Massachusetts 2023-2024 Regular Session

Massachusetts Senate Bill S2472 Compare Versions

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

Old	New	Differences
1	1	SENATE . . . . . . . . . . . . . . No. 2472
2	2	The Commonwealth of Massachusetts
3	3	_______________
4	4	In the One Hundred and Ninety-Third General Court
5	5	(2023-2024)
6	6	_______________
7	7	SENATE, October 19, 2023.
8	8	The committee on Consumer Protection and Professional Licensure, to whom was
9	9	referred the petitions (accompanied by bill, Senate, No. 2389) (subject to Joint Rule 12) of Susan
10	10	L. Moran and Tackey Chan for legislation to facilitate restitution against unfinished development
11	11	to be known as the FRAUD Act; and (accompanied by bill, House, No. 313) of Kenneth I.
12	12	Gordon relative to the home improvement guaranty fund, report the accompanying bill (Senate,
13	13	No. 2472).
14	14	For the committee,
15	15	John J. Cronin 1 of 4
16	16	FILED ON: 10/16/2023
17	17	SENATE . . . . . . . . . . . . . . No. 2472
18	18	The Commonwealth of Massachusetts
19	19	_______________
20	20	In the One Hundred and Ninety-Third General Court
21	21	(2023-2024)
22	22	_______________
23	23	An Act facilitating restitution against unfinished development.
24	24	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
25	25	of the same, as follows:
26	26	1 SECTION 1. This act shall be known and may be cited as “An Act Facilitating
27	27	2Restitution Against Unfinished Development” or “the FRAUD Act”.
28	28	3 SECTION 2. Section 1 of Chapter 142A of the General Laws, as appearing in the 2022
29	29	4Official Edition, is hereby amended by striking out the definition of “Claimant”, and inserting in
30	30	5place thereof the following definition:-
31	31	6 “Claimant”, an owner and resident of a residential building, containing at least one but
32	32	7not more than four dwelling units, who has entered into a construction contract with a contractor
33	33	8to carry out construction work on said building, or, an owner and resident of a single
34	34	9condominium unit in a residential building, who has entered into a construction contract with a
35	35	10contractor to carry out construction work on an area of said building under that owner's exclusive
36	36	11control, and who is making a claim against said contractor for failure of performance under said
37	37	12contract. 2 of 4
38	38	13 SECTION 3. Said section 1 of said chapter 142A of the General Laws, as so appearing, is
39	39	14hereby further amended by striking out the definition of “Owner”, and inserting in place thereof
40	40	15the following definition:-
41	41	16 “Owner”, any homeowner of a pre-existing owner-occupied building or secondary
42	42	17residence for non-commercial purposes, containing at least one but not more than four dwelling
43	43	18units, or tenant thereof, who orders, contracts for, or purchases the services of a contractor or
44	44	19subcontractor.
45	45	20 SECTION 4. Said section 1 of said chapter 142A of the General Laws, as so appearing, is
46	46	21hereby further amended by striking out the definition of “Residential contracting”, and inserting
47	47	22in place thereof the following definition:-
48	48	23 ''Residential contracting'', the reconstruction, alteration, renovation, repair,
49	49	24modernization, conversion, improvement, removal, or demolition, or the construction of an
50	50	25addition to any pre-existing owner occupied building or secondary residence for non-commercial
51	51	26purposes, containing at least one but not more than four dwelling units, which building or portion
52	52	27thereof is used or designed to be used as a residence or dwelling unit, or to structures which are
53	53	28adjacent to such residence or building.
54	54	29 SECTION 5. Section 7 of chapter 142A of the General Laws, as so appearing, is hereby
55	55	30amended in the third paragraph by striking out the words “ten thousand dollars” and inserting in
56	56	31place thereof the following:- “thirty thousand dollars”.
57	57	32 SECTION 6. Section 9 of chapter 142A of the General Laws, as so appearing, is hereby
58	58	33amended by inserting, after subsection (d), the following new subsection:- 3 of 4
59	59	34 (e) Prior to approving any application for registration or renewal conforming to the
60	60	35requirements of this chapter, the director shall refer identifying information regarding an
61	61	36applicant to the department of criminal justice information services, which shall obtain criminal
62	62	37offender record information but shall transmit only the following information to the director:
63	63	38 (1) Any conviction of the applicant of gross fraud or cheat as defined by section 76 of
64	64	39chapter 266.
65	65	40 SECTION 7. Section 10 of chapter 142A of the General Laws, as so appearing, is hereby
66	66	41amended by striking out subsection (c), and inserting in place thereof the following:-
67	67	42 (c) whether the applicant has ever been previously registered in the commonwealth as a
68	68	43contractor or subcontractor pursuant to this chapter, whether the applicant has ever been
69	69	44previously registered as a contractor or subcontractor in any other state, under what other names
70	70	45he was previously registered, whether there have been previous judgments or arbitration awards
71	71	46against him in the commonwealth or any other state, whether there is money owing to the fund
72	72	47on account of such judgments or awards against him, and whether his registration has ever been
73	73	48suspended or revoked by the commonwealth or any other state.
74	74	49 SECTION 8. Section 13 of said chapter 142A of the General Laws, as so appearing, is
75	75	50hereby amended by inserting at the end thereof the following new subsection:-
76	76	51 (g) The director shall publish an account of registrations issued and the names of all
77	77	52contractors or subcontractors whose registration has been revoked, suspended or surrendered.
78	78	53The director shall also publish a summary of complaints, judgments or awards filed against
79	79	54registrants by the commonwealth or by any other state, the actions taken to investigate 4 of 4
80	80	55complaints, disciplinary hearings, disciplinary actions or revocations or suspensions, and the
81	81	56reasons for such actions by the director.
82	82	57 SECTION 9. Section 17 of said chapter 142A, as so appearing, is hereby amended by
83	83	58striking out clause (17), and inserting in place thereof the following 2 clauses:-
84	84	59 (17) engaging in gross fraud or cheat as defined by section 76 of chapter 266;
85	85	60 (18) violating any other provision of this chapter.