriction is described as follows:
165	165
166	166	Address:
167	167
168	168	Legal Description:
169	169
170	170	3. This amendment amends the following document:
171	171
172	172	Title of document being amended:
173	173
174	174	Recording date of document being amended:
175	175
176	176	Recording information (book/page or instrument number):
177	177
178	178	This amendment removes from the document described in paragraph 3 all unlawful restrictions as defined in section 33-532, Arizona Revised Statutes. Removal of an unlawful restriction through this amendment does not affect the validity and enforceability of any other restriction that is not an unlawful restriction as defined under section 33-532, Arizona Revised Statutes, at the time of filing this amendment. This amendment is not effective if the property is subject to a governing instrument as defined in section 33-532, Arizona Revised Statutes.
179	179
180	180
181	181
182	182	Owner's Signature Date
183	183
184	184	Notary Acknowledgment END_STATUTE
185	185
186	186	START_STATUTE33-537. Duty and liability of recorder
187	187
188	188	A. The recorder shall record an amendment submitted under this article, add the amendment to the index and cross reference the amendment to the document containing the unlawful restriction.
189	189
190	190	B. The recorder and the county are not liable for recording an amendment under this article. END_STATUTE
191	191
192	192	START_STATUTE33-538. Uniformity of application and construction
193	193
194	194	In applying and construing this article, a court shall consider the promotion of uniformity of the law among jurisdictions that enact it. END_STATUTE
195	195
196	196	START_STATUTE33-539. Relation to electronic signatures in global and national commerce act
197	197
198	198	This article modifies, limits or supersedes the electronic signatures in global and national commerce act, 15 United States Code 7001 through 7031 but does not modify, limit or supersede 15 United States Code section 7001(c), or authorize electronic delivery of any of the notices described in 15 United States Code section 7003(b). END_STATUTE
199	199
200	200	Sec. 2. Severability
201	201
202	202	If a provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.