Tennessee House Bill HB2583

Tennessee 2023-2024 Regular Session

• Introduced: 1/30/24
• Refer: 2/5/24

Caption

AN ACT to amend Tennessee Code Annotated, Title 66, Chapter 2, relative to ownership of real property.

Impact

The enactment of HB 2583 has significant implications for land ownership laws in Tennessee. It aims to deter foreign investment in agricultural land, thereby addressing concerns about national security and economic independence. The bill establishes strict penalties for violations, including the potential for property forfeiture through judicial foreclosure if prohibited entities do not divest their interests within a specified timeframe. By prioritizing agricultural land for U.S. citizens and resident aliens, the bill seeks to bolster state regulations and ensure that local agricultural practices remain largely under domestic control.

Summary

House Bill 2583 amends the Tennessee Code Annotated Title 66, Chapter 2, to impose restrictions on the ownership of agricultural land by certain foreign entities. Specifically, the bill defines 'prohibited foreign parties' which includes entities from countries subject to the International Traffic in Arms Regulations. It establishes that such entities cannot acquire or hold interests in agricultural land in Tennessee, reinforcing the state's stance on maintaining control over its agricultural resources and preventing foreign influence over local land use.

Contention

Despite its intended benefits, the bill has sparked debate regarding the balance between economic development and regulatory overreach. Proponents argue that the bill is necessary to protect local stakeholders and maintain domestic agricultural integrity. Conversely, opponents warn that the bill could deter investment and create legal complexities for foreign parties already involved in Tennessee's agricultural sector. The definitions and legal frameworks established in the bill may lead to disputes over ownership and the enforcement of penalties, raising questions about fairness and clarity in the law.