HF 3925

as introduced - 93rd Legislature (2023 - 2024) Posted on 04/18/2024 05:33pm

A bill for an act
relating to real property; providing for property insurance for grantee beneficiaries
of transfer on death deeds; making technical, clarifying, and conforming changes
to transfer on death deeds; amending Minnesota Statutes 2022, section 507.071;
proposing coding for new law in Minnesota Statutes, chapter 507.

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

Section 1.

Minnesota Statutes 2022, section 507.071, is amended to read:

507.071 TRANSFER ON DEATH DEEDS.

Subdivision 1.

Definitions.

For the purposes of this section the following terms have
the meanings given:

(a) "Beneficiary" or "grantee beneficiary" means a person or entity named as a grantee
beneficiary in a transfer on death deed, including a successor grantee beneficiary.

(b) "County agency" means the county department or office designated to recover medical
assistance benefits from the estates of decedents.

(c) "Grantor owner" means an owner, whether individually, as a joint tenant, or as a
tenant in common, named as a grantor in a transfer on death deed upon whose death the
conveyance or transfer of the described real property is conditioned. Grantor owner does
not include a spouse who joins in a transfer on death deed solely for the purpose of conveying
or releasing statutory or other marital interests in the real property to be conveyed or
transferred by the transfer on death deed.

(d) "Owner" means a person having an ownership or other interest in all or part of the
real property to be conveyed or transferred by a transfer on death deed either at the time the
deed is executed or at the time the transfer becomes effective. Owner does not include a
spouse who joins in a transfer on death deed solely for the purpose of conveying or releasing
statutory or other marital interests in the real property to be conveyed or transferred by the
transfer on death deed.

(e) "Property" and "interest in real property" mean any interest in real property located
in this state which is transferable on the death of the owner and includes, without limitation,
an interest in real property defined in chapter 500, a mortgage, a deed of trust, a security
interest in, or a security pledge of, an interest in real property, including the rights to
payments of the indebtedness secured by the security instrument, a judgment, a tax lien,
both the seller's and purchaser's interest in a contract for deed, land contract, purchase
agreement, or earnest money contract for the sale and purchase of real property, including
the rights to payments under such contracts, or any other lien on, or interest in, real property.

(f) "Recorded" means recorded in the office of the county recorder or registrar of titles,
as appropriate for the real property described in the instrument to be recorded.

(g) "State agency" means the Department of Human Services or any successor agency.

(h) "Transfer on death deed" means a deed authorized under this section.

Subd. 2.

Effect of transfer on death deed.

A deed that conveys or assigns an interest
in real property, to a grantee beneficiary and that expressly states that the deed is only
effective on the death of one or more of the grantor owners, transfers the interest to the
grantee beneficiary upon the death of the grantor owner upon whose death the conveyance
or transfer is stated to be effective, but subject to the survivorship provisions and requirements
of section 524.2-702. new text begin Until a transfer on death deed becomes effective, it has no effect on
title to the real property described in the deed, but it does create an insurable interest in the
real property in favor of the designated grantee beneficiary or beneficiaries for purposes of
insuring the real property against loss or damage that occurs on or after the transfer on death
deed becomes effective. new text end A transfer on death deed must comply with all provisions of
Minnesota law applicable to deeds of real property including, but not limited to, the
provisions of sections 507.02, 507.24, 507.34, 508.48, and 508A.48. If a spouse who is
neither a grantor owner nor an owner joins in the execution of, or consents in writing to,
the transfer on death deed, such joinder or consent shall be conclusive proof that upon the
transfer becoming effective, the spouse no longer has or can claim any statutory interest or
other marital interest in the interest in real property transferred by the transfer on death deed.
However, such transfer shall remain an interest as identified in section 256B.15 for purposes
of complying with and satisfying any claim or lien as authorized by subdivision 3.

Subd. 3.

Rights of creditors and rights of state and county under sections 246.53,
256B.15, 256D.16, 261.04, and 514.981.

The interest transferred to a beneficiary under a
transfer on death deed after the death of a grantor owner is transferred subject to all effective
conveyances, assignments, contracts, mortgages, deeds of trust, liens, security pledges,
judgments, tax liens, and any other matters or encumbrances to which the interest was
subject on the date of death of the grantor owner, upon whose death the transfer becomes
effective including, but not limited to, any claim by a surviving spouse who did not join in
the execution of, or consent in writing to, the transfer on death deed, and any claim or lien
by the state or county agency authorized by sections 246.53, 256B.15, 256D.16, 261.04,
and 514.981, if other assets of the deceased grantor's estate are insufficient to pay the amount
of any such claim. A beneficiary to whom the interest is transferred after the death of a
grantor owner shall be liable to account to the state or county agency with a claim or lien
authorized by section 246.53, 256B.15, 256D.16, 261.04, or 514.981, to the extent necessary
to discharge any such claim remaining unpaid after application of the assets of the deceased
grantor owner's estate, but such liability shall be limited to the value of the interest transferred
to the beneficiary. To establish compliance with this subdivision and subdivision 23, the
beneficiary must record a clearance certificate issued in accordance with subdivision 23 in
each county in which the real property described in the transfer on death deed is located.

Subd. 4.

Multiple grantee beneficiaries.

A transfer on death deed may designate multiple
grantee beneficiaries to take title as joint tenants, as tenants in common or in any other form
of ownership or tenancy that is valid under the laws of this state. new text begin If a grantee joint tenant
dies before the grantor owner upon whose death the transfer occurs and no successor
beneficiary for the deceased grantee is designated in the transfer on death deed, the surviving
joint tenants are the successors and no interest lapses.
new text end

Subd. 5.

Successor grantee beneficiaries.

A transfer on death deed may designate one
or more successor grantee beneficiaries or a class of successor grantee beneficiaries, or
both. If the transfer on death deed designates successor grantee beneficiaries or a class of
successor grantee beneficiaries, the deed shall state the condition under which the interest
of the successor grantee beneficiaries would vest.

Subd. 6.

Multiple joint tenant grantors.

If an interest in real property is owned as joint
tenants, a transfer on death deed executed by all of the owners and, if required by section
507.02, their respective spouses, if any, that conveys an interest in real property to one or
more grantee beneficiaries transfers the interest to the grantee beneficiary or beneficiaries
effective only after the death of the last surviving grantor owner. If the last surviving joint
tenant owner did not execute the transfer on death deed, the deed is ineffective to transfer
any interest and the deed is void. An estate in joint tenancy is not severed or affected by the
subsequent execution of a transfer on death deed and the right of a surviving joint tenant
owner who did not execute the transfer on death deed shall prevail over a grantee beneficiary
named in a transfer on death deed unless the deed specifically states that it severs the joint
tenancy ownership.

Subd. 7.

Execution by attorney-in-fact.

A transfer on death deed may be executed by
a duly appointed attorney-in-fact pursuant to a power of attorney which grants the
attorney-in-fact the authority to execute deeds.

Subd. 8.

Recording requirements and authorization.

A transfer on death deed is valid
if the deed is recorded in a county in which at least a part of the real property described in
the deed is located and is recorded before the death of the grantor owner upon whose death
the conveyance or transfer is effective. new text begin Notwithstanding the definition of recorded under
subdivision 1, if the real property is registered property, a transfer on death deed that was
recorded incorrectly or incompletely is valid if the deed was recorded before the death of
the grantor owner in the office of the county recorder or the registrar of titles in a county
in which at least part of the real property is located, and is memorialized on the certificate
of title after death. new text end A transfer on death deed is not effective for purposes of section 507.34,
508.47, or 508A.47 until the deed is new text begin properly new text end recorded in the county in which the real
property is located. When a transfer on death deed is presented for recording, no certification
by the county auditor as to transfer of ownership and current and delinquent taxes shall be
required or made and the transfer on death deed shall not be required to be accompanied
by a certificate of real estate value. A transfer on death deed that otherwise satisfies all
statutory requirements for recording may be recorded and shall be accepted for recording
in the county in which the property described in the deed is located. If any part of the property
described in the transfer on death deed is registered property, the registrar of titles shall
accept the transfer on death deed for recording only if at least one of the grantors who
executes the transfer on death deed appears of record to have an ownership interest or other
interest in the real property described in the deed. No certification or approval of a transfer
on death deed shall be required of the examiner of titles prior to recording of the deed in
the office of the registrar of titles.

Subd. 9.

Deed to trustee or other entity.

A transfer on death deed may transfer an
interest in real property to the trustee of an inter vivos trust even if the trust is revocable, to
the trustee of a testamentary trust or to any other entity legally qualified to hold title to real
property under the laws of this state.

Subd. 10.

Revocation or modification of transfer on death deed.

(a) A transfer on
death deed may be revoked at any time by the grantor owner or, if there is more than one
grantor owner, by any of the grantor owners. A revocation revokes the transfer on death
deed in its entirety. To be effective, the revocation must be recorded in a county in which
at least a part of the real property is located before the death of the grantor owner or owners
who execute the revocation. new text begin Notwithstanding the definition of recorded under subdivision
1, if the real property is registered property, a revocation that was recorded incorrectly or
incompletely is effective if it was recorded before the death of the grantor owner in the
office of the county recorder or the registrar of titles in a county in which at least part of
the real property is located, and is memorialized on the certificate of title after death. new text end The
revocation is not effective for purposes of section 507.34, 508.47, or 508A.47 until the
revocation is new text begin properly new text end recorded in a county in which the real property is located.

(b) If a grantor owner conveys to a third party, subsequent to the recording of the transfer
on death deed, by means other than a transfer on death deed, all or a part of such grantor
owner's interest in the property described in the transfer on death deed, no transfer of the
conveyed interest shall occur on such grantor owner's death and the transfer on death deed
shall be ineffective as to the conveyed or transferred interests, but the transfer on death deed
remains effective with respect to the conveyance or transfer on death of any other interests
described in the transfer on death deed owned by the grantor owner at the time of the grantor
owner's death.

(c) A transfer on death deed is a "governing instrument" within the meaning of section
524.2-804 and, except as may otherwise be specifically provided for in the transfer on death
deed, is subject to the same provisions as to revocation, revival, and nonrevocation set forth
in section 524.2-804.

Subd. 11.

Antilapse; deceased beneficiary; words of survivorship.

(a) new text begin Except when
a successor grantee beneficiary is designated in the transfer on death deed for the grantee
beneficiary who did not survive the grantor owner, new text end if a grantee beneficiary who is a
grandparent or lineal descendant of a grandparent of the grantor owner fails to survive the
grantor owner, the issue of the deceased grantee beneficiary who survive the grantor owner
take in place of the deceased grantee beneficiary. If they are all of the same degree of kinship
to the deceased grantee beneficiary, they take equally. If they are of unequal degree, those
of more remote degree take by right of representation.

(b) For the purposes of this subdivision, words of survivorship such as, in a conveyance
to an individual, "if he or she survives me," or, in a class gift, to "my surviving children,"
are a sufficient indication of intent to condition the conveyance or transfer upon the
beneficiary surviving the grantor owner.

new text begin (c) When issue of a deceased grantee beneficiary or members of a class take in place of
the named grantee beneficiary pursuant to subdivision 5 or paragraph (a) or (b) or when a
beneficiary dies and has no issue under paragraph (a), an affidavit of survivorship stating
the names and shares of the beneficiaries or stating that a deceased beneficiary had no issue
is not conclusive and a court order made in accordance with Minnesota probate law
determining the beneficiaries and shares must also be recorded.
new text end

Subd. 12.

Lapse.

If all beneficiaries and all successor beneficiaries, if any, designated
in a transfer on death deed, and also all successor beneficiaries who would take under the
antilapse provisions of subdivision 11, fail to survive the grantor owner or the last survivor
of the grantor owners if there are multiple grantor owners, if the beneficiary is a trust which
has been revoked prior to the grantor owner's death, or if the beneficiary is an entity no
longer in existence at the grantor owner's death, no transfer shall occur and the transfer on
death deed is void.

Subd. 13.

Multiple transfer on death deeds.

If a grantor owner executes and records
more than one transfer on death deed conveying the same interest in real property or a
greater interest in the real property, new text begin or conveying part of the property in the earlier transfer
on death deed, new text end the transfer on death deed that has the latest acknowledgment date and that
is recorded before the death of the grantor owner upon whose death the conveyance or
transfer is conditioned is the effective transfer on death deed and all other transfer on death
deeds, if any, executed by the grantor owner or the grantor owners are ineffective to transfer
any interest and are void new text begin , except that if the later transfer on death deed included only part
of the land of the earlier deed, the earlier deed is effective for the lands not included in the
subsequent deed, absent language to the contrary in the subsequent deed new text end .

Subd. 14.

Nonademption; unpaid proceeds of sale, condemnation, or insurance;
sale by conservator or guardian.

If at the time of the death of the grantor owner upon
whose death the conveyance or transfer is stated to be effective, the grantor owner did not
own a part or all of the real property described in the transfer on death deed, no conveyance
or transfer to the beneficiary of the nonowned part of the real property shall occur upon the
death of the grantor owner and the transfer on death deed is void as to the nonowned part
of the real property, but the beneficiary shall have the same rights to unpaid proceeds of
sale, condemnation or insurance, and, if sold by a conservator or guardian of the grantor
owner during the grantor owner's lifetime, the same rights to a general pecuniary devise, as
that of a specific devisee as set forth in section 524.2-606.

Subd. 15.

Nonexoneration.

Except as otherwise provided in subdivision 3, a conveyance
or transfer under a transfer on death deed passes the described property subject to any
mortgage or security interest existing at the date of death of the grantor owner, without right
of exoneration, regardless of any statutory obligations to pay the grantor owner's debts upon
death and regardless of a general directive in the grantor owner's will to pay debts.

Subd. 16.

Disclaimer by beneficiary.

A grantee beneficiary's interest under a transfer
on death deed may be disclaimed as provided in sections 524.2-1101 to 524.2-1116, or as
otherwise provided by law.

Subd. 17.

Effect on other conveyances.

This section does not prohibit other methods
of conveying property that are permitted by law and that have the effect of postponing
ownership or enjoyment of an interest in real property until the death of the owner. This
section does not invalidate any deed that is not a transfer on death deed and that is otherwise
effective to convey title to the interests and estates described in the deed that is not recorded
until after the death of the owner.

Subd. 18.

Notice, consent, and delivery not required.

The signature, consent or
agreement of, or notice to, a grantee beneficiary under a transfer on death deed, or delivery
of the transfer on death deed to the grantee beneficiary, is not required for any purpose
during the lifetime of the grantor owner.

Subd. 19.

Nonrevocation by will.

A transfer on death deed that is executed,
acknowledged, and recorded in accordance with this section is not revoked by the provisions
of a will.

Subd. 20.

Proof of survivorship and clearance from public assistance claims and
liens; recording.

An affidavit of identity and survivorship with a certified copy of a record
of death as an attachment may be combined with a clearance certificate under this section
and the combined documents may be recorded separately or as one document in each county
in which the real estate described in the clearance certificate is located. The affidavit must
include the name and mailing address of the person to whom future property tax statements
should be sent. The affidavit, record of death, and clearance certificate, whether combined
or separate, shall be prima facie evidence of the facts stated in each, and the registrar of
titles may rely on the statements to transfer title to the property described in the clearance
certificate new text begin , except in cases where a court order is required pursuant to the provisions of
subdivision 11, paragraph (c) new text end .

Subd. 21.

After-acquired property.

Except as provided in this subdivision, a transfer
on death deed is not effective to transfer any interest in real property acquired by a grantor
owner subsequent to the date of signing of a transfer on death deed. A grantor owner may
provide by specific language in a transfer on death deed that the transfer on death deed will
apply to any interest in the described property acquired by the grantor owner after the signing
or recording of the deed.

Subd. 22.

Anticipatory alienation prohibited.

The interest of a grantee beneficiary
under a transfer on death deed which has not yet become effective is not subject to alienation;
assignment; encumbrance; appointment or anticipation by the beneficiary; garnishment;
attachment; execution or bankruptcy proceedings; claims for alimony, support, or
maintenance; payment of other obligations by any person against the beneficiary; or any
other transfer, voluntary or involuntary, by or from any beneficiary.

Subd. 23.

Clearance for public assistance claims and liens.

Any person claiming an
interest in real property conveyed or transferred by a transfer on death deed, or the person's
attorney or other agent, may apply to the county agency in the county in which the real
property is located for a clearance certificate for the real property described in the transfer
on death deed. The application for a clearance certificate and the clearance certificate must
contain the legal description of each parcel of property covered by the clearance certificate.
The county agency shall provide a sufficient number of clearance certificates to allow a
clearance certificate to be recorded in each county in which the real property described in
the transfer on death deed is located. The real property described in the clearance certificate
is bound by any conditions or other requirements imposed by the county agency as specified
in the clearance certificate. If the real property is registered property, a new certificate of
title must not be issued until the clearance certificate is recorded. If the clearance certificate
shows the continuation of a medical assistance claim or lien after issuance of the clearance
certificate, the real property remains subject to the claim or lien. If the real property is
registered property, the clearance certificate must be carried forward as a memorial in any
new certificate of title. The application shall contain the same information and shall be
submitted, processed, and resolved in the same manner and on the same terms and conditions
as provided in section 525.313 for a clearance certificate in a decree of descent proceeding,
except that a copy of a notice of hearing does not have to accompany the application. The
application may contain a statement that the applicant, after reasonably diligent inquiry, is
not aware of the existence of a predeceased spouse or the existence of a claim which could
be recovered under section 246.53, 256B.15, 256D.16, 261.04, or 514.981. If the county
agency determines that a claim or lien exists under section 246.53, 256B.15, 256D.16,
261.04, or 514.981, the provisions of section 525.313 shall apply to collection, compromise,
and settlement of the claim or lien. A person claiming an interest in real property transferred
or conveyed by a transfer on death deed may petition or move the district court, as
appropriate, in the county in which the real property is located or in the county in which a
probate proceeding affecting the estate of the grantor of the transfer on death deed is pending,
for an order allowing sale of the real property free and clear of any public assistance claim
or lien but subject to disposition of the sale proceeds as provided in section 525.313. On a
showing of good cause and subject to such notice as the court may require, the court without
hearing may issue an order allowing the sale free and clear of any public assistance claim
or lien on such terms and conditions as the court deems advisable to protect the interests of
the state or county agency.

Subd. 24.

Form of transfer on death deed.

A transfer on death deed may be substantially
in the following form:

Transfer on Death Deed

I (we) ................................... (grantor owner or owners and spouses, if any, with
marital status designated), grantor(s), hereby convey(s) and quitclaim(s) to
.................................. (grantee beneficiary, whether one or more) effective (check
only one of the following)

.... on the death of the grantor owner, if only one grantor is named above, or on the
death of the last of the grantor owners to die, if more than one grantor owner is named
above, or

.... on the death of (name of grantor owner)

........................................... (must be one of the grantor owners named above), the
following described real property:

(Legal description)

If checked, the following optional statement applies:

....When effective, this instrument conveys any and all interests in the described real
property acquired by the grantor owner(s) before, on, or after the date of this
instrument.

		.
		(Signature of grantor(s))
	(acknowledgment)

Subd. 25.

Form of instrument of revocation.

An instrument of revocation may be
substantially in the following form:

Revocation of Transfer on Death Deed

The undersigned hereby revokes the transfer on death deed recorded on .........., ....,
as Document No. .......... (or in Book .......... of ........., Page .....) in the office of the
(County Recorder) (Registrar of Titles) of ............ County, Minnesota, affecting real
property legally described as follows:

	(legal description)
		Dated:
		.
		Signature
	(acknowledgment)

Subd. 26.

Jurisdiction.

In counties where the district court has a probate division, new text begin the
application of subdivision 11 or other issues of interpretation or validity of the transfer on
death deed, and new text end actions to enforce a medical assistance lien or claim against real property
described in a transfer on death deed and any matter raised in connection with enforcement
shall be determined in the probate division. deleted text begin Notwithstanding any other law to the contrary,
the provisions of section 256B.15 shall apply to any proceeding to enforce a medical
assistance lien or claim under chapter 524 or 525. deleted text end In other counties, the district court shall
have jurisdiction to determine any matter affecting real property purporting to be transferred
by a transfer on death deed. new text begin Notwithstanding any other law to the contrary, the provisions
of section 256B.15 shall apply to any proceeding to enforce a medical assistance lien or
claim under chapter 524 or 525.
new text end

Sec. 2.

new text begin [507.072] PROPERTY INSURANCE FOR GRANTEE BENEFICIARIES
OF TRANSFER ON DEATH DEEDS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following definitions
apply unless the context indicates otherwise.
new text end

new text begin (b) "Grantee beneficiary" has the meaning given in section 507.071, subdivision 1.
new text end

new text begin (c) "Insurance policy" means an insurance policy governed by chapter 65A.
new text end

new text begin (d) "Transfer on death deed" means a deed described in section 507.071.
new text end

new text begin (e) "Grantor owner" has the meaning given in section 507.071, subdivision 1.
new text end

new text begin (f) "Extended coverage" or "temporary extended coverage" means insurance coverage
continuing beyond the death of the named insured.
new text end

new text begin Subd. 2. new text end

new text begin Insurance policy to include grantee beneficiary. new text end

new text begin An insurer providing an
insurance policy on real property transferred by a transfer on death deed shall provide
temporary extended coverage on the real property to the designated grantee beneficiary for
a period commencing on the date of death of the grantor owner and ending when the grantee
beneficiary replaces the insurance policy on the insured property with an insurance policy
or the expiration of the time limitations set forth in subdivision 4, whichever is sooner.
new text end

new text begin Subd. 3. new text end

new text begin Notice to the insurer. new text end

new text begin To obtain temporary extended coverage for a transfer
on death deed as provided in this section, the grantor owner must notify the insurer of the
existence of a transfer on death deed. The notice shall include the names and contact
information of all designated grantee beneficiaries.
new text end

new text begin Subd. 4. new text end

new text begin Coverage extended. new text end

new text begin The coverage to be extended under this section applies
only with respect to the insurance policy insuring the real property of the grantor owner.
The period of extended coverage shall not exceed 30 days from the date of the grantor
owner's death or the expiration date of the insurance policy, whichever is less. An insurer
is not required to provide notice to the grantee beneficiary for cancellation of coverage
following the shorter of the 30 days or expiration date of the policy or the placement of
replacement insurance coverage.
new text end

new text begin Subd. 5. new text end

new text begin Proof demanded; policy conditions. new text end

new text begin Before making any payment for a claim
under this section, the insurer may require proof that the claimant is a grantee beneficiary
under a transfer on death deed, the transfer on death deed was recorded as provided in
section 507.071, and that an affidavit of survivorship and death certificate of the grantor
owner was recorded as provided in section 507.071. The grantee beneficiary shall comply
with the conditions of the policy.
new text end

new text begin Subd. 6. new text end

new text begin Insurable interest. new text end

new text begin A grantee beneficiary does not hold an insurable interest
in the real property described in a transfer on death deed prior to the death of the grantor
owner. Any claim on the insured real property described in a transfer on death deed initiated
before the death of the grantor owner or the death benefits associated with the policy prior
to the death of the grantor owner shall be settled with the estate of the grantor owner, not
with the grantee beneficiary. A grantee beneficiary is not entitled to recover benefits under
an insurance policy extended as provided in this section in an amount greater than the grantee
beneficiary's insurable interest at the time of loss or damage. A grantee beneficiary is not
entitled to any amounts paid out in prior claims on the property. If the transfer on death
deed designates multiple grantee beneficiaries, nothing in this section requires the insurer
to pay an amount for loss or damage to the insured real property that exceeds the amount
that would be owed to the grantor owner if the grantor owner was living at the time of loss
or damage.
new text end

new text begin Subd. 7. new text end

new text begin Warnings on transfer on death deeds. new text end

new text begin On or after August 1 of the year of the
effective date of this section, a transfer on death deed shall contain the following warnings
in substantially the following form:
new text end

new text begin "Warning to Grantor Owner: Temporary extended coverage of any fire and casualty
insurance policy on the property under Minnesota Statutes, chapter 65A, will exist only if
the grantor owner has given notice to the insurer under Minnesota Statutes, section 507.072,
subdivision 3, including the existence of a transfer on death deed and the names and contact
information of all designated grantee beneficiaries. Any temporary extended coverage
terminates on the earlier of (1) 30 days after the date of the grantor owner's death, (2) the
expiration date of the policy, or (3) upon placement of a replacement insurance policy.
new text end

new text begin Warning to Grantee Beneficiary: A grantee beneficiary shall not presume insurance
coverage continues after the death of the grantor owner. Upon the death of the grantor
owner, the grantee beneficiary should determine whether the provisions of Minnesota
Statutes, section 507.072, apply and consult with an insurance agent or attorney."
new text end

new text begin The failure to include warnings in a transfer on death deed in accordance with this
subdivision shall not invalidate the transfer on death deed or affect recording of the transfer
on death deed.
new text end

Sec. 3. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1 and 2 are effective on the day following final enactment and apply to insurance
policies issued or renewed in Minnesota on or after August 1 of the year of final enactment.
Sections 1 and 2 do not apply to insurance policies issued or renewed prior to August 1 of
the year of final enactment or to transfer on death deeds recorded prior to that date unless
the grantor owner provides the notice specified by section 2, subdivision 3.
new text end