| 6 | | - | To amend Title 44 of the Official Code of Georgia Annotated, relating to property, so as to1 |
|---|
| 7 | | - | provide for certain protections in the conveyancing of real property in this state; to require2 |
|---|
| 8 | | - | any seller of real property in this state to make certain disclosures regarding flood damage3 |
|---|
| 9 | | - | to such property; to provide a definition; to provide for violations of the "Fair Business4 |
|---|
| 10 | | - | Practices Act of 1975"; to exclude any requirements for an independent investigation or5 |
|---|
| 11 | | - | inquiry; to provide for a fine for any frivolous mechanic lien filed; to provide for related6 |
|---|
| 12 | | - | matters; to provide an effective date; to repeal conflicting laws; and for other purposes.7 |
|---|
| 13 | | - | BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:8 |
|---|
| 14 | | - | SECTION 1.9 |
|---|
| 15 | | - | Title 44 of the Official Code of Georgia Annotated, relating to property, is amended in10 |
|---|
| 16 | | - | Chapter 1, relating to general provisions, by revising Code Section 44-1-18, which is11 |
|---|
| 17 | | - | designated as reserved, as follows:12 |
|---|
| 18 | | - | "44-1-18.13 |
|---|
| 19 | | - | (a) As used in this Code section, the term 'flood' means means any inundation from rising14 |
|---|
| 20 | | - | waters or from the overflow of streams, rivers, or other bodies of water, or from tidal15 |
|---|
| 21 | | - | - 1 - 25 LC 49 2399S |
|---|
| 22 | | - | surges, abnormally high tidal water, tidal waves, tsunamis, hurricanes, or the unusual and16 |
|---|
| 23 | | - | rapid accumulation of standing water resulting from a storm.17 |
|---|
| 24 | | - | (b) In addition to any other disclosures required by federal or state law, prior to any arm's18 |
|---|
| 25 | | - | length transaction of any one-to-four family residential real property located within any19 |
|---|
| 26 | | - | county in this state, it shall be the seller's responsibility to disclose any knowledge of a20 |
|---|
| 27 | | - | flood impacting such property during such seller's ownership of such property by affirming21 |
|---|
| 28 | | - | or denying each of the following:22 |
|---|
| 29 | | - | (1) Any physical damage to the property or improvements located on such property23 |
|---|
| 30 | | - | caused by a flood during such seller's ownership of such property;24 |
|---|
| 31 | | - | (2) Any insurance claim made by such seller for any damages due to a flood loss covered25 |
|---|
| 32 | | - | under the National Flood Insurance Program or a private flood insurance policy;26 |
|---|
| 33 | | - | (3) Any repairs made by such seller to the property or improvements located on such27 |
|---|
| 34 | | - | property as a result of a flood regardless of whether any insurance claim was filed;28 |
|---|
| 35 | | - | (4) Any notification to such seller regarding the designation of such property as a29 |
|---|
| 36 | | - | repetitive loss structure or severe repetitive loss structure as defined in 42 U.S.C.30 |
|---|
| 37 | | - | Section 4104c(h); and31 |
|---|
| 38 | | - | (5) Any notification to such seller to obtain and maintain flood insurance under federal32 |
|---|
| 39 | | - | law, such as because of a previous form of disaster assistance received by any owner of33 |
|---|
| 40 | | - | such property under the federal Robert T. Stafford Disaster Relief and Emergency34 |
|---|
| 41 | | - | Assistance Act, 42 U.S.C. Section 5121, et seq.35 |
|---|
| 42 | | - | (c) The required disclosures provided for in subsection (b) of this Code section shall be in36 |
|---|
| 43 | | - | writing, shall be based on the seller's knowledge of a flood impacting such property during37 |
|---|
| 44 | | - | such seller's ownership of such property, and shall identify the approximate date or dates38 |
|---|
| 45 | | - | of any flood impacting such property during such seller's ownership of such property and39 |
|---|
| 46 | | - | the nature of any repairs made to such property during such seller's ownership of such40 |
|---|
| 47 | | - | property.41 |
|---|
| 48 | | - | - 2 - 25 LC 49 2399S |
|---|
| 49 | | - | (d) Any willful omission to any disclosure requirement provided for under this Code42 |
|---|
| 50 | | - | section shall be considered an unlawful act as provided under Part 2 of Article 15 of43 |
|---|
| 51 | | - | Chapter 1 of Title 10, the 'Fair Business Practices Act of 1975.'44 |
|---|
| 52 | | - | (e) Nothing in this Code section shall be construed as requiring a seller or any real estate45 |
|---|
| 53 | | - | broker or advisor representing or working with a seller, landlord, buyer, or tenant to46 |
|---|
| 54 | | - | undertake any independent investigation of or inquiry into any subject matter requiring47 |
|---|
| 55 | | - | disclosure under subsection (b) of this Code section. Reserved."48 |
|---|
| 56 | | - | SECTION 2.49 |
|---|
| 57 | | - | Said title is further amended in Chapter 14, relating to mortgages, conveyances to secure50 |
|---|
| 58 | | - | debt, and liens, by adding a new Code section to read as follows:51 |
|---|
| 59 | | - | "44-14-361.6.52 |
|---|
| 60 | | - | Any lien filed pursuant to Code Section 44-14-361 that is made without substantial53 |
|---|
| 61 | | - | justification or that is not made in good faith or that is made with malice or a wrongful54 |
|---|
| 62 | | - | purpose, as such terms are defined in Code Section 51-7-80, shall be subject to a fine of55 |
|---|
| 63 | | - | $1,500.00 per lien filed, in addition to reasonable attorney's fees or court costs."56 |
|---|
| 64 | | - | SECTION 3.57 |
|---|
| 65 | | - | This Act shall become effective on January 1, 2026.58 |
|---|
| 66 | | - | SECTION 4.59 |
|---|
| 67 | | - | All laws and parts of laws in conflict with this Act are repealed.60 |
|---|
| 8 | + | To amend Title 44 of the Official Code of Georgia Annotated, relating to property, so as to |
|---|
| 9 | + | 1 |
|---|
| 10 | + | require any seller of real property in this state to make certain disclosures regarding flood2 |
|---|
| 11 | + | damage to such real property; to provide for a definition; to provide for flood damage to be3 |
|---|
| 12 | + | an adverse material fact; to provide for violations of the "Fair Business Practices Act of4 |
|---|
| 13 | + | 1975"; to provide for related matters; to provide for an effective date; to repeal conflicting5 |
|---|
| 14 | + | laws; and for other purposes.6 |
|---|
| 15 | + | BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:7 |
|---|
| 16 | + | SECTION 1.8 |
|---|
| 17 | + | Title 44 of the Official Code of Georgia Annotated, relating to property, is amended in9 |
|---|
| 18 | + | Chapter 1, relating to general provisions, by revising Code Section 44-1-18, which is10 |
|---|
| 19 | + | designated as reserved, as follows:11 |
|---|
| 20 | + | "44-1-18.12 |
|---|
| 21 | + | (a) As used in this Code section, the term 'flood' means any inundation from rising waters |
|---|
| 22 | + | 13 |
|---|
| 23 | + | or from the overflow of streams, rivers, or other bodies of water, or from tidal surges,14 |
|---|
| 24 | + | abnormally high tidal water, tidal waves, tsunamis, hurricanes, or other severe storms or15 |
|---|
| 25 | + | deluge.16 |
|---|
| 26 | + | H. B. 618 |
|---|
| 27 | + | - 1 - 25 LC 52 0793 |
|---|
| 28 | + | (b) In addition to any other disclosures required by federal or state law, prior to any17 |
|---|
| 29 | + | purchase, lease, or other acquisition of real property or any interest in real property located18 |
|---|
| 30 | + | within any county in this state, it shall be the seller's responsibility to disclose any actual19 |
|---|
| 31 | + | knowledge of:20 |
|---|
| 32 | + | (1) Any physical damage to the property or improvements located on such property21 |
|---|
| 33 | + | caused by a flood;22 |
|---|
| 34 | + | (2) Any insurance claim for loss covered under the national flood insurance program or23 |
|---|
| 35 | + | a private flood insurance policy;24 |
|---|
| 36 | + | (3) Any repairs made to the property or improvements located on such property as a25 |
|---|
| 37 | + | result of a flood regardless of whether any insurance claim was filed;26 |
|---|
| 38 | + | (4) Any notification regarding the designation of the property as a repetitive loss27 |
|---|
| 39 | + | structure or severe repetitive loss structure as defined in 42 U.S.C. Section 4104c(h);28 |
|---|
| 40 | + | (5) Any obligation to obtain and maintain flood insurance under federal law, such as29 |
|---|
| 41 | + | because of a previous form of disaster assistance received by any owner of the property30 |
|---|
| 42 | + | under the federal Robert T. Stafford Disaster Relief and Emergency Assistance Act, 4231 |
|---|
| 43 | + | U.S.C. Section 5121 et seq.;32 |
|---|
| 44 | + | (6) Any part of the property falling within a 100 year or 500 year floodplain as33 |
|---|
| 45 | + | designated by the Federal Emergency Management Agency; and34 |
|---|
| 46 | + | (7) Any material erosion, erosion control, or erosion control structures affecting the real35 |
|---|
| 47 | + | property.36 |
|---|
| 48 | + | (c) The required disclosures provided for in subsection (b) of this Code section shall be in37 |
|---|
| 49 | + | writing and shall include:38 |
|---|
| 50 | + | (1) The approximate date or dates and a general description of any flood;39 |
|---|
| 51 | + | (2) The approximate date or dates and nature of any claims made regarding damage to40 |
|---|
| 52 | + | the property or improvements located on such property resulting from any flood; and41 |
|---|
| 53 | + | (3) The approximate date or dates, nature, and cost of any repairs made to the property42 |
|---|
| 54 | + | or improvements located on such property because of damage resulting from a flood.43 |
|---|
| 55 | + | H. B. 618 |
|---|
| 56 | + | - 2 - 25 LC 52 0793 |
|---|
| 57 | + | (d) Any damage to property or improvements located on such property resulting from a44 |
|---|
| 58 | + | flood shall constitute an adverse material fact pertaining to the physical condition of the45 |
|---|
| 59 | + | property as provided for in Chapter 6A of Title 10.46 |
|---|
| 60 | + | (e) Failure to provide any disclosures as required by this Code section shall be considered47 |
|---|
| 61 | + | a violation of Part 2 of Article 15 of Chapter 1 of Title 10, the 'Fair Business Practices Act48 |
|---|
| 62 | + | of 1975,' and all public and private remedies available under such part shall be available49 |
|---|
| 63 | + | with regard to any such violation. Reserved."50 |
|---|
| 64 | + | SECTION 2.51 |
|---|
| 65 | + | This Act shall become effective upon its approval by the Governor or upon its becoming law52 |
|---|
| 66 | + | without such approval.53 |
|---|
| 67 | + | SECTION 3.54 |
|---|
| 68 | + | All laws and parts of laws in conflict with this Act are repealed.55 |
|---|
| 69 | + | H. B. 618 |
|---|