By: Hegar S.B. No. 2481
A BILL TO BE ENTITLED
AN ACT
relating to an exception to prohibition of fees for future transfer
of real property.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter A, Chapter 5, Property Code, is
amended by adding Section (4a) to Section 5.017 (c) as follows:
Sec. 5.017. FEE FOR FUTURE CONVEYANCE OF RESIDENTIAL REAL
PROPERTY AND RELATED LIEN PROHIBITED. (a) In this section,
"property owners' association" has the meaning assigned by Section
209.002.
(b) A deed restriction or other covenant running with the
land applicable to the conveyance of residential real property that
requires a transferee of residential real property or the
transferee's heirs, successors, or assigns to pay a declarant of
other person imposing the deed restriction or covenant on the
property or a third party designated by a transferor of the property
a fee in connection with a future transfer of the property is
prohibited. A deed restriction or other covenant running with the
land that violates this section or a lien purporting to encumber the
land to secure a right under a deed restriction or other covenant
running with the land that violates this section is void and
unenforceable. For purposes of this section, a conveyance of real
property includes a conveyance or other transfer of an interest or
estate in residential real property.
(c) This section does not apply to a deed restriction or
other covenant running with the land that requires a fee associated
with the conveyance of property in a subdivision that is payable to:
(1) a property owners' association that manages or
regulates the subdivision or the association's managing agent if
the subdivision contains more than one platted lot;
(2) an entity organized under Section 501(c)(3),
Internal Revenue Code of 1986; or
(3) a governmental entity, or
(4) An entity other than a property owners association
that operates a golf course and country club in or adjacent to one
or more subdivisions where the owners of real property in such
subdivisions are required by deed restriction to obtain and
maintain a membership in such club.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2009.