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HF 2055

as introduced - 93rd Legislature (2023 - 2024) Posted on 02/20/2023 12:21pm

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 02/17/2023

Current Version - as introduced

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A bill for an act
relating to housing; exempting certain affordable housing covenants on real property
from 30-year restriction; amending Minnesota Statutes 2022, section 500.20,
subdivision 2a.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2022, section 500.20, subdivision 2a, is amended to read:


Subd. 2a.

Restriction of duration of condition.

Except for any right to reenter or to
repossess as provided in subdivision 3, all private covenants, conditions, or restrictions
created by which the title or use of real property is affected, cease to be valid and operative
30 years after the date of the deed, or other instrument, or the date of the probate of the will,
creating them, and may be disregarded.

This subdivision does not apply to covenants, conditions, or restrictions:

(1) that were created before August 1, 1959, under which a person who owns or has an
interest in real property against which the covenants, conditions, or restrictions have been
filed claims a benefit of the covenant, condition, or restriction if the person records in the
office of the county recorder or files in the office of the registrar of titles in the county in
which the real estate affected is located, on or before March 30, 1989, a notice sworn to by
the claimant or the claimant's agent or attorney: setting forth the name of the claimant;
describing the real estate affected; describing the deed, instrument, or will creating the
covenant, condition, or restriction; and stating that the covenant, condition, or restriction is
not nominal and may not be disregarded under subdivision 1;

(2) that are created by the declaration, bylaws, floor plans, or condominium plat of a
condominium created before August 1, 1980, under chapter 515, or created on or after
August 1, 1980, under chapter 515A or 515B, or by any amendments of the declaration,
bylaws, floor plans, or condominium plat;

(3) that are created by the articles of incorporation, bylaws, or proprietary leases of a
cooperative association formed under chapter 308A;

(4) that are created by a declaration or other instrument that authorizes and empowers
a corporation of which the qualification for being a stockholder or member is ownership of
certain parcels of real estate, to hold title to common real estate for the benefit of the parcels;

(5) that are created by a deed, declaration, reservation, or other instrument by which one
or more portions of a building, set of connecting or adjacent buildings, or complex or project
of related buildings and structures share support, structural components, ingress and egress,
or utility access with another portion or portions;

(6) that were created after July 31, 1959, under which a person who owns or has an
interest in real estate against which covenants, conditions, or restrictions have been filed
claims a benefit of the covenants, conditions, or restrictions if the person records in the
office of the county recorder or files in the office of the registrar of titles in the county in
which the real estate affected is located during the period commencing on the 28th
anniversary of the date of the deed or instrument, or the date of the probate of the will,
creating them and ending on the 30th anniversary, a notice as described in clause (1); deleted text begin or
deleted text end

(7) that are created by a declaration or bylaws of a common interest community created
under or governed by chapter 515B, or by any amendments theretodeleted text begin .deleted text end new text begin ; or
new text end

new text begin (8) that are created by a declaration or other instrument required by a government entity
related to affordable housing.
new text end

A notice filed in accordance with clause (1) or (6) delays application of this subdivision
to the covenants, conditions, or restrictions for a period ending on the later of seven years
after the date of filing of the notice, or until final judgment is entered in an action to determine
the validity of the covenants, conditions, or restrictions, provided in the case of an action
the summons and complaint must be served and a notice of lis pendens must be recorded
in the office of the county recorder or filed in the office of the registrar of titles in each
county in which the real estate affected is located within seven years after the date of
recording or filing of the notice under clause (1) or (6).

County recorders and registrars of titles shall accept for recording or filing a notice
conforming with this subdivision and charge a fee corresponding with the fee charged for
filing a notice of lis pendens of similar length. The notice may be discharged in the same
manner as a notice of lis pendens and when discharged, together with the information
included with it, ceases to constitute either actual or constructive notice.