Texas Senate Bill SB1875

Texas 2021 - 87th Regular

Caption

Relating to a requirement for a deed to include a statement regarding certain fraudulent conveyances or recordings.

Impact

The impact of SB1875 is significant as it amends the Property Code of Texas by adding a section that delineates new obligations for property deeds. By requiring this statement to be included in all deeds executed after the bill's effective date, stakeholders in real estate transactions—including buyers, sellers, and legal entities—will need to be more vigilant in ensuring compliance. This legislation aims to reduce the occurrences of fraud in property dealings by making potential criminal consequences more explicit to those involved.

Summary

SB1875 introduces a new requirement for deeds conveying interests in real property in Texas. Specifically, the bill mandates that such deeds must include a statement that lists offenses related to fraudulent conveyances and recordings, along with the associated criminal penalties. This requirement aims to enhance transparency and deter fraudulent activities in real estate transactions by ensuring that relevant legal repercussions are clearly stated and understood by all parties involved in the transaction.

Contention

While the intent behind SB1875 is to mitigate fraud in real estate transactions, there may be varying opinions on its necessity and implementation. Opponents might argue that the added requirements could place an unnecessary burden on property transactions, potentially complicating the process for legitimate transactions. Supporters would likely counter that the benefits of increasing awareness of fraud-related laws and consequences outweigh any inconveniences introduced by the new requirements.