1.1A bill for an act
1.2relating to property; revising procedures and fees charged by county registrars of
1.3title for registering supplemental declarations of common interest communities;
1.4providing for transfer on death deeds; clarifying acknowledgments made in a
1.5representative capacity; clarifying application of certain common law doctrine
1.6to registered land; eliminating obsolete language and making other technical
1.7and conforming changes; modifying the Uniform Probate Code; amending
1.8provisions relating to mortgage foreclosure; providing for foreclosure prevention
1.9counseling; prescribing preforeclosure and foreclosure notices;amending
1.10Minnesota Statutes 2006, sections 256B.15, subdivisions 1h, 1i; 272.12; 287.22;
1.11507.092, subdivision 1; 508.02; 508.48; 508.52; 508.671, subdivision 1;
1.12508.82, subdivision 1; 508A.02, subdivision 1; 508A.48; 508A.52; 515B.1-116;
1.13524.2-301; 524.2-402; 524.2-702; 524.3-801; 524.3-803; 557.02; 580.02;
1.14580.03; 580.041, subdivision 2; 580.06; 580.07; 580.12; 580.23, subdivision
1.151; 580.25; 580.28; 580.30; 581.10; 582.03; 582.031; Minnesota Statutes 2007
1.16Supplement, sections 507.24, subdivision 2; 510.05; 550.19; 550.22; 550.24;
1.17580.24; Laws 2004, chapter 263, section 26; proposing coding for new law in
1.18Minnesota Statutes, chapters 507; 580.
1.19BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.20
ARTICLE 1
1.21
REGISTRAR OF TITLES
1.22 Section 1. Minnesota Statutes 2006, section 508.82, subdivision 1, is amended to read:
1.23 Subdivision 1.
Standard documents. The fees to be charged by the registrar of
1.24titles shall be and not exceed the following:
1.25(1) of the fees provided herein, $1.50 of the fees collected under clauses (2), (3), (4),
1.26(11), (13), (15), (17), and (18) for filing or memorializing shall be paid to the state treasury
1.27pursuant to section
508.75 and credited to the general fund;
1.28(2) for registering a first certificate of title, including issuing a copy of it, $46.
1.29Pursuant to clause (1), distribution of this fee is as follows:
2.1(i) $10.50 shall be paid to the state treasury and credited to the general fund;
2.2(ii) $10 shall be deposited in the technology fund pursuant to section
357.18,
2.3subdivision 3
; and
2.4(iii) $25.50 shall be deposited in the county general fund;
2.5(3) for registering each instrument transferring the fee simple title for which a new
2.6certificate of title is issued and for the registration of the new certificate of title, including
2.7a copy of it, $46. Pursuant to clause (1), distribution of this fee is as follows:
2.8(i) $12 shall be paid to the state treasury and credited to the general fund;
2.9(ii) $10 shall be deposited in the technology fund pursuant to section
357.18,
2.10subdivision 3
; and
2.11(iii) $24 shall be deposited in the county general fund;
2.12(4) for the entry of each memorial on a certificate, $46. For multiple certificate
2.13entries, $20 thereafter. Pursuant to clause (1), distribution of this fee is as follows:
2.14(i) $12 shall be paid to the state treasury and credited to the general fund;
2.15(ii) $10 shall be deposited in the technology fund pursuant to section
357.18,
2.16subdivision 3
;
2.17(iii) $24 shall be deposited in the county general fund; and
2.18(iv) $20 shall be deposited in the county general fund for each multiple entry used;
2.19(5) for issuing each residue certificate and each additional new certificate, $40;
2.20(6) for exchange certificates, $20 for each certificate canceled and $20 for each
2.21new certificate issued;
2.22(7) for each certificate showing condition of the register, $50;
2.23(8) for any certified copy of any instrument or writing on file or recorded in the
2.24registrar of titles' office, $10;
2.25(9) for a noncertified copy of any certificate of title, other than the copies issued
2.26under clauses (2) and (3), any instrument or writing on file or recorded in the office of
2.27the registrar of titles, or any specified page or part of it, an amount as determined by the
2.28county board for each page or fraction of a page specified. If computer or microfilm
2.29printers are used to reproduce the instrument or writing, a like amount per image;
2.30(10) for a noncertified copy of any document submitted for recording, if the original
2.31document is accompanied by a copy or duplicate original, $2. Upon receipt of the copy
2.32or duplicate original and payment of the fee, a registrar of titles shall return it marked
2.33"copy" or "duplicate," showing the recording date and, if available, the document number
2.34assigned to the original;
3.1(11) for filing two copies of any plat
new text begin , other than a CIC plat complying with section new text end
3.2
new text begin 515B.2-110, paragraph (c),new text end in the office of the registrar, $56. Pursuant to clause (1),
3.3distribution of this fee is as follows:
3.4(i) $12 shall be paid to the state treasury and credited to the general fund;
3.5(ii) $10 shall be deposited in the technology fund pursuant to section
357.18,
3.6subdivision 3
; and
3.7(iii) $34 shall be deposited in the county general fund;
3.8(12) for any other service under this chapter, such fee as the court shall determine;
3.9(13) for filing an amendment to a declaration in accordance with chapter 515, $46
3.10for each certificate upon which the document is registered and for multiple certificate
3.11entries, $20 thereafter; $56 for an amended floor plan filed in accordance with chapter
3.12515.
new text begin (13) for filing any document affecting two or more units in a condominium governed new text end
3.13
new text begin by chapter 515, $46 for the first certificate upon which the document is registered, and for new text end
3.14
new text begin multiple certificate entries, $20 for each additional certificate upon which the document new text end
3.15
new text begin is registered. For purposes of this paragraph, an amendment to the declaration of a new text end
3.16
new text begin condominium governed by chapter 515 and a related amendment to the condominium new text end
3.17
new text begin floor plans shall be considered a single document, and the filing fee shall be $56 for the new text end
3.18
new text begin first certificate upon which the document is registered, and for multiple certificate entries, new text end
3.19
new text begin $20 for each additional certificate upon which the document is registered.new text end Pursuant to
3.20clause (1), distribution of this fee is as follows:
3.21(i) $12 shall be paid to the state treasury and credited to the general fund;
3.22(ii) $10 shall be deposited in the technology fund pursuant to section
357.18,
3.23subdivision 3
;
3.24(iii) $24 shall be deposited in the county general fund for amendment to a declaration;
3.25(iv) $20 shall be deposited in the county general fund for each multiple entry
3.26used; and
3.27(v) $34 shall be deposited in the county general fund for an amended floor plan;
3.28(14) for issuance of a CECT pursuant to section
508.351, $40;
3.29(15) for filing an amendment to a common interest community declaration, including
3.30a supplemental declaration, and plat or amendment complying with section
515B.2-110,
3.31subsection (c)
, $46 for the first certificate upon which the document is registered and for
3.32multiple certificate entries, $20 thereafter and $56 for the filing of the condominium or
3.33common interest community plat or amendment. See section 515B.1-116 for special
3.34requirement relating to a common interest community.
new text begin (15) for filing a common interest new text end
3.35
new text begin community declaration and a CIC plat complying with section 515B.2-110, paragraph new text end
3.36
new text begin (c); an amendment to a common interest community declaration and a related amendment new text end
4.1
new text begin to a CIC plat complying with section 515B.2-110, paragraph (c); or a supplemental new text end
4.2
new text begin declaration and a related supplemental CIC plat complying with section 515B.2-110, new text end
4.3
new text begin paragraph (c), each of which related documents shall be considered a single document, new text end
4.4
new text begin the filing fee shall be $56 for the first certificate upon which the document is registered, new text end
4.5
new text begin and for multiple certificate entries, $20 for each additional certificate upon which the new text end
4.6
new text begin document is registered. For filing any other document affecting two or more units in a new text end
4.7
new text begin common interest community, the filing fee shall be $46 for the first certificate upon which new text end
4.8
new text begin the document is registered, and for multiple certificate entries, $20 for each additional new text end
4.9
new text begin certificate upon which the document is registered. The same fees shall apply to filing any new text end
4.10
new text begin document affecting two or more units or other parcels subject to a master declaration.new text end
4.11Pursuant to clause (1), distribution of this fee is as follows:
4.12(i) $12 shall be paid to the state treasury and credited to the general fund;
4.13(ii) $10 shall be deposited in the technology fund pursuant to section
357.18,
4.14subdivision 3
;
4.15(iii) $24 shall be deposited in the county general fund for the filing of an amendment
4.16complying with section
515B.2-110, subsection (c);
4.17(iv) $20 shall be deposited in the county general fund for each multiple entry
4.18used; and
4.19(v) $34 shall be deposited in the county general fund for the filing of a condominium
4.20or CIC plat or amendment;
4.21(16) for a copy of a condominium floor plan filed in accordance with chapter 515,
4.22or a copy of a common interest community plat complying with section
515B.2-110,
4.23subsection (c)
, the fee shall be $1 for each page of the floor plan or common interest
4.24community plat with a minimum fee of $10;
4.25(17) for the filing of a certified copy of a plat of the survey pursuant to section
4.26508.23
or
508.671, $46. Pursuant to clause (1), distribution of this fee is as follows:
4.27(i) $12 shall be paid to the state treasury and credited to the general fund;
4.28(ii) $10 shall be deposited in the technology fund pursuant to section
357.18,
4.29subdivision 3
; and
4.30(iii) $24 shall be deposited in the county general fund;
4.31(18) for filing a registered land survey in triplicate in accordance with section
4.32508.47, subdivision 4
, $56. Pursuant to clause (1), distribution of this fee is as follows:
4.33(i) $12 shall be paid to the state treasury and credited to the general fund;
4.34(ii) $10 shall be deposited in the technology fund pursuant to section
357.18,
4.35subdivision 3
; and
4.36(iii) $34 shall be deposited in the county general fund; and
5.1(19) for furnishing a certified copy of a registered land survey in accordance with
5.2section
508.47, subdivision 4, $15.
5.3 Sec. 2. Minnesota Statutes 2006, section 515B.1-116, is amended to read:
5.4
515B.1-116 RECORDING.
5.5(a) A declaration, bylaws, any amendment to a declaration or bylaws, and any other
5.6instrument affecting a common interest community shall be entitled to be recorded. In
5.7those counties which have a tract index, the county recorder shall enter the declaration in
5.8the tract index for each unit or other tract affected. The county recorder shall not enter
5.9the declaration in the tract index for lands described as additional real estate, unless such
5.10lands are added to the common interest community pursuant to section
515B.2-111. The
5.11registrar of titles shall file the declaration in accordance with section
508.351 or
508A.351.
5.12The registrar of titles shall not file the declaration upon certificates of title for lands
5.13described as additional real estate, unless such lands are added to the common interest
5.14community pursuant to section
515B.2-111.
5.15(b) The recording officer shall upon request promptly assign a number (CIC number)
5.16to a common interest community to be formed or to a common interest community
5.17resulting from the merger of two or more common interest communities.
5.18(c) Documents recorded pursuant to this chapter shall in the case of registered
5.19land be filed, and references to the recording of documents shall mean filed in the case
5.20of registered land.
5.21(d) Subject to any specific requirements of this chapter, if a recorded document
5.22relating to a common interest community or a master association purports to require a
5.23certain vote or signatures approving any restatement or amendment of the document by a
5.24certain number or percentage of unit owners or secured parties, and if the amendment or
5.25restatement is to be recorded, an affidavit of the president or secretary of the association
5.26stating that the required vote or signatures have been obtained shall be attached to the
5.27document to be recorded and shall constitute prima facie evidence of the representations
5.28contained therein.
5.29(e) If a common interest community is located on registered land, the recording
5.30fee for any document affecting two or more units shall be $46 for the first ten affected
5.31certificates and $10 for each additional affected certificate. This provision shall not apply
5.32to recording fees for deeds of conveyance, with the exception of deeds given pursuant
5.33to sections
and
. The same fees shall apply to recording any
5.34document affecting two or more units or other parcels of real estate subject to a master
5.35declaration.
6.1(f)
new text begin (e)new text end Except as permitted under this subsection, a recording officer shall not file
6.2or record a declaration creating a new common interest community, unless the county
6.3treasurer has certified that the property taxes payable in the current year for the real estate
6.4included in the proposed common interest community have been paid. This certification
6.5is in addition to the certification for delinquent taxes required by section
272.12. In the
6.6case of preexisting common interest communities, the recording officer shall accept,
6.7file, and record the following instruments, without requiring a certification as to the
6.8current or delinquent taxes on any of the units in the common interest community: (i) a
6.9declaration subjecting the common interest community to this chapter; (ii) a declaration
6.10changing the form of a common interest community pursuant to section
515B.2-123; or
6.11(iii) an amendment to or restatement of the declaration, bylaws, or CIC plat. In order for
6.12an instrument to be accepted and recorded under the preceding sentence, the instrument
6.13must not create or change unit or common area boundaries.
6.14
ARTICLE 2
6.15
TRANSFER ON DEATH DEEDS
6.16 Section 1. Minnesota Statutes 2006, section 256B.15, subdivision 1h, is amended to
6.17read:
6.18 Subd. 1h.
Estates of specific persons receiving medical assistance. (a) For
6.19purposes of this section, paragraphs (b) to (k) apply if a person received medical assistance
6.20for which a claim may be filed under this section and died single, or the surviving spouse
6.21of the couple and was not survived by any of the persons described in subdivisions 3 and 4.
6.22 (b) For purposes of this section, the person's estate consists of: (1) their
new text begin the person's new text end
6.23probate estate; (2) all of the person's interests or proceeds of those interests in real property
6.24the person owned as a life tenant or as a joint tenant with a right of survivorship at the
6.25time of the person's death; (3) all of the person's interests or proceeds of those interests in
6.26securities the person owned in beneficiary form as provided under sections
524.6-301 to
6.27524.6-311
at the time of the person's death, to the extent they become part of the probate
6.28estate under section
524.6-307; and (4) all of the person's interests in joint accounts,
6.29multiple party accounts, and pay on death accounts, or the proceeds of those accounts, as
6.30provided under sections
524.6-201 to
524.6-214 at the time of the person's death to the
6.31extent they become part of the probate estate under section
524.6-207new text begin ; and (5) the person's new text end
6.32
new text begin legal title or interest at the time of the person's death in real property transferred under new text end
6.33
new text begin a transfer on death deed under section 507.071, or in the proceeds from the subsequent new text end
6.34
new text begin sale of the person's interest in the real propertynew text end . Notwithstanding any law or rule to the
7.1contrary, a state or county agency with a claim under this section shall be a creditor under
7.2section
524.6-307.
7.3 (c) Notwithstanding any law or rule to the contrary, the person's life estate or joint
7.4tenancy interest in real property not subject to a medical assistance lien under sections
7.5514.980
to
514.985 on the date of the person's death shall not end upon the person's death
7.6and shall continue as provided in this subdivision. The life estate in the person's estate
7.7shall be that portion of the interest in the real property subject to the life estate that is equal
7.8to the life estate percentage factor for the life estate as listed in the Life Estate Mortality
7.9Table of the health care program's manual for a person who was the age of the medical
7.10assistance recipient on the date of the person's death. The joint tenancy interest in real
7.11property in the estate shall be equal to the fractional interest the person would have owned
7.12in the jointly held interest in the property had they and the other owners held title to the
7.13property as tenants in common on the date the person died.
7.14 (d) The court upon its own motion, or upon motion by the personal representative or
7.15any interested party, may enter an order directing the remaindermen or surviving joint
7.16tenants and their spouses, if any, to sign all documents, take all actions, and otherwise
7.17fully cooperate with the personal representative and the court to liquidate the decedent's
7.18life estate or joint tenancy interests in the estate and deliver the cash or the proceeds of
7.19those interests to the personal representative and provide for any legal and equitable
7.20sanctions as the court deems appropriate to enforce and carry out the order, including an
7.21award of reasonable attorney fees.
7.22 (e) The personal representative may make, execute, and deliver any conveyances or
7.23other documents necessary to convey the decedent's life estate or joint tenancy interest
7.24in the estate that are necessary to liquidate and reduce to cash the decedent's interest or
7.25for any other purposes.
7.26 (f) Subject to administration, all costs, including reasonable attorney fees, directly
7.27and immediately related to liquidating the decedent's life estate or joint tenancy interest in
7.28the decedent's estate, shall be paid from the gross proceeds of the liquidation allocable
7.29to the decedent's interest and the net proceeds shall be turned over to the personal
7.30representative and applied to payment of the claim presented under this section.
7.31 (g) The personal representative shall bring a motion in the district court in which
7.32the estate is being probated to compel the remaindermen or surviving joint tenants to
7.33account for and deliver to the personal representative all or any part of the proceeds of any
7.34sale, mortgage, transfer, conveyance, or any disposition of real property allocable to the
7.35decedent's life estate or joint tenancy interest in the decedent's estate, and do everything
7.36necessary to liquidate and reduce to cash the decedent's interest and turn the proceeds of
8.1the sale or other disposition over to the personal representative. The court may grant any
8.2legal or equitable relief including, but not limited to, ordering a partition of real estate
8.3under chapter 558 necessary to make the value of the decedent's life estate or joint tenancy
8.4interest available to the estate for payment of a claim under this section.
8.5 (h) Subject to administration, the personal representative shall use all of the cash
8.6or proceeds of interests to pay an allowable claim under this section. The remaindermen
8.7or surviving joint tenants and their spouses, if any, may enter into a written agreement
8.8with the personal representative or the claimant to settle and satisfy obligations imposed at
8.9any time before or after a claim is filed.
8.10 (i) The personal representative may, at their discretion, provide any or all of the
8.11other owners, remaindermen, or surviving joint tenants with an affidavit terminating the
8.12decedent's estate's interest in real property the decedent owned as a life tenant or as a joint
8.13tenant with others, if the personal representative determines in good faith that neither the
8.14decedent nor any of the decedent's predeceased spouses received any medical assistance
8.15for which a claim could be filed under this section, or if the personal representative has
8.16filed an affidavit with the court that the estate has other assets sufficient to pay a claim, as
8.17presented, or if there is a written agreement under paragraph (h), or if the claim, as allowed,
8.18has been paid in full or to the full extent of the assets the estate has available to pay it. The
8.19affidavit may be recorded in the office of the county recorder or filed in the Office of the
8.20Registrar of Titles for the county in which the real property is located. Except as provided
8.21in section
514.981, subdivision 6, when recorded or filed, the affidavit shall terminate the
8.22decedent's interest in real estate the decedent owned as a life tenant or a joint tenant with
8.23others. The affidavit shall: (1) be signed by the personal representative; (2) identify the
8.24decedent and the interest being terminated; (3) give recording information sufficient to
8.25identify the instrument that created the interest in real property being terminated; (4)
8.26legally describe the affected real property; (5) state that the personal representative has
8.27determined that neither the decedent nor any of the decedent's predeceased spouses
8.28received any medical assistance for which a claim could be filed under this section; (6)
8.29state that the decedent's estate has other assets sufficient to pay the claim, as presented, or
8.30that there is a written agreement between the personal representative and the claimant and
8.31the other owners or remaindermen or other joint tenants to satisfy the obligations imposed
8.32under this subdivision; and (7) state that the affidavit is being given to terminate the
8.33estate's interest under this subdivision, and any other contents as may be appropriate.
8.34The recorder or registrar of titles shall accept the affidavit for recording or filing. The
8.35affidavit shall be effective as provided in this section and shall constitute notice even if it
9.1does not include recording information sufficient to identify the instrument creating the
9.2interest it terminates. The affidavit shall be conclusive evidence of the stated facts.
9.3 (j) The holder of a lien arising under subdivision 1c shall release the lien at the
9.4holder's expense against an interest terminated under paragraph (h) to the extent of the
9.5termination.
9.6 (k) If a lien arising under subdivision 1c is not released under paragraph (j), prior to
9.7closing the estate, the personal representative shall deed the interest subject to the lien to
9.8the remaindermen or surviving joint tenants as their interests may appear. Upon recording
9.9or filing, the deed shall work a merger of the recipient's life estate or joint tenancy interest,
9.10subject to the lien, into the remainder interest or interest the decedent and others owned
9.11jointly. The lien shall attach to and run with the property to the extent of the decedent's
9.12interest at the time of the decedent's death.
9.13 Sec. 2. Minnesota Statutes 2006, section 256B.15, subdivision 1i, is amended to read:
9.14 Subd. 1i.
Estates of persons receiving medical assistance and survived by
9.15
others. (a) For purposes of this subdivision, the person's estate consists of the person's
9.16probate estate and all of the person's interests in real property the person owned as a life
9.17tenant or a joint tenant at the time of the person's death
new text begin and the person's legal title or new text end
9.18
new text begin interest at the time of the person's death in real property transferred to a beneficiary under new text end
9.19
new text begin a transfer on death deed under section 507.071, or in the proceeds from the subsequent new text end
9.20
new text begin sale of the person's interest in the transferred real propertynew text end .
9.21 (b) Notwithstanding any law or rule to the contrary, this subdivision applies if a
9.22person received medical assistance for which a claim could be filed under this section but
9.23for the fact the person was survived by a spouse or by a person listed in subdivision 3, or if
9.24subdivision 4 applies to a claim arising under this section.
9.25 (c) The person's life estate or joint tenancy interests in real property not subject to a
9.26medical assistance lien under sections
514.980 to
514.985 on the date of the person's death
9.27shall not end upon death and shall continue as provided in this subdivision. The life estate
9.28in the estate shall be the portion of the interest in the property subject to the life estate that
9.29is equal to the life estate percentage factor for the life estate as listed in the Life Estate
9.30Mortality Table of the health care program's manual for a person who was the age of the
9.31medical assistance recipient on the date of the person's death. The joint tenancy interest in
9.32the estate shall be equal to the fractional interest the medical assistance recipient would
9.33have owned in the jointly held interest in the property had they and the other owners held
9.34title to the property as tenants in common on the date the medical assistance recipient died.
10.1 (d) The county agency shall file a claim in the estate under this section on behalf of
10.2the claimant who shall be the commissioner of human services, notwithstanding that the
10.3decedent is survived by a spouse or a person listed in subdivision 3. The claim, as allowed,
10.4shall not be paid by the estate and shall be disposed of as provided in this paragraph.
10.5The personal representative or the court shall make, execute, and deliver a lien in favor
10.6of the claimant on the decedent's interest in real property in the estate in the amount of
10.7the allowed claim on forms provided by the commissioner to the county agency filing the
10.8lien. The lien shall bear interest as provided under section
524.3-806, shall attach to the
10.9property it describes upon filing or recording, and shall remain a lien on the real property
10.10it describes for a period of 20 years from the date it is filed or recorded. The lien shall be a
10.11disposition of the claim sufficient to permit the estate to close.
10.12 (e) The state or county agency shall file or record the lien in the office of the
10.13county recorder or registrar of titles for each county in which any of the real property is
10.14located. The recorder or registrar of titles shall accept the lien for filing or recording. All
10.15recording or filing fees shall be paid by the Department of Human Services. The recorder
10.16or registrar of titles shall mail the recorded lien to the Department of Human Services.
10.17The lien need not be attested, certified, or acknowledged as a condition of recording or
10.18filing. Upon recording or filing of a lien against a life estate or a joint tenancy interest,
10.19the interest subject to the lien shall merge into the remainder interest or the interest the
10.20recipient and others owned jointly. The lien shall attach to and run with the property to
10.21the extent of the decedent's interest in the property at the time of the decedent's death
10.22as determined under this section.
10.23 (f) The department shall make no adjustment or recovery under the lien until after the
10.24decedent's spouse, if any, has died, and only at a time when the decedent has no surviving
10.25child described in subdivision 3. The estate, any owner of an interest in the property
10.26which is or may be subject to the lien, or any other interested party, may voluntarily pay
10.27off, settle, or otherwise satisfy the claim secured or to be secured by the lien at any time
10.28before or after the lien is filed or recorded. Such payoffs, settlements, and satisfactions
10.29shall be deemed to be voluntary repayments of past medical assistance payments for the
10.30benefit of the deceased recipient, and neither the process of settling the claim, the payment
10.31of the claim, or the acceptance of a payment shall constitute an adjustment or recovery
10.32that is prohibited under this subdivision.
10.33 (g) The lien under this subdivision may be enforced or foreclosed in the manner
10.34provided by law for the enforcement of judgment liens against real estate or by a
10.35foreclosure by action under chapter 581. When the lien is paid, satisfied, or otherwise
10.36discharged, the state or county agency shall prepare and file a release of lien at its own
11.1expense. No action to foreclose the lien shall be commenced unless the lien holder has first
11.2given 30 days' prior written notice to pay the lien to the owners and parties in possession
11.3of the property subject to the lien. The notice shall: (1) include the name, address, and
11.4telephone number of the lien holder; (2) describe the lien; (3) give the amount of the lien;
11.5(4) inform the owner or party in possession that payment of the lien in full must be made
11.6to the lien holder within 30 days after service of the notice or the lien holder may begin
11.7proceedings to foreclose the lien; and (5) be served by personal service, certified mail,
11.8return receipt requested, ordinary first class mail, or by publishing it once in a newspaper
11.9of general circulation in the county in which any part of the property is located. Service of
11.10the notice shall be complete upon mailing or publication.
11.11 Sec. 3. Minnesota Statutes 2006, section 272.12, is amended to read:
11.12
272.12 CONVEYANCES, TAXES PAID BEFORE RECORDING.
11.13 When:
11.14 (a) a deed or other instrument conveying land,
11.15 (b) a plat of any town site or addition thereto,
11.16 (c) a survey required pursuant to section
508.47,
11.17 (d) a condominium plat subject to chapter 515 or 515A or a declaration that contains
11.18such a plat, or
11.19 (e) a common interest community plat subject to chapter 515B or a declaration
11.20that contains such a plat,
11.21is presented to the county auditor for transfer, the auditor shall ascertain from the records
11.22if there be taxes delinquent upon the land described therein, or if it has been sold for
11.23taxes. An assignment of a sheriff's or referee's certificate of sale, when the certificate of
11.24sale describes real estate, and certificates of redemption from mortgage or lien foreclosure
11.25sales, when the certificate of redemption encompasses real estate and is issued to a junior
11.26creditor, are considered instruments conveying land for the purposes of this section and
11.27section
272.121. If there are taxes delinquent, the auditor shall certify to the same; and
11.28upon payment of such taxes, or in case no taxes are delinquent, shall transfer the land upon
11.29the books of the auditor's office, and note upon the instrument, over official signature, the
11.30words, "no delinquent taxes and transfer entered," or, if the land described has been sold
11.31or assigned to an actual purchaser for taxes, the words "paid by sale of land described
11.32within;" and, unless such statement is made upon such instrument, the county recorder or
11.33the registrar of titles shall refuse to receive or record the same; provided, that sheriff's or
11.34referees' certificates of sale on execution or foreclosure of a lien or mortgage, certificates
11.35of redemption from mortgage or lien foreclosure sales issued to the redeeming mortgagor
12.1or lienee, deeds of distribution made by a personal representative in probate proceedings,
new text begin new text end
12.2
new text begin transfer on death deeds under section 507.071,new text end decrees and judgments, receivers receipts,
12.3patents, and copies of town or statutory city plats, in case the original plat filed in the
12.4office of the county recorder has been lost or destroyed, and the instruments releasing,
12.5removing and discharging reversionary and forfeiture provisions affecting title to land
12.6and instruments releasing, removing or discharging easement rights in land or building or
12.7other restrictions, may be recorded without such certificate; and, provided that instruments
12.8conveying land and, as appurtenant thereto an easement over adjacent tract or tracts of
12.9land, may be recorded without such certificate as to the land covered by such easement;
12.10and provided further, that any instrument granting an easement made in favor of any
12.11public utility or pipe line for conveying gas, liquids or solids in suspension, in the nature
12.12of a right-of-way over, along, across or under a tract of land may be recorded without such
12.13certificate as to the land covered by such easement. Documents governing homeowners
12.14associations of condominiums, townhouses, common interest ownership communities,
12.15and other planned unit developments may be recorded without the auditor's certificate to
12.16the extent provided in section
515B.1-116(f).
12.17 A deed of distribution made by a personal representative in a probate proceeding,
12.18a decree, or a judgment that conveys land shall be presented to the county auditor, who
12.19shall transfer the land upon the books of the auditor's office and note upon the instrument,
12.20over official signature, the words, "transfer entered", and the instrument may then be
12.21recorded. A decree or judgment that affects title to land but does not convey land may be
12.22recorded without presentation to the auditor.
12.23 A violation of this section by the county recorder or the registrar of titles shall
12.24be a gross misdemeanor, and, in addition to the punishment therefor, the recorder or
12.25registrar shall be liable to the grantee of any instrument so recorded for the amount of
12.26any damages sustained.
12.27 When, as a condition to permitting the recording of deed or other instrument
12.28affecting the title to real estate previously forfeited to the state under the provisions of
12.29sections
281.16 to
281.25, county officials, after such real estate has been purchased or
12.30repurchased, have required the payment of taxes erroneously assumed to have accrued
12.31against such real estate after forfeiture and before the date of purchase or repurchase, the
12.32sum required to be so paid shall be refunded to the persons entitled thereto out of moneys
12.33in the funds in which the sum so paid was placed. Delinquent taxes are those taxes deemed
12.34delinquent under section
279.02.
13.1 Sec. 4. Minnesota Statutes 2006, section 287.22, is amended to read:
13.2
287.22 EXEMPTIONS.
13.3 The tax imposed by section
287.21 does not apply to:
13.4 (1) An executory contract for the sale of real property under which the purchaser is
13.5entitled to or does take possession of the real property, or any assignment or cancellation
13.6of the contract;
13.7 (2) A mortgage or an amendment, assignment, extension, partial release, or
13.8satisfaction of a mortgage;
13.9 (3) A will;
13.10 (4) A plat;
13.11 (5) A lease, amendment of lease, assignment of lease, or memorandum of lease;
13.12 (6) A deed, instrument, or writing in which the United States or any agency or
13.13instrumentality thereof is the grantor, assignor, transferor, conveyor, grantee, or assignee;
13.14 (7) A deed for a cemetery lot or lots;
13.15 (8) A deed of distribution by a personal representative;
13.16 (9) A deed to or from a co-owner partitioning their undivided interest in the same
13.17piece of real property;
13.18 (10) A deed or other instrument of conveyance issued pursuant to a permanent
13.19school fund land exchange under section
92.121 and related laws;
13.20 (11) A referee's or sheriff's certificate of sale in a mortgage or lien foreclosure sale;
13.21 (12) A referee's, sheriff's, or certificate holder's certificate of redemption from a
13.22mortgage or lien foreclosure sale issued to the redeeming mortgagor or lienee;
13.23 (13) A deed, instrument, or writing which grants, creates, modifies, or terminates an
13.24easement; and
13.25 (14) A decree of marriage dissolution, as defined in section
287.01, subdivision 4,
13.26or a deed or other instrument between the parties to the dissolution made pursuant to the
13.27terms of the decree.
new text begin ; andnew text end
13.28
new text begin (15) A transfer on death deed under section 507.071.new text end
13.29 Sec. 5.
new text begin [507.071] TRANSFER ON DEATH DEEDS.new text end
13.30
new text begin Subdivision 1.new text end new text begin Definitions.new text end new text begin For the purposes of this section the following terms new text end
13.31
new text begin have the meanings given:new text end
13.32
new text begin (a) "Beneficiary" or "grantee beneficiary" means a person or entity named as a new text end
13.33
new text begin grantee beneficiary in a transfer on death deed, including a successor grantee beneficiary.new text end
13.34
new text begin (b) "County agency" means the county department or office designated to recover new text end
13.35
new text begin medical assistance benefits from the estates of decedents.new text end
14.1
new text begin (c) "Grantor owner" means an owner named as a grantor in a transfer on death deed new text end
14.2
new text begin upon whose death the conveyance or transfer of the described real property is conditioned. new text end
14.3
new text begin Grantor owner does not include a spouse who joins in a transfer on death deed solely new text end
14.4
new text begin for the purpose of conveying or releasing statutory or other marital interests in the real new text end
14.5
new text begin property to be conveyed or transferred by the transfer on death deed.new text end
14.6
new text begin (d) "Owner" means a person having an ownership or other interest in all or part new text end
14.7
new text begin of the real property to be conveyed or transferred by a transfer on death deed. Owner new text end
14.8
new text begin does not include a spouse who joins in a transfer on death deed solely for the purpose new text end
14.9
new text begin of conveying or releasing statutory or other marital interests in the real property to be new text end
14.10
new text begin conveyed or transferred by the transfer on death deed.new text end
14.11
new text begin (e) "Recorded" means recorded in the office of the county recorder or registrar of new text end
14.12
new text begin titles, as appropriate for the real property described in the instrument to be recorded.new text end
14.13
new text begin (f) "State agency" means the Department of Human Services or any successor new text end
14.14
new text begin agency.new text end
14.15
new text begin (g) "Transfer on death deed" means a deed authorized under this section.new text end
14.16
new text begin Subd. 2.new text end new text begin Effect of transfer on death deed.new text end new text begin A deed that conveys or assigns an new text end
14.17
new text begin interest in real property, including a mortgage, judgment, or any other lien on real property, new text end
14.18
new text begin to a grantee beneficiary and that expressly states that the deed is only effective on the new text end
14.19
new text begin death of one or more of the grantor owners, transfers the interest to the grantee beneficiary new text end
14.20
new text begin upon the death of the grantor owner upon whose death the conveyance or transfer is stated new text end
14.21
new text begin to be effective, but subject to the survivorship provisions and requirements of section new text end
14.22
new text begin 524.2-702. A transfer on death deed must comply with all provisions of Minnesota law new text end
14.23
new text begin applicable to deeds of real property including, but not limited to, the provisions of sections new text end
14.24
new text begin 507.02, 507.24, 507.34, 508.48, and 508A.48.new text end
14.25
new text begin Subd. 3.new text end new text begin Rights of creditors and rights of the state and county under sections new text end
14.26
new text begin 246.53, 256B.15, 256D.16, 261.04, and 514.981.new text end new text begin The interest transferred to a beneficiary new text end
14.27
new text begin under a transfer on death deed after the death of a grantor owner is transferred subject new text end
14.28
new text begin to all effective conveyances, assignments, contracts, mortgages, deeds of trust, liens, new text end
14.29
new text begin security pledges, judgments, tax liens, and other encumbrances made by the grantor owner new text end
14.30
new text begin or to which the property was subject during the grantor owner's lifetime, including but new text end
14.31
new text begin not limited to, any claim by a surviving spouse or any claim or lien by the state or county new text end
14.32
new text begin agency authorized by section 246.53, 256B.15, 256D.16, 261.04, or 514.981, if other new text end
14.33
new text begin assets of the deceased owner's estate are insufficient to pay the amount of any such claim. new text end
14.34
new text begin A beneficiary to whom the interest is transferred after the death of a grantor owner shall be new text end
14.35
new text begin liable to account to the state or county agency with a claim or lien authorized by section new text end
14.36
new text begin 246.53, 256B.15, 256D.16, 261.04, or 514.981, to the extent necessary to discharge new text end
15.1
new text begin any such claim remaining unpaid after application of the assets of the deceased grantor new text end
15.2
new text begin owner's estate, but such liability shall be limited to the value of the interest transferred new text end
15.3
new text begin to the beneficiary. To establish compliance with this subdivision and subdivision 23, the new text end
15.4
new text begin beneficiary must record a clearance certificate issued in accordance with subdivision 23 in new text end
15.5
new text begin each county in which the real property described in the transfer on death deed is located.new text end
15.6
new text begin Subd. 4.new text end new text begin Multiple grantee beneficiaries.new text end new text begin A transfer on death deed may designate new text end
15.7
new text begin multiple grantee beneficiaries to take title as joint tenants, as tenants in common or in any new text end
15.8
new text begin other form of ownership or tenancy that is valid under the laws of this state.new text end
15.9
new text begin Subd. 5.new text end new text begin Successor grantee beneficiaries.new text end new text begin A transfer on death deed may designate new text end
15.10
new text begin one or more successor grantee beneficiaries or a class of successor grantee beneficiaries, new text end
15.11
new text begin or both. If the transfer on death deed designates successor grantee beneficiaries or a class new text end
15.12
new text begin of successor grantee beneficiaries, the deed shall state the condition under which the new text end
15.13
new text begin interest of the successor grantee beneficiaries would vest.new text end
15.14
new text begin Subd. 6.new text end new text begin Multiple joint tenant grantors.new text end new text begin If an interest in real property is owned new text end
15.15
new text begin as joint tenants, a transfer on death deed executed by all of the owners that conveys an new text end
15.16
new text begin interest in real property to one or more grantee beneficiaries transfers the interest to the new text end
15.17
new text begin grantee beneficiary or beneficiaries effective only after the death of the last surviving new text end
15.18
new text begin grantor owner. If the last surviving joint tenant owner did not execute the transfer on death new text end
15.19
new text begin deed, the deed is ineffective to transfer any interest and the deed is void. An estate in joint new text end
15.20
new text begin tenancy is not severed or affected by the subsequent execution of a transfer on death deed new text end
15.21
new text begin and the right of a surviving joint tenant owner who did not execute the transfer on death new text end
15.22
new text begin deed shall prevail over a grantee beneficiary named in a transfer on death deed unless the new text end
15.23
new text begin deed specifically states that it severs the joint tenancy ownership.new text end
15.24
new text begin Subd. 7.new text end new text begin Execution by attorney-in-fact.new text end new text begin A transfer on death deed may be executed new text end
15.25
new text begin by a duly appointed attorney-in-fact pursuant to a power of attorney which grants the new text end
15.26
new text begin attorney-in-fact the authority to execute deeds.new text end
15.27
new text begin Subd. 8.new text end new text begin Recording requirements and authorization.new text end new text begin A transfer on death deed new text end
15.28
new text begin is valid if the deed is recorded in a county in which at least a part of the real property new text end
15.29
new text begin described in the deed is located and is recorded before the death of the grantor owner new text end
15.30
new text begin upon whose death the conveyance or transfer is effective. A transfer on death deed is not new text end
15.31
new text begin effective for purposes of section 507.34, 508.47, or 508A.47 until the deed is recorded new text end
15.32
new text begin in the county in which the real property is located. When a transfer on death deed is new text end
15.33
new text begin presented for recording, no certification by the county auditor as to transfer of ownership new text end
15.34
new text begin and current and delinquent taxes shall be required or made and the transfer on death deed new text end
15.35
new text begin shall not be required to be accompanied by a certificate of real estate value. A transfer new text end
15.36
new text begin on death deed that otherwise satisfies all statutory requirements for recording may be new text end
16.1
new text begin recorded and shall be accepted for recording in the county in which the property described new text end
16.2
new text begin in the deed is located. If any part of the property described in the transfer on death deed new text end
16.3
new text begin is registered property, the registrar of titles shall accept the transfer on death deed for new text end
16.4
new text begin recording only if at least one of the grantors who executes the transfer on death deed new text end
16.5
new text begin appears of record to have an ownership interest in the property described in the deed. No new text end
16.6
new text begin certification or approval of a transfer on death deed shall be required of the examiner of new text end
16.7
new text begin titles prior to recording of the deed in the office of the registrar of titles.new text end
16.8
new text begin Subd. 9.new text end new text begin Deed to trustee or other entity.new text end new text begin A transfer on death deed may transfer an new text end
16.9
new text begin interest in real property to the trustee of an inter vivos trust even if the trust is revocable, new text end
16.10
new text begin to the trustee of a testamentary trust or to any other entity legally qualified to hold title to new text end
16.11
new text begin real property under the laws of this state.new text end
16.12
new text begin Subd. 10.new text end new text begin Revocation or modification of transfer on death deed.new text end new text begin (a) A transfer new text end
16.13
new text begin on death deed may be revoked at any time by the grantor owner or, if there is more than new text end
16.14
new text begin one grantor owner, by any of the grantor owners. To be effective, the revocation must new text end
16.15
new text begin be recorded in the county in which at least a part of the real property is located before new text end
16.16
new text begin the death of the grantor owner or owners who execute the revocation. The revocation is new text end
16.17
new text begin not effective for purposes of section 507.34, 508.47, or 508A.47 until the revocation is new text end
16.18
new text begin recorded in the county in which the real property is located. Subject to subdivision 6, if new text end
16.19
new text begin the real property is owned as joint tenants and if the revocation is not executed by all of new text end
16.20
new text begin the grantor owners, the revocation is not effective unless executed by the last surviving new text end
16.21
new text begin grantor owner.new text end
16.22
new text begin (b) If a grantor owner conveys to a third party, subsequent to the recording of the new text end
16.23
new text begin transfer on death deed, by means other than a transfer on death deed, all or a part of such new text end
16.24
new text begin grantor owner's interest in the property described in the transfer on death deed, no transfer new text end
16.25
new text begin of the conveyed interest shall occur on such grantor owner's death and the transfer on new text end
16.26
new text begin death deed shall be ineffective as to the conveyed or transferred interests, but the transfer new text end
16.27
new text begin on death deed remains effective with respect to the conveyance or transfer on death of new text end
16.28
new text begin any other interests described in the transfer on death deed owned by the grantor owner new text end
16.29
new text begin at the time of the grantor owner's death.new text end
16.30
new text begin (c) A transfer on death deed is a "governing instrument" within the meaning of new text end
16.31
new text begin section 524.2-804 and, except as may otherwise be specifically provided for in the new text end
16.32
new text begin transfer on death deed, is subject to the same provisions as to revocation, revival, and new text end
16.33
new text begin nonrevocation set forth in section 524.2-804.new text end
16.34
new text begin Subd. 11.new text end new text begin Antilapse; deceased beneficiary; words of survivorship.new text end new text begin (a) If a grantee new text end
16.35
new text begin beneficiary who is a grandparent or lineal descendant of a grandparent of the grantor new text end
16.36
new text begin owner fails to survive the grantor owner, the issue of the deceased grantee beneficiary who new text end
17.1
new text begin survive the grantor owner take in place of the deceased grantee beneficiary. If they are all new text end
17.2
new text begin of the same degree of kinship to the deceased grantee beneficiary, they take equally. If new text end
17.3
new text begin they are of unequal degree, those of more remote degree take by right of representation.new text end
17.4
new text begin (b) For the purposes of this subdivision, words of survivorship such as, in a new text end
17.5
new text begin conveyance to an individual, "if he or she survives me," or, in a class gift, to "my surviving new text end
17.6
new text begin children," are a sufficient indication of intent to condition the conveyance or transfer upon new text end
17.7
new text begin the beneficiary surviving the grantor owner.new text end
17.8
new text begin Subd. 12.new text end new text begin Lapse.new text end new text begin If all beneficiaries and all successor beneficiaries, if any, new text end
17.9
new text begin designated in a transfer on death deed, and also all successor beneficiaries who would take new text end
17.10
new text begin under the antilapse provisions of subdivision 11, fail to survive the grantor owner or the new text end
17.11
new text begin last survivor of the grantor owners if there are multiple grantor owners, if the beneficiary new text end
17.12
new text begin is a trust which has been revoked prior to the grantor owner's death, or if the beneficiary is new text end
17.13
new text begin an entity no longer in existence at the grantor owner's death, no transfer shall occur and new text end
17.14
new text begin the transfer on death deed is void.new text end
17.15
new text begin Subd. 13.new text end new text begin Multiple transfer on death deeds.new text end new text begin If a grantor owner executes and new text end
17.16
new text begin records more than one transfer on death deed conveying the same interest in real property new text end
17.17
new text begin or a greater interest in the real property, the transfer on death deed that has the latest new text end
17.18
new text begin acknowledgment date and that is recorded before the death of the grantor owner upon new text end
17.19
new text begin whose death the conveyance or transfer is conditioned is the effective transfer on death new text end
17.20
new text begin deed and all other transfer on death deeds, if any, executed by the grantor owner or the new text end
17.21
new text begin grantor owners are ineffective to transfer any interest and are void.new text end
17.22
new text begin Subd. 14.new text end new text begin Nonademption; unpaid proceeds of sale, condemnation, or insurance; new text end
17.23
new text begin sale by conservator or guardian.new text end new text begin If at the time of the death of the grantor owner upon new text end
17.24
new text begin whose death the conveyance or transfer is stated to be effective, the grantor owner did new text end
17.25
new text begin not own a part or all of the real property described in the transfer on death deed, no new text end
17.26
new text begin conveyance or transfer to the beneficiary of the nonowned part of the real property shall new text end
17.27
new text begin occur upon the death of the grantor owner and the transfer on death deed is void as to the new text end
17.28
new text begin nonowned part of the real property, but the beneficiary shall have the same rights to unpaid new text end
17.29
new text begin proceeds of sale, condemnation or insurance, and, if sold by a conservator or guardian new text end
17.30
new text begin of the grantor owner during the grantor owner's lifetime, the same rights to a general new text end
17.31
new text begin pecuniary devise, as that of a specific devisee as set forth in section 524.2-606.new text end
17.32
new text begin Subd. 15.new text end new text begin Nonexoneration.new text end new text begin Except as otherwise provided in subdivision 3, a new text end
17.33
new text begin conveyance or transfer under a transfer on death deed passes the described property new text end
17.34
new text begin subject to any mortgage or security interest existing at the date of death of the grantor new text end
17.35
new text begin owner, without right of exoneration, regardless of any statutory obligations to pay the new text end
18.1
new text begin grantor owner's debts upon death and regardless of a general directive in the grantor new text end
18.2
new text begin owner's will to pay debts.new text end
18.3
new text begin Subd. 16.new text end new text begin Disclaimer by beneficiary.new text end new text begin A grantee beneficiary's interest under a new text end
18.4
new text begin transfer on death deed may be disclaimed as provided in section 501B.86, or as otherwise new text end
18.5
new text begin provided by law.new text end
18.6
new text begin Subd. 17.new text end new text begin Effect on other conveyances.new text end new text begin This section does not prohibit other new text end
18.7
new text begin methods of conveying property that are permitted by law and that have the effect of new text end
18.8
new text begin postponing ownership or enjoyment of an interest in real property until the death of the new text end
18.9
new text begin owner. This section does not invalidate any deed that is not a transfer on death deed and new text end
18.10
new text begin that is otherwise effective to convey title to the interests and estates described in the deed new text end
18.11
new text begin that is not recorded until after the death of the owner.new text end
18.12
new text begin Subd. 18.new text end new text begin Notice, consent, and delivery not required.new text end new text begin The signature, consent or new text end
18.13
new text begin agreement of, or notice to, a grantee beneficiary under a transfer on death deed, or delivery new text end
18.14
new text begin of the transfer on death deed to the grantee beneficiary, is not required for any purpose new text end
18.15
new text begin during the lifetime of the grantor owner.new text end
18.16
new text begin Subd. 19.new text end new text begin Nonrevocation by will.new text end new text begin A transfer on death deed that is executed, new text end
18.17
new text begin acknowledged, and recorded in accordance with this section is not revoked by the new text end
18.18
new text begin provisions of a will.new text end
18.19
new text begin Subd. 20.new text end new text begin Proof of survivorship and clearance from public assistance claims new text end
18.20
new text begin and liens; recording.new text end new text begin An affidavit of identity and survivorship with a certified copy of a new text end
18.21
new text begin record of death as an attachment may be combined with a clearance certificate under this new text end
18.22
new text begin section and the combined documents may be recorded separately or as one document in new text end
18.23
new text begin each county in which the real estate described in the clearance certificate is located. The new text end
18.24
new text begin affidavit, record of death, and clearance certificate, whether combined or separate, shall be new text end
18.25
new text begin prima facie evidence of the facts stated in each, and the registrar of titles may rely on the new text end
18.26
new text begin statements to transfer title to the property described in the clearance certificate.new text end
18.27
new text begin Subd. 21.new text end new text begin After-acquired property.new text end new text begin Except as provided in this subdivision, a new text end
18.28
new text begin transfer on death deed is not effective to transfer any interest in real property acquired by a new text end
18.29
new text begin grantor owner subsequent to the date of signing of a transfer on death deed. A grantor new text end
18.30
new text begin owner may provide by specific language in a transfer on death deed that the transfer on new text end
18.31
new text begin death deed will apply to any interest in the described property acquired by the grantor new text end
18.32
new text begin owner after the signing or recording of the deed.new text end
18.33
new text begin Subd. 22.new text end new text begin Anticipatory alienation prohibited.new text end new text begin The interest of a grantee beneficiary new text end
18.34
new text begin under a transfer on death deed which has not yet become effective is not subject to new text end
18.35
new text begin alienation; assignment; encumbrance; appointment or anticipation by the beneficiary; new text end
18.36
new text begin garnishment; attachment; execution or bankruptcy proceedings; claims for alimony, new text end
19.1
new text begin support, or maintenance; payment of other obligations by any person against the new text end
19.2
new text begin beneficiary; or any other transfer, voluntary or involuntary, by or from any beneficiary.new text end
19.3
new text begin Subd. 23.new text end new text begin Clearance for public assistance claims and liens.new text end new text begin Any person claiming new text end
19.4
new text begin an interest in real property conveyed or transferred by a transfer on death deed, or the new text end
19.5
new text begin person's attorney or other agent, may apply to the county agency in the county in which new text end
19.6
new text begin the real property is located for a clearance certificate for the real property described in new text end
19.7
new text begin the transfer on death deed. The application for a clearance certificate and the clearance new text end
19.8
new text begin certificate must contain the legal description of each parcel of property covered by the new text end
19.9
new text begin clearance certificate. The county agency shall provide a sufficient number of clearance new text end
19.10
new text begin certificates to allow a clearance certificate to be recorded in each county in which the real new text end
19.11
new text begin property described in the transfer on death deed is located. The real property described in new text end
19.12
new text begin the clearance certificate is bound by any conditions or other requirements imposed by the new text end
19.13
new text begin county agency as specified in the clearance certificate. If the real property is registered new text end
19.14
new text begin property, a new certificate of title must not be issued until the clearance certificate is new text end
19.15
new text begin recorded. If the clearance certificate shows the continuation of a medical assistance new text end
19.16
new text begin claim or lien after issuance of the clearance certificate, the real property remains subject new text end
19.17
new text begin to the claim or lien. If the real property is registered property, the clearance certificate new text end
19.18
new text begin must be carried forward as a memorial in any new certificate of title. The application new text end
19.19
new text begin shall contain the same information and shall be submitted, processed, and resolved in the new text end
19.20
new text begin same manner and on the same terms and conditions as provided in section 525.313 for new text end
19.21
new text begin a clearance certificate in a decree of descent proceeding, except that a copy of a notice new text end
19.22
new text begin of hearing does not have to accompany the application. The application may contain a new text end
19.23
new text begin statement that the applicant, after reasonably diligent inquiry, is not aware of the existence new text end
19.24
new text begin of a predeceased spouse or the existence of a claim which could be recovered under new text end
19.25
new text begin section 246.53, 256B.15, 256D.16, 261.04, or 514.981. If the county agency determines new text end
19.26
new text begin that a claim or lien exists under section 246.53, 256B.15, 256D.16, 261.04, or 514.981, the new text end
19.27
new text begin provisions of section 525.313 shall apply to collection, compromise, and settlement of new text end
19.28
new text begin the claim or lien. A person claiming an interest in real property transferred or conveyed new text end
19.29
new text begin by a transfer on death deed may petition or move the district court, as appropriate, in the new text end
19.30
new text begin county in which the real property is located or in the county in which a probate proceeding new text end
19.31
new text begin affecting the estate of the grantor of the transfer on death deed is pending, for an order new text end
19.32
new text begin allowing sale of the real property free and clear of any public assistance claim or lien but new text end
19.33
new text begin subject to disposition of the sale proceeds as provided in section 525.313. On a showing of new text end
19.34
new text begin good cause and subject to such notice as the court may require, the court without hearing new text end
19.35
new text begin may issue an order allowing the sale free and clear of any public assistance claim or lien new text end
20.1
new text begin on such terms and conditions as the court deems advisable to protect the interests of new text end
20.2
new text begin the state or county agency.new text end
20.3
new text begin Subd. 24.new text end new text begin Form of transfer on death deed.new text end new text begin A transfer on death deed may be new text end
20.4
new text begin substantially in the following form:new text end
20.5
new text begin Transfer on Death Deednew text end
20.6
new text begin I (we) _______________________ (grantor owner or owners and spouses, new text end
20.7
new text begin if any, with marital status designated), grantor(s), hereby convey(s) and new text end
20.8
new text begin quitclaim(s) to _______________________ (grantee beneficiary, whether one new text end
20.9
new text begin or more) effective (check only one of the following)new text end
20.10
new text begin ___ on the death of the grantor owner, if only one grantor is named above, or new text end
20.11
new text begin on the death of the last of the grantor owners to die, if more than one grantor new text end
20.12
new text begin owner is named above, ornew text end
20.13
new text begin ___ on the death of (name of grantor owner)new text end
20.14
new text begin _______________________ (must be one of the grantor owners named above), new text end
20.15
new text begin the following described real property:new text end
20.16
new text begin (Legal description)new text end
20.17
new text begin If checked, the following optional statement applies:new text end
20.18
new text begin ___ When effective, this instrument conveys any and all interests in the new text end
20.19
new text begin described real property acquired by the grantor owner(s) before, on, or after the new text end
20.20
new text begin date of this instrument.new text end
20.21
___
20.22
new text begin (Signature of grantor(s))new text end
20.23
new text begin (acknowledgment)new text end
20.24
new text begin Subd. 25.new text end new text begin Form of instrument of revocation.new text end new text begin An instrument of revocation may be new text end
20.25
new text begin substantially in the following form:new text end
20.26
new text begin Revocation of Transfer on Death Deednew text end
20.27
new text begin The undersigned hereby revokes the transfer on death deed recorded on new text end
20.28
new text begin __________, ____, as Document No. __________ (or in Book __________ new text end
20.29
new text begin of _________, Page ____) in the office of the (County Recorder) (Registrar of new text end
20.30
new text begin Titles) of _____________ County, Minnesota, affecting real property legally new text end
20.31
new text begin described as follows:new text end
20.32
new text begin (legal description)new text end
20.33
new text begin Dated:new text end
20.34
___
21.1
new text begin Signaturenew text end
21.2
new text begin (acknowledgment)new text end
21.3 Sec. 6. Minnesota Statutes 2006, section 508.52, is amended to read:
21.4
508.52 CONVEYANCE; CANCELLATION OF OLD AND ISSUANCE OF
21.5
NEW CERTIFICATE.
21.6 An owner of registered land who desires to convey the land, or a portion thereof, in
21.7fee, shall execute a deed of conveyance, and file
new text begin recordnew text end the deed with the registrar. The
21.8deed of conveyance shall be filed
new text begin recordednew text end and endorsed with the number and place of
21.9registration of the certificate of title. Before canceling the outstanding certificate of title
21.10the registrar shall show by memorial thereon the registration of the deed on the basis of
21.11which it is canceled. The encumbrances, claims, or interests adverse to the title of the
21.12registered owner shall be stated upon the new certificate, except so far as they may be
21.13simultaneously released or discharged.
new text begin The registrar shall not carry forward as a memorial new text end
21.14
new text begin on the new certificate of title any memorials of a transfer on death deed if the grantors of new text end
21.15
new text begin the transfer on death deed retain no fee interest in the land covered by the new certificate.new text end
21.16The certificate of title shall be marked "Canceled" by the registrar, who shall enter in the
21.17register a new certificate of title to the grantee and prepare and deliver to the grantee a
21.18copy of the new certificate of title. If a deed in fee is for a portion of the land described in
21.19a certificate of title, the memorial of the deed entered by the registrar shall include the
21.20legal description contained in the deed and the registrar shall enter a new certificate of title
21.21to the grantee for the portion of the land conveyed and, except as otherwise provided in
21.22this section, issue a residue certificate of title to the grantor for the portion of the land not
21.23conveyed. The registrar shall prepare and deliver to each of the parties a copy of their
21.24respective certificates of title. In lieu of canceling the grantor's certificate of title and
21.25issuing a residue certificate to the grantor for the portion of the land not conveyed, the
21.26registrar may if the grantor's deed does not divide a parcel of unplatted land, and in the
21.27absence of a request to the contrary by the registered owner, mark by the land description
21.28on the certificate of title "Part of land conveyed, see memorials." The fee for a residue
21.29certificate of title shall be paid to the registrar only when the grantor's certificate of title
21.30is canceled after the conveyance by the grantor of a portion of the land described in the
21.31grantor's certificate of title. When two or more successive conveyances of the same
21.32property are filed for registration on the same day the registrar may enter a certificate
21.33in favor of the grantee or grantees in the last of the successive conveyances, and the
21.34memorial of the previous deed or deeds entered on the prior certificate of title shall have
21.35the same force and effect as though the prior certificate of title had been entered in favor
22.1of the grantee or grantees in the earlier deed or deeds in the successive conveyances. The
22.2fees for the registration of the earlier deed or deeds shall be the same as the fees prescribed
22.3for the entry of memorials. The registrar of titles, with the consent of the transferee, may
22.4mark "See memorials for new owner(s)" by the names of the registered owners on the
22.5certificate of title and also add to the memorial of the transferring conveyance a statement
22.6that the memorial shall serve in lieu of a new certificate of title in favor of the grantee or
22.7grantees therein noted and may refrain from canceling the certificate of title until the time
22.8it is canceled by a subsequent transfer, and the memorial showing such transfer of title
22.9shall have the same effect as the entry of a new certificate of title for the land described in
22.10the certificate of title; the fee for the registration of a conveyance without cancellation of
22.11the certificate of title shall be the same as the fee prescribed for the entry of a memorial.
22.12 Sec. 7. Minnesota Statutes 2006, section 508A.52, is amended to read:
22.13
508A.52 CONVEYANCE; CANCELLATION OF OLD AND ISSUANCE OF
22.14
NEW CPT.
22.15 An owner of land registered under sections
508A.01 to
508A.85 who desires to
22.16convey the land, or a portion of it, in fee, shall execute a deed of conveyance, and file
new text begin new text end
22.17
new text begin recordnew text end the deed with the registrar. The deed of conveyance shall be filed
new text begin recordednew text end and
22.18endorsed with the number and place of registration of the CPT. Before canceling the
22.19outstanding CPT, the registrar shall show by memorial on it the registration of the deed on
22.20the basis of which it is canceled. The encumbrances, claims, or interests adverse to the
22.21title of the registered owner shall be stated upon the new CPT, except so far as they may be
22.22simultaneously released or discharged.
new text begin The registrar shall not carry forward as a memorial new text end
22.23
new text begin on the new CPT any memorials of a transfer on death deed if the grantors of the transfer new text end
22.24
new text begin on death deed retain no fee interest in the real property covered by the new CPT.new text end The CPT
22.25shall be marked "Canceled" by the registrar, who shall enter in the register a new CPT
22.26to the grantee, and prepare and deliver to the grantee a copy of the new CPT. If a deed
22.27in fee is for a portion of the land described in a CPT, the memorial of the deed entered
22.28by the registrar shall include the legal description contained in the deed and the registrar
22.29shall enter a new CPT to the grantee for the portion of the land conveyed and, except as
22.30otherwise provided in this section, issue a residue CPT to the grantor for the portion of
22.31the land not conveyed. The registrar shall prepare and deliver to each of the parties a
22.32copy of their respective CPTs
new text begin CPT'snew text end . In lieu of canceling the grantor's CPT and issuing a
22.33residue CPT to the grantor for the portion of the land not conveyed, the registrar may if the
22.34grantor's deed does not divide a parcel of unplatted land, and in the absence of a request to
22.35the contrary by the registered owner, mark by the land description on the CPT "Part of
23.1land conveyed, see memorials." The fee for a residue CPT shall be paid to the registrar
23.2only when the grantor's CPT is canceled after the conveyance by the grantor of a portion
23.3of the land described in the grantor's CPT. When two or more successive conveyances
23.4of the same property are filed for registration on the same day the registrar may enter a
23.5CPT in favor of the grantee or grantees in the last of the successive conveyances, and the
23.6memorial of the previous deed or deeds entered on the prior CPT shall have the same force
23.7and effect as though the prior CPT had been entered in favor of the grantee or grantees in
23.8the earlier deed or deeds in the successive conveyances. The fees for the registration of the
23.9earlier deed or deeds shall be the same as the fees prescribed for the entry of memorials.
23.10The registrar of titles, with the consent of the transferee, may mark "See memorials for
23.11new owner(s)" by the names of the registered owners on the CPT and also add to the
23.12memorial of the transferring conveyance a statement that the memorial shall serve in lieu
23.13of a new CPT in favor of the grantee or grantees noted in it and may refrain from canceling
23.14the CPT until the time it is canceled by a subsequent transfer, and the memorial showing
23.15the transfer of title shall have the same effect as the entry of a new CPT for the land
23.16described in the CPT. The fee for the registration of a conveyance without cancellation of
23.17the CPT shall be the same as the fee prescribed for the entry of a memorial.
23.18 Sec. 8. Minnesota Statutes 2006, section 524.2-702, is amended to read:
23.19
524.2-702 REQUIREMENT OF SURVIVAL FOR 120 HOURS FOR
23.20
DEVISEES, BENEFICIARIES OF CERTAIN TRUSTS, AND APPOINTEES OF
23.21
CERTAIN POWERS OF APPOINTMENT; SIMULTANEOUS DEATH ACT FOR
23.22
OTHER CASES.
23.23 (a)
Requirement of survival for 120 hours. A beneficiary of a trust in which
23.24the grantor has reserved a power to alter, amend, revoke, or terminate the provisions of
23.25the trust who fails to survive the grantor by 120 hours, a devisee who fails to survive
23.26the testator by 120 hours,
new text begin a beneficiary named in a transfer on death deed under new text end
23.27
new text begin section 507.071 who fails to survive by 120 hours the grantor owner upon whose death new text end
23.28
new text begin the conveyance to the beneficiary becomes effective, new text end or an appointee of a power of
23.29appointment taking effect at the death of the holder of the power who fails to survive the
23.30holder of the power by 120 hours is deemed to have predeceased the grantor,
new text begin grantor new text end
23.31
new text begin ownernew text end testator, or holder of the power for purposes of determining title to property passing
23.32by the trust instrument, by the testator's will,
new text begin by the transfer on death deed,new text end or by the
23.33exercise of the power of appointment.
23.34 (b)(1)
Title to property in other cases. In cases not governed by section
524.2-104
23.35or paragraph (a), where the title to property or the devolution thereof depends upon
24.1priority of death and there is no sufficient evidence that the persons have died otherwise
24.2than simultaneously, the property of each person shall be disposed of as if the person had
24.3survived, except as provided otherwise in this paragraph.
24.4 (2)
Division of property. Where two or more beneficiaries are designated to take
24.5successively by reason of survivorship under another person's disposition of property
24.6and there is no sufficient evidence that these beneficiaries have died otherwise than
24.7simultaneously the property thus disposed of shall be divided into as many equal portions
24.8as there are successive beneficiaries and these portions shall be distributed respectively to
24.9those who would have taken in the event that each designated beneficiary had survived.
24.10 (3)
Division of property. Where there is no sufficient evidence that two joint
24.11tenants or tenants by the entirety have died otherwise than simultaneously the property
24.12so held shall be distributed one-half as if one had survived and one-half as if the other
24.13had survived. If there are more than two joint tenants and all of them have so died the
24.14property thus distributed shall be in the proportion that one bears to the whole number of
24.15joint tenants.
24.16 (4)
Division of property. Where the insured and the beneficiary in a policy of
24.17life or accident insurance have died and there is no sufficient evidence that they have
24.18died otherwise than simultaneously the proceeds of the policy shall be distributed as if
24.19the insured had survived the beneficiary.
24.20 (c)
Not retroactive. This section does not apply to the distribution of the property of
24.21a person who has died before it takes effect. Paragraph (a) applies only to persons who
24.22die on or after August 1, 1999.
24.23 (d)
Application. This section does not apply in the case of wills, trusts, deeds,
24.24contracts of insurance, or documents exercising powers of appointment wherein provision
24.25has been made for distribution of property different from the provisions of this section.
24.26Paragraph (a) does not apply to trusts which are part of a qualified or nonqualified
24.27retirement plan or individual retirement accounts.
24.28 Sec. 9.
new text begin EFFECTIVE DATE.new text end
24.29
new text begin This article is effective August 1, 2008, and applies to instruments of conveyance of new text end
24.30
new text begin real property recorded on or after that date, regardless of an instrument's date of execution.new text end
24.31
ARTICLE 3
24.32
MISCELLANEOUS REAL PROPERTY
24.33 Section 1. Minnesota Statutes 2007 Supplement, section 507.24, subdivision 2, is
24.34amended to read:
25.1 Subd. 2.
Original signatures required. (a) Unless otherwise provided by law, an
25.2instrument affecting real estate that is to be recorded as provided in this section or other
25.3applicable law must contain the original signatures of the parties who execute it and of the
25.4notary public or other officer taking an acknowledgment. However, a financing statement
25.5that is recorded as a filing pursuant to section
336.9-502(b) need not contain: (1) the
25.6signatures of the debtor or the secured party; or (2) an acknowledgment.
new text begin An instrument new text end
25.7
new text begin acknowledged in a representative capacity as defined in section 358.41 on behalf of a new text end
25.8
new text begin corporation, partnership, limited liability company, or trust that is otherwise entitled to new text end
25.9
new text begin be recorded shall be recorded if the acknowledgment made in a representative capacity new text end
25.10
new text begin is substantially in the form prescribed in chapter 358, without further inquiry into the new text end
25.11
new text begin authority of the person making the acknowledgment.new text end
25.12 (b)(1) Any electronic instruments, including signatures and seals, affecting real
25.13estate may only be recorded as part of a pilot project for the electronic filing of real
25.14estate documents implemented by the task force created in Laws 2000, chapter 391, or
25.15by the Electronic Real Estate Recording Task Force created under section
507.094. The
25.16Electronic Real Estate Recording Task Force created under section
507.094 may amend
25.17standards set by the task force created in Laws 2000, chapter 391, and may set new or
25.18additional standards and establish pilot projects to the full extent permitted in section
25.19507.094, subdivision 2
, paragraph (b). Documents recorded in conformity with those
25.20standards and in those pilot projects are deemed to meet the requirements of this section.
25.21 (2)(i) A county that participated in the pilot project for the electronic filing of real
25.22estate documents under the task force created in Laws 2000, chapter 391, may continue to
25.23record or file documents electronically, if:
25.24 (A) the county complies with standards adopted by the task force; and
25.25 (B) the county uses software that was validated by the task force.
25.26 (ii) A county that did not participate in the pilot project may record or file a real
25.27estate document electronically, if:
25.28 (A) the document to be recorded or filed is of a type included in the pilot project
25.29for the electronic filing of real estate documents under the task force created in Laws
25.302000, chapter 391;
25.31 (B) the county complies with the standards adopted by the task force;
25.32 (C) the county uses software that was validated by the task force; and
25.33 (D) the task force created under section
507.094, votes to accept a written
25.34certification of compliance with paragraph (b), clause (2), of this section by the county
25.35board and county recorder of the county to implement electronic filing under this section.
26.1 (c) Notices filed pursuant to section
168A.141, subdivisions 1 and 3, need not
26.2contain an acknowledgment.
26.3 Sec. 2. Minnesota Statutes 2006, section 508.02, is amended to read:
26.4
508.02 REGISTERED LAND; SAME INCIDENTS AS UNREGISTERED;
26.5
NO ADVERSE POSSESSION.
26.6 Registered land shall be subject to the same burdens and incidents which attach by
26.7law to unregistered land. This chapter shall not operate to relieve registered land or the
26.8owners thereof from any rights, duties, or obligations incident to or growing out of the
26.9marriage relation, or from liability to attachment on mesne process, or levy on execution,
26.10or from liability to any lien or charge of any description, created or established by law
26.11upon the land or the buildings situated thereon, or the interest of the owner in such land
26.12or buildings. It shall not operate to change the laws of descent or the rights of partition
26.13between cotenants, or the right to take the land by eminent domain. It shall not operate to
26.14relieve such land from liability to be taken or recovered by any assignee or receiver under
26.15any provision of law relative thereto, and shall not operate to change or affect any other
26.16rights, burdens, liabilities, or obligations created by law and applicable to unregistered
26.17land except as otherwise expressly provided herein. No title to registered land in
26.18derogation of that of the registered owner shall be acquired by prescription or by adverse
26.19possession.
new text begin , but the common law doctrine of practical location of boundaries applies new text end
26.20
new text begin to registered land whenever registered. Section 508.671 shall apply in a proceedings new text end
26.21
new text begin subsequent to establish a boundary by practical location for registered land.new text end
26.22 Sec. 3. Minnesota Statutes 2006, section 508.48, is amended to read:
26.23
508.48 INSTRUMENTS AFFECTING TITLE FILED WITH REGISTRAR;
26.24
NOTICE.
26.25
new text begin (a) new text end Every conveyance, lien, attachment, order, decree, or judgment, or other
26.26instrument or proceeding, which would affect the title to unregistered land under existing
26.27laws, if recorded, or filed with the county recorder, shall, in like manner, affect the title to
26.28registered land if filed and registered with the registrar in the county where the real estate
26.29is situated, and shall be notice to all persons from the time of such registering or filing
26.30of the interests therein created. Neither the reference in a registered instrument to an
26.31unregistered instrument or interest nor the joinder in a registered instrument by a party or
26.32parties with no registered interest shall constitute notice, either actual or constructive, of
26.33an unregistered interest.
27.1
new text begin (b) An instrument acknowledged in a representative capacity as defined in section new text end
27.2
new text begin 358.41 on behalf of a corporation, partnership, limited liability company, or trust that is new text end
27.3
new text begin otherwise entitled to be recorded shall be recorded if the acknowledgment made in a new text end
27.4
new text begin representative capacity is substantially in the form prescribed in chapter 358, without new text end
27.5
new text begin further inquiry into the authority of the person making the acknowledgment.new text end
27.6 Sec. 4. Minnesota Statutes 2006, section 508.671, subdivision 1, is amended to read:
27.7 Subdivision 1.
Petition. An owner of registered land
new text begin having one or more common new text end
27.8
new text begin boundaries with registered or unregistered land or an owner of unregistered land having new text end
27.9
new text begin one or more common boundaries with registered land new text end may apply by a duly verified petition
27.10to the court to have all or some of the
new text begin commonnew text end boundary lines judicially determined. The
27.11petition shall contain the full names and post office addresses of all owners of adjoining
27.12lands which are in any manner affected by the boundary determination. At the time of
27.13the filing of the petition with the court administrator, a copy of it, duly certified by the
27.14court administrator, shall be filed for record with the county recorder. If any of the
27.15adjoining lands are registered, the certified copy of the petition also shall be filed with the
27.16registrar of titles and entered as a memorial on the certificate of title for those lands. When
27.17recorded or filed, the certified copy of the petition shall be notice forever to purchasers
27.18and encumbrancers of the pendency of the proceeding and of all matters referred to in the
27.19court files and records pertaining to the proceeding. The owner shall have the premises
27.20surveyed by a licensed land surveyor and shall file in the proceedings a plat of the survey
27.21showing the correct location of the boundary line or lines to be determined. There also
27.22shall be filed with the court administrator a memorandum abstract, satisfactory to the
27.23examiner, showing the record owners and encumbrancers of the adjoining lands which
27.24are in any manner affected by the boundary line determination. The petition shall be
27.25referred to the examiner of titles for examination and report in the manner provided for the
27.26reference of initial applications for registration. Notice of the proceeding shall be given to
27.27all interested persons by the service of a summons which shall be issued in the form and
27.28served in the manner as in initial applications.
27.29 Sec. 5. Minnesota Statutes 2006, section 508A.02, subdivision 1, is amended to read:
27.30 Subdivision 1.
Effect of registration. Land registered under sections
508A.01 to
27.31508A.85
shall be registered subject to the rights of persons in possession, if any, and rights
27.32which would be disclosed by a survey, except that no title in derogation of that of the
27.33registered owner shall be acquired by prescription or adverse possession after the date
27.34of the first CPT; otherwise, land registered under sections
508A.01 to
508A.85 shall be
28.1subject to the same rights, protections, burdens, and incidents which attach by law to
28.2lands as provided in section
508.02.
new text begin The common law doctrine of practical location of new text end
28.3
new text begin boundaries applies to property registered under sections 508A.01 to 508A.85 whenever new text end
28.4
new text begin registered. Section 508.671 shall apply in a proceedings subsequent to establish a new text end
28.5
new text begin boundary by practical location for property registered under sections 508A.01 to 508A.85.new text end
28.6 Sec. 6. Minnesota Statutes 2006, section 508A.48, is amended to read:
28.7
508A.48 FILED INSTRUMENT AFFECTING TITLE IS NOTICE.
28.8
new text begin (a) new text end Every conveyance, lien, attachment, order, decree, or judgment, or other
28.9instrument or proceeding, which would affect the title to unregistered land under existing
28.10laws, if recorded, or filed with the county recorder, shall, in like manner, affect the title to
28.11land registered under sections
508A.01 to
508A.85 if filed and registered with the registrar
28.12in the county where the real estate is situated, and shall be notice to all persons from the
28.13time of the registering or filing of the interests therein created. Neither the reference
28.14in a registered instrument to an unregistered instrument or interest nor the joinder in
28.15a registered instrument by a party or parties with no registered interest shall constitute
28.16notice, either actual or constructive, of an unregistered interest.
28.17
new text begin (b) An instrument acknowledged in a representative capacity as defined in section new text end
28.18
new text begin 358.41 on behalf of a corporation, partnership, limited liability company, or trust that is new text end
28.19
new text begin otherwise entitled to be recorded shall be recorded if the acknowledgment made in a new text end
28.20
new text begin representative capacity is substantially in the form prescribed in chapter 358, without new text end
28.21
new text begin further inquiry into the authority of the person making the acknowledgment.new text end
28.22 Sec. 7. Minnesota Statutes 2006, section 557.02, is amended to read:
28.23
557.02 NOTICE OF LIS PENDENS.
28.24 In all actions in which the title to, or any interest in or lien upon, real property is
28.25involved or affected, or is brought in question by either party, any party thereto, at the time
28.26of filing the complaint, or at any time thereafter during the pendency of such action, may
28.27file for record with the county recorder of each county in which any part of the premises
28.28lies a notice of the pendency of the action, containing the names of the parties, the object
28.29of the action, and a description of the real property in such county involved, affected or
28.30brought in question thereby. From the time of the filing of such notice, and from such time
28.31only, the pendency of the action shall be notice to purchasers and encumbrancers of the
28.32rights and equities of the party filing the same to the premises. When any pleading is
28.33amended in such action, so as to alter the description of, or to extend the claim against,
28.34the premises affected, a new notice may be filed, with like effect. Such notice shall be
29.1recorded in the same book and in the same manner in which mortgages are recorded, and
29.2may be discharged by an entry to that effect in the margin of the record by the party filing
29.3the same, or the party's attorney, in the presence of the recorder, or by writing executed
29.4and acknowledged in the manner of conveyance, whereupon the recorder shall enter a
29.5minute thereof on the margin of such record. The filing of such lis pendens at the time
29.6of filing the complaint and before the commencement of the action shall have no force,
29.7effect, or validity against the premises described in the lis pendens, unless the filing of the
29.8complaint is followed by the service of the summons in the action within 90 days after the
29.9filing of the complaint therein. Any party claiming any title or interest in or to the real
29.10property involved or affected may on such notice as the court shall in each case prescribe,
29.11make application to the district court in the county in which the action is pending or in
29.12which the real property involved or affected is situated, for an order discharging the lis
29.13pendens of record, when any such action has not been brought on for trial within two years
29.14after the filing of the lis pendens and in case the court orders the lis pendens discharged
29.15of record upon the filing of a certified copy of the order of the court in the office of the
29.16county recorder, where the real property is situated, the lis pendens shall be void and of
29.17no force nor effect.
29.18 Sec. 8.
new text begin EFFECTIVE DATE.new text end
29.19
new text begin (a) Sections 1, 3, and 6 are effective the day following final enactment, and apply new text end
29.20
new text begin to documents acknowledged before, on, or after that date.new text end
29.21
new text begin (b) Sections 2, 4, and 5 are effective August 1, 2008, and apply to land registered new text end
29.22
new text begin under Minnesota Statutes, chapter 508 or 508A, whenever registered.new text end
29.23
ARTICLE 4
29.24
UNIFORM PROBATE CODE
29.25 Section 1. Minnesota Statutes 2006, section 524.2-301, is amended to read:
29.26
524.2-301 ENTITLEMENT OF SPOUSE; PREMARITAL WILL.
29.27 (a) A testator's surviving spouse, who
new text begin If a testatornew text end married the testator after the
29.28testator's
new text begin making anew text end will was executed, is entitled to
new text begin and the spouse survives the testator, new text end
29.29
new text begin the surviving spouse shallnew text end receive, as an intestate
new text begin anew text end share, no less than the value of the
29.30share of the estate
new text begin of the testator equal in value to that whichnew text end the surviving spouse would
29.31have received if the testator had died intestate as to that portion of the testator's estate,
29.32if any, that neither is devised to a child of the testator who was born before the testator
29.33married the surviving spouse and who is not a child of the surviving spouse nor is devised
30.1to a descendant of such a child or passes under section
or
to such a
30.2child or to a descendant of such a child, unless:
30.3 (1) it appears from the will or other evidence that the will was made in contemplation
30.4of the testator's marriage to the surviving spouse
new text begin provision has been made for, or waived new text end
30.5
new text begin by, the spouse by prenuptial or postnuptial agreementnew text end ;
30.6 (2) the will expresses the
new text begin discloses annew text end intention that it is to be effective
30.7notwithstanding any subsequent marriage
new text begin not to make provision for the spousenew text end ; or
30.8 (3) the testator
new text begin the spouse isnew text end provided for the spouse by transfer outside
new text begin innew text end the will
30.9and the intent that the transfer be in lieu of a testamentary provision is shown by the
30.10testator's statements or is reasonably inferred from the amount of the transfer or other
30.11evidence.
30.12 (b) In satisfying the share provided by this section, devises made by the will to
30.13the testator's surviving spouse, if any, are applied first, and other devises, other than a
30.14devise to a child of the testator who was born before the testator married the surviving
30.15spouse and who is not a child of the surviving spouse or a devise or substitute gift under
30.16section
524.2-603 or
524.2-604 to a descendant of such a child, abate
new text begin firstnew text end as
new text begin otherwisenew text end
30.17provided in section
524.3-902.
30.18 Sec. 2. Minnesota Statutes 2006, section 524.2-402, is amended to read:
30.19
524.2-402 DESCENT OF HOMESTEAD.
30.20 (a) If there is a surviving spouse, the homestead, including a manufactured home
30.21which is the family residence, descends free from any testamentary or other disposition of
30.22it to which the spouse has not consented in writing or as provided by law, as follows:
30.23 (1) if there is no surviving descendant of decedent, to the spouse; or
30.24 (2) if there are surviving descendants of decedent, then to the spouse for the term of
30.25the spouse's natural life and the remainder in equal shares to the decedent's descendants
30.26by representation.
30.27 (b) If there is no surviving spouse and the homestead has not been disposed of by
30.28will it descends as other real estate.
30.29 (c) If the homestead passes by descent or will to the spouse or decedent's descendants
new text begin new text end
30.30
new text begin or to a trustee of a trust of which the spouse or the decedent's descendants are the sole new text end
30.31
new text begin current beneficiariesnew text end , it is exempt from all debts which were not valid charges on it at the
30.32time of decedent's death except that the homestead is subject to a claim filed pursuant
30.33to section
246.53 for state hospital care or
256B.15 for medical assistance benefits. If
30.34the homestead passes to a person other than a spouse or decedent's descendants
new text begin or to a new text end
30.35
new text begin trustee of a trust of which the spouse or the decedent's descendants are the sole current new text end
31.1
new text begin beneficiariesnew text end , it is subject to the payment of expenses of administration, funeral expenses,
31.2expenses of last illness, taxes, and debts. The claimant may seek to enforce a lien or other
31.3charge against a homestead so exempted by an appropriate action in the district court.
31.4 (d) For purposes of this section, except as provided in section
524.2-301, the
31.5surviving spouse is deemed to consent to any testamentary or other disposition of the
31.6homestead to which the spouse has not previously consented in writing unless the spouse
31.7files in the manner provided in section
524.2-211, paragraph (f), a petition that asserts the
31.8homestead rights provided to the spouse by this section.
31.9 Sec. 3. Minnesota Statutes 2006, section 524.3-801, is amended to read:
31.10
524.3-801 NOTICE TO CREDITORS.
31.11 (a) Unless notice has already been given under this section, upon appointment of a
31.12general personal representative in informal proceedings or upon the filing of a petition
31.13for formal appointment of a general personal representative, notice thereof, in the form
31.14prescribed by court rule, shall be given under the direction of the court administrator by
31.15publication once a week for two successive weeks in a legal newspaper in the county
31.16wherein the proceedings are pending giving the name and address of the general personal
31.17representative and notifying creditors of the estate to present their claims within four
31.18months after the date of the court administrator's notice which is subsequently published
31.19or be forever barred, unless they are entitled to further service of notice under paragraph
31.20(b) or (c).
31.21 (b)(1) Within three months after: (i) the date of the first publication of the notice; or
31.22(ii) June 16, 1989, whichever is later, the personal representative may determine, in the
31.23personal representative's discretion, that it is or is not advisable to conduct a reasonably
31.24diligent search for creditors of the decedent who are either not known or not identified. If
31.25the personal representative determines that a reasonably diligent search is advisable, the
31.26personal representative shall conduct the search.
31.27 (2) If the notice is first published after June 16, 1989, The personal representative
31.28shall, within three months after the date of the first publication of the notice, serve a copy
31.29of the notice upon each then known and identified creditor in the manner provided in
31.30paragraph (c). Notice
new text begin If the decedent or a predeceased spouse of the decedent received new text end
31.31
new text begin assistance for which a claim could be filed under section 246.53, 256B.15, 256D.16, or new text end
31.32
new text begin 261.04, notice to the commissioner of human services must benew text end given under paragraph (d)
31.33does not satisfy the notice requirements
new text begin instead ofnew text end under this paragraph and
new text begin ornew text end paragraph
31.34(c). If notice was first published under the applicable provisions of law under the direction
31.35of the court administrator before June 16, 1989, and if a personal representative is
32.1empowered to act at any time after June 16, 1989, the personal representative shall, within
32.2three months after June 16, 1989, serve upon the then known and identified creditors in
32.3the manner provided in paragraph (c) a copy of the notice as published, together with a
32.4supplementary notice requiring each of the creditors to present any claim within one
32.5month after the date of the service of the notice or be forever barred.
32.6 (3) Under this section, A creditor is "known" if: (i) the personal representative
32.7knows that the creditor has asserted a claim that arose during the decedent's life against
32.8either the decedent or the decedent's estate; or (ii) the creditor has asserted a claim that
32.9arose during the decedent's life and the fact is clearly disclosed in accessible financial
32.10records known and available to the personal representative
new text begin ; or (iii) the claim of the new text end
32.11
new text begin creditor would be revealed by a reasonably diligent search for creditors of the decedent in new text end
32.12
new text begin accessible financial records known and available to the personal representativenew text end . Under this
32.13section, a creditor is "identified" if the personal representative's knowledge of the name
32.14and address of the creditor will permit service of notice to be made under paragraph (c).
32.15 (c)
new text begin Unless the claim has already been presented to the personal representative or new text end
32.16
new text begin paid, new text end the personal representative shall serve a copy of any notice and any supplementary
new text begin new text end
32.17
new text begin thenew text end notice required by paragraph (b), clause (1) or (2), upon each creditor of the decedent
32.18who is then known to the personal representative and identified, except a creditor whose
32.19claim has either been presented to the personal representative or paid, either by delivery
32.20of a copy of the required notice to the creditor, or by mailing a copy of the notice to the
32.21creditor by certified, registered, or ordinary first class mail addressed to the creditor at
32.22the creditor's office or place of residence.
32.23 (d)(1) Effective for decedents dying on or after July 1, 1997, if the decedent or a
32.24predeceased spouse of the decedent received assistance for which a claim could be filed
32.25under section
246.53,
256B.15,
256D.16, or
261.04, the personal representative or the
32.26attorney for the personal representative shall serve the commissioner of human services
32.27with notice in the manner prescribed in paragraph (c) as soon as practicable after the
32.28appointment of the personal representative. The notice must state the decedent's full name,
32.29date of birth, and Social Security number and, to the extent then known after making a
32.30reasonably diligent inquiry, the full name, date of birth, and Social Security number for
32.31each of the decedent's predeceased spouses. The notice may also contain a statement that,
32.32after making a reasonably diligent inquiry, the personal representative has determined that
32.33the decedent did not have any predeceased spouses or that the personal representative
32.34has been unable to determine one or more of the previous items of information for a
32.35predeceased spouse of the decedent. A copy of the notice to creditors must be attached to
32.36and be a part of the notice to the commissioner.
33.1 (2) Notwithstanding a will or other instrument or law to the contrary, except as
33.2allowed in this paragraph, no property subject to administration by the estate may be
33.3distributed by the estate or the personal representative until 70 days after the date the
33.4notice is served on the commissioner as provided in paragraph (c), unless the local agency
33.5consents as provided for in clause (6). This restriction on distribution does not apply to
33.6the personal representative's sale of real or personal property, but does apply to the net
33.7proceeds the estate receives from these sales. The personal representative, or any person
33.8with personal knowledge of the facts, may provide an affidavit containing the description
33.9of any real or personal property affected by this paragraph and stating facts showing
33.10compliance with this paragraph. If the affidavit describes real property, it may be filed
33.11or recorded in the office of the county recorder or registrar of titles for the county where
33.12the real property is located. This paragraph does not apply to proceedings under sections
33.13524.3-1203
and
525.31, or when a duly authorized agent of a county is acting as the
33.14personal representative of the estate.
33.15 (3) At any time before an order or decree is entered under section
524.3-1001
33.16or
524.3-1002, or a closing statement is filed under section
524.3-1003, the personal
33.17representative or the attorney for the personal representative may serve an amended notice
33.18on the commissioner to add variations or other names of the decedent or a predeceased
33.19spouse named in the notice, the name of a predeceased spouse omitted from the notice, to
33.20add or correct the date of birth or Social Security number of a decedent or predeceased
33.21spouse named in the notice, or to correct any other deficiency in a prior notice. The
33.22amended notice must state the decedent's name, date of birth, and Social Security number,
33.23the case name, case number, and district court in which the estate is pending, and the date
33.24the notice being amended was served on the commissioner. If the amendment adds the
33.25name of a predeceased spouse omitted from the notice, it must also state that spouse's full
33.26name, date of birth, and Social Security number. The amended notice must be served on
33.27the commissioner in the same manner as the original notice. Upon service, the amended
33.28notice relates back to and is effective from the date the notice it amends was served,
33.29and the time for filing claims arising under section
246.53,
256B.15,
256D.16 or
261.04
33.30is extended by 60 days from the date of service of the amended notice. Claims filed
33.31during the 60-day period are undischarged and unbarred claims, may be prosecuted by
33.32the entities entitled to file those claims in accordance with section
524.3-1004, and the
33.33limitations in section
524.3-1006 do not apply. The personal representative or any person
33.34with personal knowledge of the facts may provide and file or record an affidavit in the
33.35same manner as provided for in clause (1).
34.1 (4) Within one year after the date an order or decree is entered under section
34.2524.3-1001
or
524.3-1002 or a closing statement is filed under section
524.3-1003, any
34.3person who has an interest in property that was subject to administration by the estate may
34.4serve an amended notice on the commissioner to add variations or other names of the
34.5decedent or a predeceased spouse named in the notice, the name of a predeceased spouse
34.6omitted from the notice, to add or correct the date of birth or Social Security number of a
34.7decedent or predeceased spouse named in the notice, or to correct any other deficiency
34.8in a prior notice. The amended notice must be served on the commissioner in the same
34.9manner as the original notice and must contain the information required for amendments
34.10under clause (3). If the amendment adds the name of a predeceased spouse omitted from
34.11the notice, it must also state that spouse's full name, date of birth, and Social Security
34.12number. Upon service, the amended notice relates back to and is effective from the date
34.13the notice it amends was served. If the amended notice adds the name of an omitted
34.14predeceased spouse or adds or corrects the Social Security number or date of birth of the
34.15decedent or a predeceased spouse already named in the notice, then, notwithstanding any
34.16other laws to the contrary, claims against the decedent's estate on account of those persons
34.17resulting from the amendment and arising under section
246.53,
256B.15,
256D.16, or
34.18261.04
are undischarged and unbarred claims, may be prosecuted by the entities entitled
34.19to file those claims in accordance with section
524.3-1004, and the limitations in section
34.20524.3-1006
do not apply. The person filing the amendment or any other person with
34.21personal knowledge of the facts may provide and file or record an affidavit describing
34.22affected real or personal property in the same manner as clause (1).
34.23 (5) After one year from the date an order or decree is entered under section
34.24524.3-1001
or
524.3-1002, or a closing statement is filed under section
524.3-1003, no
34.25error, omission, or defect of any kind in the notice to the commissioner required under
34.26this paragraph or in the process of service of the notice on the commissioner, or the
34.27failure to serve the commissioner with notice as required by this paragraph, makes any
34.28distribution of property by a personal representative void or voidable. The distributee's
34.29title to the distributed property shall be free of any claims based upon a failure to comply
34.30with this paragraph.
34.31 (6) The local agency may consent to a personal representative's request to distribute
34.32property subject to administration by the estate to distributees during the 70-day period
34.33after service of notice on the commissioner. The local agency may grant or deny the
34.34request in whole or in part and may attach conditions to its consent as it deems appropriate.
34.35When the local agency consents to a distribution, it shall give the estate a written certificate
34.36evidencing its consent to the early distribution of assets at no cost. The certificate must
35.1include the name, case number, and district court in which the estate is pending, the name
35.2of the local agency, describe the specific real or personal property to which the consent
35.3applies, state that the local agency consents to the distribution of the specific property
35.4described in the consent during the 70-day period following service of the notice on the
35.5commissioner, state that the consent is unconditional or list all of the terms and conditions
35.6of the consent, be dated, and may include other contents as may be appropriate. The
35.7certificate must be signed by the director of the local agency or the director's designees
35.8and is effective as of the date it is dated unless it provides otherwise. The signature of the
35.9director or the director's designee does not require any acknowledgment. The certificate
35.10shall be prima facie evidence of the facts it states, may be attached to or combined with a
35.11deed or any other instrument of conveyance and, when so attached or combined, shall
35.12constitute a single instrument. If the certificate describes real property, it shall be accepted
35.13for recording or filing by the county recorder or registrar of titles in the county in which
35.14the property is located. If the certificate describes real property and is not attached to or
35.15combined with a deed or other instrument of conveyance, it shall be accepted for recording
35.16or filing by the county recorder or registrar of titles in the county in which the property is
35.17located. The certificate constitutes a waiver of the 70-day period provided for in clause (2)
35.18with respect to the property it describes and is prima facie evidence of service of notice on
35.19the commissioner. The certificate is not a waiver or relinquishment of any claims arising
35.20under section
246.53,
256B.15,
256D.16, or
261.04, and does not otherwise constitute a
35.21waiver of any of the personal representative's duties under this paragraph. Distributees
35.22who receive property pursuant to a consent to an early distribution shall remain liable to
35.23creditors of the estate as provided for by law.
35.24 (7) All affidavits provided for under this paragraph:
35.25 (i) shall be provided by persons who have personal knowledge of the facts stated
35.26in the affidavit;
35.27 (ii) may be filed or recorded in the office of the county recorder or registrar of
35.28titles in the county in which the real property they describe is located for the purpose of
35.29establishing compliance with the requirements of this paragraph; and
35.30 (iii) are prima facie evidence of the facts stated in the affidavit.
35.31 (8) This paragraph applies to the estates of decedents dying on or after July 1, 1997.
35.32Clause (5) also applies with respect to all notices served on the commissioner of human
35.33services before July 1, 1997, under Laws 1996, chapter 451, article 2, section 55. All
35.34notices served on the commissioner before July 1, 1997, pursuant to Laws 1996, chapter
35.35451, article 2, section 55, shall be deemed to be legally sufficient for the purposes for
35.36which they were intended, notwithstanding any errors, omissions or other defects.
36.1 Sec. 4. Minnesota Statutes 2006, section 524.3-803, is amended to read:
36.2
524.3-803 LIMITATIONS ON PRESENTATION OF CLAIMS.
36.3 (a) All claims as defined in section
524.1-201(6), against a decedent's estate which
36.4arose before the death of the decedent, including claims of the state and any subdivision
36.5thereof, whether due or to become due, absolute or contingent, liquidated or unliquidated,
36.6if not barred earlier by other statute of limitations, are barred against the estate, the personal
36.7representative, and the heirs and devisees of the decedent, unless presented as follows:
36.8 (1) in the case of a creditor who is only entitled, under the United States Constitution
36.9and under the Minnesota Constitution, to notice by publication under section
524.3-801,
36.10within four months after the date of the court administrator's notice to creditors which
36.11is subsequently published pursuant to section
524.3-801;
36.12 (2) in the case of a creditor who was served with notice under section
524.3-801(c),
36.13within the later to expire of four months after the date of the first publication of notice to
36.14creditors or one month after the service;
36.15 (3) within the later to expire of one year after the decedent's death, or one year after
36.16June 16, 1989, whether or not notice to creditors has been published or served under
36.17section
524.3-801, provided, however, that in the case of a decedent who died before June
36.1816, 1989, no claim which was then barred by any provision of law may be deemed to have
36.19been revived by the amendment of this section.
36.20 (b) All claims against a decedent's estate which arise at or after the death of the
36.21decedent, including claims of the state and any subdivision thereof, whether due or to
36.22become due, absolute or contingent, liquidated or unliquidated, are barred against the
36.23estate, the personal representative, and the heirs and devisees of the decedent, unless
36.24presented as follows:
36.25 (1) a claim based on a contract with the personal representative, within four months
36.26after performance by the personal representative is due;
36.27 (2) any other claim, within four months after it arises.
36.28 (c) Nothing in this section affects or prevents:
36.29 (1) any proceeding to enforce any mortgage, pledge, or other lien upon property
36.30of the estate;
36.31 (2) any proceeding to establish liability of the decedent or the personal representative
36.32for which there is protection by liability insurance, to the limits of the insurance protection
36.33only;
36.34 (3) the presentment and payment at any time within one year after the decedent's
36.35death of any claim arising before the death of the decedent that is referred to in section
36.36524.3-715
, clause (18), although the same may be otherwise barred under this section; or
37.1 (4) the presentment and payment at any time before a petition is filed in compliance
37.2with section
524.3-1001 or
524.3-1002 or a closing statement is filed under section
37.3524.3-1003
, of:
37.4 (i) any claim arising after the death of the decedent that is referred to in section
37.5524.3-715
, clause (18), although the same may be otherwise barred hereunder;
37.6 (ii) any other claim, including claims subject to clause (3), which would otherwise be
37.7barred hereunder, upon allowance by the court upon petition of the personal representative
37.8or the claimant for cause shown on notice and hearing as the court may direct.
37.9
ARTICLE 5
37.10
MORTGAGE FORECLOSURE
37.11 Section 1. Minnesota Statutes 2006, section 507.092, subdivision 1, is amended to read:
37.12 Subdivision 1.
To get tax statements. new text begin (a) new text end No contract for deed or deed conveying
37.13fee title to real estate shall be recorded by the county recorder or registered by the registrar
37.14of titles until the name and address of the grantee, to whom future tax statements should be
37.15sent, is printed, typewritten, stamped or written on it in a legible manner. An instrument
37.16complies with this subdivision if it contains a statement in the following form: "Tax
37.17statements for the real property described in this instrument should be sent to:
37.18 ............... (
new text begin legal new text end name
new text begin of granteenew text end ) ............... (
new text begin residential or business new text end address)."
37.19
new text begin (b) The name provided under paragraph (a) must be the legal name of the grantee new text end
37.20
new text begin and the address must be the residential or business address of the grantee.new text end
37.21
new text begin EFFECTIVE DATE.new text end new text begin This section applies to a contract for deed or deed conveying new text end
37.22
new text begin fee title to real estate executed on or after August 1, 2008.new text end
37.23 Sec. 2. Minnesota Statutes 2007 Supplement, section 510.05, is amended to read:
37.24
510.05 LIMITATIONS.
37.25 The amount of the homestead exemption shall not be reduced by and shall not extend
37.26to any mortgage lawfully obtained thereon, to any valid lien for taxes or assessments, to a
37.27claim filed pursuant to section
246.53 or 256B.15
, to any charge arising under the laws
37.28relating to laborers or material suppliers' liens or to any charge obtained
new text begin under section new text end
37.29
new text begin 481.13 new text end pursuant to a valid waiver of the homestead exemption.
37.30 Sec. 3. Minnesota Statutes 2007 Supplement, section 550.19, is amended to read:
37.31
550.19 SERVICE ON JUDGMENT DEBTOR.
38.1
new text begin If the sale is of personal property, at or before the time of posting notice of sale, the new text end
38.2
new text begin officer shall serve a copy of the execution and inventory, and of the notice, upon the new text end
38.3
new text begin judgment debtor, if the debtor is a resident of the county, in the manner required by law new text end
38.4
new text begin for the service of a summons in a civil action. If the sale is of real property, new text end a judgment
38.5creditor must, at least four weeks before the appointed time of sale, serve a copy of the
38.6notice of sale in like manner as a summons in a civil action in the district court upon the
38.7judgment debtor if the judgment debtor is a resident of the county and upon any person
38.8in possession of the homestead other than the judgment debtor. In addition, the notice
38.9of sale must also be served upon all persons who have recorded a request for notice in
38.10accordance with section
580.032.
38.11 Sec. 4. Minnesota Statutes 2007 Supplement, section 550.22, is amended to read:
38.12
550.22 CERTIFICATE OF SALE OF REALTY.
38.13 When a sale of real property is made upon execution, or pursuant to a judgment or
38.14order of a court, unless otherwise specified therein, the officer shall execute and deliver
38.15to the purchaser a certificate containing:
38.16 (1) a description of the execution, judgment, or order;
38.17 (2) a description of the property;
38.18 (3) the date of the sale and the name of the purchaser;
38.19 (4) the price paid for each parcel separately;
38.20 (5) if subject to redemption, the time allowed by law therefor;
38.21
new text begin (6) the interest rate in effect on the date of the sheriff's sale; new text end and
38.22 (6)
new text begin (7)new text end the amount of the debtor's homestead exemption, if any, as determined under
38.23section
550.175.
38.24 Such certificate shall be executed, acknowledged, and recorded in the manner
38.25provided by law for a conveyance of real property, shall be prima facie evidence of the
38.26facts stated, and, upon expiration of the time for redemption, shall operate as a conveyance
38.27to the purchaser of all the right, title, and interest of the person whose property is sold in
38.28and to the same, at the date of the lien upon which the same was sold. Any person desiring
38.29to perpetuate evidence that any real property sold under this section was not homestead
38.30real property may procure an affidavit by the person enforcing the judgment, or that
38.31person's attorney, or someone having knowledge of the facts, setting forth that the real
38.32property was not homestead real property. The affidavit shall be recorded by the county
38.33recorder or registrar of titles, and the affidavit and certified copies of the affidavit shall
38.34be prima facie evidence of the facts stated in the affidavit.
39.1 Sec. 5. Minnesota Statutes 2007 Supplement, section 550.24, is amended to read:
39.2
550.24 REDEMPTION OF REALTY.
39.3 (a) Upon the sale of real property, if the estate sold is less than a leasehold of two
39.4years' unexpired term, the sale is absolute. In all other cases the property sold, or any
39.5portion thereof which has been sold separately, is subject to redemption as provided
39.6in this section.
39.7 (b) The judgment debtor, the debtor's heirs, successors, legal representatives, or
39.8assigns may redeem within one year after the day of sale, or order confirming sale if the
39.9property is a homestead, by paying, to the purchaser or the officer making the sale, the
39.10amount for which the property was sold with interest
new text begin at the rate stated in the certificate of new text end
39.11
new text begin salenew text end , on the amount of the sale in excess of the homestead exemption, at the judgment rate
39.12and if the purchaser is a creditor having a prior lien, the amount thereof, with interest, on
39.13the amount of the sale in excess of the homestead exemption, at the judgment rate together
39.14with any costs as provided in sections
582.03 and
582.031.
39.15 (c) If there is no redemption during the debtor's redemption period, creditors having
39.16a lien, legal or equitable, on the property or some part thereof, subsequent to that on
39.17which it was sold may redeem in the manner provided for redemption by creditors of the
39.18mortgagor in section
580.24, in the order of their respective liens.
39.19 (d) If the property is abandoned during the judgment debtor's redemption period,
39.20the person holding the sheriff's certificate may request that the court reduce the judgment
39.21debtor's redemption period to five weeks using the procedures provided for a foreclosure
39.22by action in section
582.032, subdivision 5.
39.23 Sec. 6. Minnesota Statutes 2006, section 580.02, is amended to read:
39.24
580.02 REQUISITES FOR FORECLOSURE.
39.25 To entitle any party to make such foreclosure, it is requisite:
39.26 (1) that some default in a condition of such mortgage has occurred, by which the
39.27power to sell has become operative;
39.28 (2) that no action or proceeding has been instituted at law to recover the debt then
39.29remaining secured by such mortgage, or any part thereof, or, if the action or proceeding
39.30has been instituted, that the same has been discontinued, or that an execution upon the
39.31judgment rendered therein has been returned unsatisfied, in whole or in part;
39.32 (3) that the mortgage has been recorded and, if it has been assigned, that all
39.33assignments thereof have been recorded; provided, that, if the mortgage is upon registered
39.34land, it shall be sufficient if the mortgage and all assignments thereof have been duly
39.35registered
new text begin ; andnew text end
40.1
new text begin (4) before the notice of pendency as required under section 580.032 is recorded, the new text end
40.2
new text begin party has complied with section 580.021new text end .
40.3 Sec. 7.
new text begin [580.021] FORECLOSURE PREVENTION COUNSELING.new text end
40.4
new text begin Subdivision 1.new text end new text begin Applicability.new text end new text begin This section applies to foreclosure of mortgages under new text end
40.5
new text begin this chapter on property consisting of one to four family dwelling units, one of which new text end
40.6
new text begin the owner occupies as the owner's principal place of residency on the date of service of new text end
40.7
new text begin the notice of sale of the owner.new text end
40.8
new text begin Subd. 2.new text end new text begin Requirement to provide notice of opportunity for counseling.new text end new text begin When new text end
40.9
new text begin the written notice required under section 47.20, subdivision 8, is provided and before the new text end
40.10
new text begin notice of pendency under section 580.032, subdivision 3, is filed, a party foreclosing on a new text end
40.11
new text begin mortgage must provide to the mortgagor information contained in a form prescribed in new text end
40.12
new text begin section 580.022, subdivision 1, that:new text end
40.13
new text begin (1) foreclosure prevention counseling services provided by an authorized foreclosure new text end
40.14
new text begin prevention counseling agency are available; andnew text end
40.15
new text begin (2) notice that the party will transmit the homeowner's name, address, and telephone new text end
40.16
new text begin number to an approved foreclosure prevention agency.new text end
40.17
new text begin Nothing in this subdivision prohibits the notices required by this subdivision new text end
40.18
new text begin from being provided concurrently with the written notice required under section 47.20, new text end
40.19
new text begin subdivision 8.new text end
40.20
new text begin For the purposes of this section, an "authorized foreclosure prevention counseling new text end
40.21
new text begin agency" is a nonprofit agency approved by the Minnesota Housing Finance Agency or new text end
40.22
new text begin the United States Department of Housing and Urban Development to provide foreclosure new text end
40.23
new text begin prevention counseling services.new text end
40.24
new text begin Subd. 3.new text end new text begin Notification to authorized counseling agency.new text end new text begin The party entitled to new text end
40.25
new text begin foreclose shall, within one week of sending the notice prescribed in section 580.022, new text end
40.26
new text begin provide to the appropriate authorized foreclosure prevention agency the mortgagor's new text end
40.27
new text begin name, address, and most recent known telephone number.new text end
40.28
new text begin Subd. 4.new text end new text begin Notice of provision of counseling; request for contact information.new text end new text begin (a) new text end
40.29
new text begin An authorized foreclosure prevention agency that contacts or is contacted by a mortgagor new text end
40.30
new text begin or the mortgagor's authorized representative and agrees to provide foreclosure prevention new text end
40.31
new text begin assistance services to the mortgagor or representative must provide the form prescribed in new text end
40.32
new text begin section 580.022 to the mortgagee. The form serves as notice to the mortgagee that the new text end
40.33
new text begin mortgagor is receiving foreclosure prevention counseling assistance.new text end
41.1
new text begin (b) The mortgagee must return the form to the authorized foreclosure prevention new text end
41.2
new text begin agency within 15 days of receipt of the form with the name and telephone number of the new text end
41.3
new text begin mortgagee's agent. The agent must be a person authorized by the mortgagee to:new text end
41.4
new text begin (1) discuss with the authorized foreclosure prevention agency or the mortgagor new text end
41.5
new text begin the terms of the mortgage; andnew text end
41.6
new text begin (2) negotiate any resolution to the mortgagor's default.new text end
41.7
new text begin (c) Nothing in this subdivision requires a mortgagee to reach a resolution relating to new text end
41.8
new text begin the mortgagor's default.new text end
41.9 Sec. 8.
new text begin [580.022] FORMS.new text end
41.10
new text begin Subdivision 1.new text end new text begin Counseling form.new text end new text begin The notice required under section 580.021, new text end
41.11
new text begin subdivision 2, clause (2), must be printed on colored paper that is other than the color of new text end
41.12
new text begin any other document provided with it and must appear substantially as follows:new text end
41.13
new text begin "PREFORECLOSURE NOTICEnew text end
41.14
new text begin Foreclosure Prevention Counselingnew text end
41.15
new text begin Why You Are Getting This Noticenew text end
41.16
new text begin We do not want you to lose your home and your equity. Government-approved new text end
41.17
new text begin nonprofit agencies are available to, if possible, help you prevent foreclosure.new text end
41.18
new text begin We have given your contact information to an authorized foreclosure prevention new text end
41.19
new text begin counseling agency to contact you to help you prevent foreclosure.new text end
41.20
new text begin Who Are These Foreclosure Prevention Counseling Agenciesnew text end
41.21
new text begin They are nonprofit agencies who are experts in housing and foreclosure prevention new text end
41.22
new text begin counseling and assistance. They are experienced in dealing with lenders and homeowners new text end
41.23
new text begin who are behind on mortgage payments and can help you understand your options and new text end
41.24
new text begin work with you to address your delinquency. They are approved by either the Minnesota new text end
41.25
new text begin Housing Finance Agency or the United States Department of Housing and Urban new text end
41.26
new text begin Development. They are not connected with us in any way.new text end
41.27
new text begin Which Agency Will Contact Younew text end
41.28
new text begin [insert name, address, and telephone number of agency]new text end
41.29
new text begin You can also contact them directly."new text end
41.30
new text begin Subd. 2.new text end new text begin Notice of Counseling and Request for Contact Information form.new text end new text begin The new text end
41.31
new text begin notice required in section 580.021, subdivision 4, must be substantially in the following new text end
41.32
new text begin form:new text end
41.33
new text begin "PREFORECLOSURE NOTICEnew text end
42.1
new text begin NOTICE OF PROVISION OF FORECLOSURE PREVENTION COUNSELING new text end
42.2
new text begin AND REQUEST FOR MORTGAGEE CONTACT INFORMATIONnew text end
42.3
new text begin [Insert agency name] has been contacted by your customer regarding foreclosure new text end
42.4
new text begin prevention counseling in response to the current foreclosure proceedings involving the new text end
42.5
new text begin customer's real property. Please provide the following contact information pursuant to new text end
42.6
new text begin Minnesota Statutes, section 580.021, subdivision 4, by completing and returning this form new text end
42.7
new text begin via fax [insert fax number] or via e-mail at [insert e-mail address].new text end
42.8
new text begin To be completed by Counseling Agencynew text end
42.9
new text begin Consumer Name:new text end
___
42.10
new text begin CONSUMER CONTACT INFORMATION:new text end
42.11
new text begin Address:new text end
___
42.12
new text begin City, State, Zip Code:new text end
___
42.13
new text begin Daytime Phone:new text end
___
42.14
new text begin Nighttime Phone:new text end
___
42.15
new text begin PROPERTY AT RISK FOR FORECLOSURE (if differs from above):new text end
42.16
new text begin Address:new text end
___
42.17
new text begin City, State, Zip Code:new text end
___
42.18
new text begin COUNSELING AGENCY CONTACT:new text end
42.19
new text begin Name:new text end
___
42.20
new text begin Agency:new text end
___
42.21
new text begin Phone:new text end
___
42.22
new text begin Fax:new text end
___
42.23
new text begin E-mail:new text end
___
42.24
new text begin To be completed by Lendernew text end
42.25
new text begin Contact Name:new text end
___
42.26
new text begin Address:new text end
___
42.27
new text begin City, State, Zip Code:new text end
___
42.28
new text begin Phone:new text end
___
42.29
new text begin Fax:new text end
___
42.30
new text begin E-mail:new text end
___
new text begin "new text end
42.31 Sec. 9. Minnesota Statutes 2006, section 580.03, is amended to read:
42.32
580.03 NOTICE OF SALE; SERVICE ON OCCUPANT.
42.33
new text begin Commencing at least new text end six
new text begin weeks before the appointed time of sale, three new text end weeks'
42.34published notice shall be given that such mortgage will be foreclosed by sale of the
42.35mortgaged premises or some part thereof, and at least four weeks before the appointed
42.36time of sale a copy of such notice shall be served in like manner as a summons in a civil
42.37action in the district court upon the person in possession of the mortgaged premises, if the
43.1same are actually occupied. If there be a building on such premises used by a church or
43.2religious corporation, for its usual meetings, service upon any officer or trustee of such
43.3corporation shall be a sufficient service upon it. The notice required by section
new text begin sectionsnew text end
43.4580.041
new text begin and 580.042 new text end must be served simultaneously with the notice of foreclosure
43.5required by this section.
43.6 Sec. 10. Minnesota Statutes 2006, section 580.041, subdivision 2, is amended to read:
43.7 Subd. 2.
Content of notice. The notice required by this section must appear
43.8substantially as follows:
43.9"Help For Homeowners in Foreclosure
43.10Minnesota law requires that we send you this notice about the foreclosure process.
43.11Please read it carefully.
43.12
new text begin The attorney preparing this foreclosure is:new text end
___
43.13
new text begin (Attorney name, address, phone)new text end
43.14
new text begin It is being prepared for:new text end
43.15
___
43.16
new text begin (Lender name, loss mitigation phone number)new text end
43.17
new text begin AS OF [insert date], this lender says that you owe $[insert dollar amount] to bring new text end
43.18
new text begin your mortgage up to date. You must pay this amount to keep your house from going new text end
43.19
new text begin through a sheriff's sale. The sheriff's sale is scheduled for [insert date] at [insert new text end
43.20
new text begin time] at [insert place].new text end
43.21Mortgage foreclosure is a complex process. Some People may approach
new text begin contactnew text end you
43.22about "saving"
new text begin with advice and offers to help "save"new text end your home. You should be
43.23careful about any such promises.
43.24The state encourages you to become informed about your options in foreclosure
43.25before entering into any agreements with anyone in connection with the foreclosure
43.26of your home. There are government agencies and nonprofit organizations that you
43.27may contact for helpful information about the foreclosure process. For the name and
43.28telephone number of an organization near you please call the Minnesota Housing
43.29Finance Agency (MHFA) at (insert telephone number). The state does not guarantee
43.30the advice of these agencies.
43.31Do not delay dealing with the foreclosure because your options may become more
43.32limited as time passes."
43.33
new text begin Remember:new text end new text begin It is important that you learn as much as you can about foreclosure and new text end
43.34
new text begin your situation. Find out about all your options before you make any agreements with new text end
43.35
new text begin anyone about the foreclosure of your home.new text end
43.36
new text begin Getting Helpnew text end
44.1
new text begin As soon as possible, you should contact your lender at the above number to talk new text end
44.2
new text begin about things you might be able to do to prevent foreclosure. You should also new text end
44.3
new text begin consider contacting the foreclosure prevention counselor in your area. A foreclosure new text end
44.4
new text begin prevention counselor can answer your questions, offer free advice, and help you new text end
44.5
new text begin create a plan which makes sense for your situation.new text end
44.6
new text begin Contact the Minnesota Home Ownership Center at 651-659-9336 or 866-462-6466 new text end
44.7
new text begin or www.hocmn.org to get the phone number and location of the nearest counseling new text end
44.8
new text begin organization. Call today. The longer you wait, the fewer options you may have for new text end
44.9
new text begin a desirable result.new text end
44.10
new text begin Information About the Foreclosure Processnew text end
44.11
new text begin You do not need to move at the time of the sheriff's sale. After the sheriff's sale you new text end
44.12
new text begin have the right to "redeem." Redeem means that you pay off the entire loan amount new text end
44.13
new text begin plus fees to keep your house. You can keep living in your home for a period of time. new text end
44.14
new text begin This is called a "redemption period." The redemption period is [insert number of new text end
44.15
new text begin months] months after the sheriff's sale. This redemption period is your chance to new text end
44.16
new text begin try and sell your home or refinance it with a different loan. You can also pay the new text end
44.17
new text begin redemption amount with any other funds you have available. At the end of the new text end
44.18
new text begin redemption period you will have to leave your home. If you do not, the person or new text end
44.19
new text begin company that bid on your home at the sheriff's sale has the right to file an eviction new text end
44.20
new text begin against you in district court."new text end
44.21 Sec. 11.
new text begin [580.042] FORECLOSURE ADVICE NOTICE TO TENANT.new text end
44.22
new text begin Subdivision 1.new text end new text begin Applicability.new text end new text begin This section applies to foreclosure of mortgages new text end
44.23
new text begin under this chapter.new text end
44.24
new text begin Subd. 2.new text end new text begin Form of delivery of notice.new text end new text begin The notice required by this section must be in new text end
44.25
new text begin 14-point boldface type and must be printed on colored paper that is other than the color of new text end
44.26
new text begin the notice of foreclosure and of the notice to be given under section 580.041, subdivision new text end
44.27
new text begin 1b, and that does not obscure or overshadow the content of the notice. The title of the new text end
44.28
new text begin notice must be in 20-point boldface type. The notice must be on its own page.new text end
44.29
new text begin Subd. 3.new text end new text begin Content of notice.new text end new text begin The notice required by this section must appear new text end
44.30
new text begin substantially as follows.new text end
44.31
new text begin "new text end new text begin Foreclosure: Advice to Tenantsnew text end
44.32
new text begin You are renting in a property that is in foreclosure. Minnesota law requires that we new text end
44.33
new text begin send you this notice about the foreclosure process. Please read it carefully.new text end
44.34
new text begin The mortgage foreclosure does not change the terms of your lease. You and new text end
44.35
new text begin your landlord must continue to follow the terms of your lease, including the rights new text end
45.1
new text begin and responsibilities of you and your landlord. You must keep paying rent unless you new text end
45.2
new text begin have a legal reason to withhold it. Your landlord must keep the property repaired. new text end
45.3
new text begin Utilities must be paid under the terms of your lease or under state law.new text end
45.4
new text begin Moving out of the property early might be a violation of your lease.new text end new text begin The date new text end
45.5
new text begin of the sheriff's foreclosure sale is in the attached foreclosure notice. In most cases you new text end
45.6
new text begin do not need to move from the property before the sheriff's foreclosure sale. Read your new text end
45.7
new text begin lease to see if it says anything about foreclosure and about the rights you may have if the new text end
45.8
new text begin property is in foreclosure. If you have a month-to-month lease, the foreclosure notice does new text end
45.9
new text begin not change the rules for ending your lease. You and your landlord must still give legal new text end
45.10
new text begin notice to end your lease.new text end
45.11
new text begin In most cases, your landlord has six months after the date of the sheriff's foreclosure new text end
45.12
new text begin sale to pay off the mortgage. This is called the "redemption period." Read the attached new text end
45.13
new text begin foreclosure notice to determine the length of the redemption period. You cannot be asked new text end
45.14
new text begin to move during the redemption period except for lease violations or if your lease expires new text end
45.15
new text begin during the redemption period. If your landlord stops the foreclosure, you may not have to new text end
45.16
new text begin move from the property. If your landlord does not stop the foreclosure, there will be a new new text end
45.17
new text begin owner of the property at the end of the redemption period.new text end
45.18
new text begin The new owner may have the legal right to ask you to move even if your lease is new text end
45.19
new text begin not over. But, the new owner must still give you a written notice stating that the new new text end
45.20
new text begin owner wants you to move.new text end
45.21
new text begin Do not wait to get information about foreclosure. Mortgage foreclosure is a new text end
45.22
new text begin complicated process. It is important you learn about your rights as a renter when there new text end
45.23
new text begin is a mortgage foreclosure. You may have fewer options if you wait too long. There new text end
45.24
new text begin are government agencies and nonprofit organizations that you may contact for helpful new text end
45.25
new text begin information about the foreclosure process. For the name and telephone number of an new text end
45.26
new text begin organization near you, please call the legal aid office or bar association office in your new text end
45.27
new text begin county. You also can find information on tenant rights at HOME Line at (866) 866-3546 new text end
45.28
new text begin and Law Help Minnesota at http://www.LawHelpMN.org. The state of Minnesota does new text end
45.29
new text begin not guarantee the advice of these agencies and organizations."new text end
45.30
new text begin Subd. 4.new text end new text begin Affidavit.new text end new text begin Any person may establish compliance with or inapplicability of new text end
45.31
new text begin this section by recording, with the county recorder or registrar of titles, an affidavit by new text end
45.32
new text begin a person having knowledge of the facts, stating that the notice required by this section new text end
45.33
new text begin has been delivered in compliance with this section. The affidavit and a certified copy new text end
45.34
new text begin of a recorded affidavit is prima facie evidence of the facts stated in the affidavit. The new text end
45.35
new text begin affidavit may be recorded regarding any foreclosure sale, including foreclosure sales new text end
46.1
new text begin that occurred prior to August 1, 2008, and may be recorded separately or as part of the new text end
46.2
new text begin record of a foreclosure.new text end
46.3
new text begin Subd. 5.new text end new text begin Validation of foreclosure sales; remedy for violation.new text end new text begin (a) No mortgage new text end
46.4
new text begin foreclosure sale under this chapter is invalid because of failure to comply with this section.new text end
46.5
new text begin (b) The remedy for a violation of this section is limited to actual damages caused by new text end
46.6
new text begin the violation, not to exceed $1,000, and is available only to the tenant of the mortgaged new text end
46.7
new text begin premises who occupied the mortgaged premises during the redemption period of the new text end
46.8
new text begin mortgagor. Any legal action brought to enforce the provisions of this section must be new text end
46.9
new text begin commenced by the last day of the redemption period of the mortgagor. A person is not new text end
46.10
new text begin liable in an action for a violation of this section if the person shows by a preponderance of new text end
46.11
new text begin the evidence that the violation was not intentional and resulted from a bona fide error and new text end
46.12
new text begin the person adopted and maintained reasonable procedures to avoid the error. A plaintiff new text end
46.13
new text begin does not have cause of action if the defendant has complied with section 580.03.new text end
46.14 Sec. 12. Minnesota Statutes 2006, section 580.06, is amended to read:
46.15
580.06 SALE, HOW AND BY WHOM MADE.
46.16 The sale shall be made by the sheriff or the sheriff's deputy at public vendue to the
46.17highest bidder, in the county in which the premises to be sold, or some part thereof, are
46.18situated, between 9:00 a.m. and the setting of the sun
new text begin 4:00 p.mnew text end .
46.19 Sec. 13. Minnesota Statutes 2006, section 580.07, is amended to read:
46.20
580.07 POSTPONEMENT.
46.21 The sale may be postponed, from time to time, by the party conducting the
46.22foreclosure, by inserting a notice of the postponement, as soon as practicable, in the
46.23newspaper in which the original advertisement was published, and continuing the
46.24publication until the time to which the sale is postponed, at the expense of the party
46.25requesting the postponement.
46.26 Sec. 14. Minnesota Statutes 2006, section 580.12, is amended to read:
46.27
580.12 CERTIFICATE OF SALE; RECORD; EFFECT.
46.28 When any sale of real property is made under a power of sale contained in any
46.29mortgage, the officer shall make and deliver to the purchaser a certificate, executed in the
46.30same manner as a conveyance, containing:
46.31 (1) a description of the mortgage;
46.32 (2) a description of the property sold;
47.1 (3) the price paid for each parcel sold;
47.2 (4) the time and place of the sale, and the name of the purchaser;
47.3
new text begin (5) the interest rate in effect on the date of the sheriff's sale;new text end and
47.4 (5)
new text begin (6)new text end the time allowed by law for redemption, provided that if the redemption
47.5period stated in the certificate is five weeks and a longer redemption period was stated in
47.6the published notice of foreclosure sale, a certified copy of the court order entered under
47.7section
582.032, authorizing reduction of the redemption period to five weeks, must be
47.8attached to the certificate.
47.9 A certificate which states a five-week redemption period must be recorded within
47.10ten days after the sale; any other certificate must be recorded within 20 days after the
47.11sale. When so recorded, upon expiration of the time for redemption, the certificate shall
47.12operate as a conveyance to the purchaser or the purchaser's assignee of all the right, title,
47.13and interest of the mortgagor in and to the premises named therein at the date of such
47.14mortgage, without any other conveyance. A certificate must not contain a time allowed
47.15for redemption that is less than the time specified by section
580.23,
582.032, or
582.32,
47.16whichever applies.
47.17 Sec. 15. Minnesota Statutes 2006, section 580.23, subdivision 1, is amended to read:
47.18 Subdivision 1.
Six-month redemption period. When lands have been sold in
47.19conformity with the preceding sections of this chapter, the mortgagor, the mortgagor's
47.20personal representatives or assigns, within six months after such sale, except as otherwise
47.21provided in subdivision 2 or section
582.032 or
582.32, may redeem such lands, as
47.22hereinafter provided, by paying the sum of money for which the same were sold, with
47.23interest from the time of sale at the rate provided to be paid on the mortgage debt
new text begin as stated new text end
47.24
new text begin in the certificate of salenew text end and, if no rate be provided in the mortgage note
new text begin certificate of new text end
47.25
new text begin salenew text end , at the rate of six percent per annum, together with any further sums which may be
47.26payable as provided in sections
582.03 and
582.031.
new text begin Delivery of funds and documents new text end
47.27
new text begin for redemption must be made at the normal place of business of the recipient, on days new text end
47.28
new text begin other than Sunday, Saturday, and legal holidays, between the hours of 9:00 a.m. and 4:00 new text end
47.29
new text begin p.m. Regardless of the length of the redemption period, the sheriff may accept a specific new text end
47.30
new text begin sum less than the full amount due for redemption by the mortgagor upon receipt by the new text end
47.31
new text begin sheriff, prior to expiration of the redemption period, of written confirmation from the new text end
47.32
new text begin holder of the sheriff's certificate or the attorney for the holder of the sheriff's certificate new text end
47.33
new text begin that the holder of the sheriff's certificate has agreed to accept a specific sum less than the new text end
47.34
new text begin full amount due for redemption.new text end
48.1 Sec. 16. Minnesota Statutes 2007 Supplement, section 580.24, is amended to read:
48.2
580.24 REDEMPTION BY CREDITOR.
48.3 (a) If no redemption is made by the mortgagor, the mortgagor's personal
48.4representatives or assigns, the most senior creditor having a legal or equitable lien upon
48.5the mortgaged premises, or some part of it, subsequent to the foreclosed mortgage, may
48.6redeem within seven days after the expiration of the redemption period determined under
48.7section
580.23 or
582.032, whichever is applicable; and each subsequent creditor having a
48.8lien may redeem, in the order of priority of their respective liens, within seven days after
48.9the time allowed the prior lienholder by paying the amount required under this section.
48.10However, no creditor is entitled to redeem unless, within
new text begin one week or more prior to the new text end
48.11
new text begin expiration ofnew text end the period allowed for redemption by the mortgagor, the creditor:
48.12 (1) records with each county recorder and registrar of titles where the foreclosed
48.13mortgage is recorded a notice of the creditor's intention to redeem;
48.14 (2) records in each office
new text begin with each county recorder and registrar of titlesnew text end where the
48.15notice
new text begin of the creditor's intention to redeemnew text end is recorded all documents necessary to create
48.16the lien on the mortgaged premises and to evidence the creditor's ownership of the lien
new text begin , new text end
48.17
new text begin including a copy of any money judgment necessary to create the liennew text end ; and
48.18 (3) after complying with clauses (1) and (2), delivers to the sheriff who conducted
48.19the foreclosure sale or the sheriff's successor in office a copy of each of the documents
48.20required to be recorded under clauses (1) and (2), with the office, date and time of filing
48.21for record stated on the first page of each document.
48.22 The sheriff shall maintain for public inspection all documents delivered to the sheriff
48.23and shall note the date of delivery on each document. The sheriff may charge a fee of
48.24$100 for the documents delivered to the sheriff relating to each lien. The sheriff shall
48.25maintain copies of documents delivered to the sheriff for a period of six months after the
48.26end of the mortgagor's redemption period.
48.27 (b) Saturdays, Sundays, legal holidays, and the first day following the expiration
48.28of the prior redemption period must be included in computing the seven-day redemption
48.29period. When the last day of the period falls on Saturday, Sunday, or a legal holiday,
48.30that day must be omitted from the computation. The order of redemption by judgment
48.31creditors subsequent to the foreclosed mortgage shall be determined by the order in which
48.32their judgments were entered as memorials on the certificate of title for the foreclosed
48.33premises or docketed in the office of the district court administrator if the property is not
48.34registered under chapter 508 or 508A, regardless of the homestead status of the property.
48.35All mechanic's lienholders who have coordinate liens shall have one combined seven-day
48.36period to redeem.
49.1 (c) The amount required to redeem from the holder of the sheriff's certificate of sale
49.2is the amount required under section
580.23. The amount required to redeem from a
49.3person holding a certificate of redemption is:
49.4 (1) the amount paid to redeem as shown on the certificate of redemption; plus
49.5 (2) interest on that amount to the date of redemption; plus
49.6 (3) the amount claimed due on the person's lien, as shown on the affidavit under
49.7section
580.25, clause (3).
49.8 The amount required to redeem may be paid to the holder of the sheriff's certificate
49.9of sale or the certificate of redemption, as the case may be, or to the sheriff for the holder.
49.10 Sec. 17. Minnesota Statutes 2006, section 580.25, is amended to read:
49.11
580.25 REDEMPTION, HOW MADE.
49.12 Redemption shall be made as provided in this section.
49.13 The person desiring to redeem shall pay the amount required by law for the
49.14redemption, and shall produce to the person or officer receiving the redemption payment:
49.15 (1) a copy of the docket of the judgment, or of the
new text begin recordednew text end deed or mortgage, or
49.16of the record or files evidencing any other lien under which the person claims a right to
49.17redeem, certified by the officer with custody of the docket, record, or files, or the original
49.18deed or mortgage with the certificate of record endorsed on it;
49.19 (2) a copy of any
new text begin recorded new text end assignment necessary to evidence the person's ownership
49.20of the lien, certified by the officer with custody of the assignment, or the original of each
49.21instrument of assignment with the certificate of record endorsed on it. If the redemption is
49.22under an assignment of a judgment, the assignment shall be filed in the court entering the
49.23judgment, as provided by law, and the person so redeeming shall produce a certified copy
49.24of it and of the record of its filing, and the copy of the docket shall show that the proper
49.25entry was made upon the docket. No further evidence of the assignment of the judgment is
49.26required unless the mortgaged premises or part of it is registered property, in which case
49.27the judgment and all assignments of the judgment must be entered as a memorial upon the
49.28certificate of title to the mortgaged premises and the original
new text begin a copy of thenew text end judgment and
49.29each assignment with the certificate of record endorsed on it, or a copy certified by the
49.30registrar of titles, must be produced; and
49.31 (3) an affidavit of the person or the person's agent, showing the amount then actually
49.32claimed due on the person's lien and required to be paid on the lien in order to redeem
49.33from the person.
new text begin Additional fees and charges may be claimed due only as provided in new text end
49.34
new text begin section 582.03.new text end
50.1 If redemption is made to the sheriff, the sheriff may charge a fee of $250 for issuing
50.2the certificate of redemption and any related service. No other fee may be charged by the
50.3sheriff for a redemption.
50.4 Within 24 hours after a redemption is made, the person redeeming shall cause the
50.5documents so required to be produced to be filed
new text begin recordednew text end with the county recorder, or
50.6registrar of titles, who may receive fees as prescribed in section
357.18 or
508.82. If the
50.7redemption is made at any place other than the county seat, it is sufficient forthwith to
50.8deposit the documents in the nearest post office, addressed to the recorder or registrar of
50.9titles, with the postage prepaid. A person recording documents produced for redemption
50.10shall, on the same day, deliver copies of the documents to the sheriff for public inspection.
50.11The sheriff may receive a fee of $20 for the documents delivered following a redemption.
50.12The sheriff shall note the date of delivery on the documents and shall maintain for public
50.13inspection all documents delivered to the sheriff for a period of six months after the end of
50.14the mortgagor's redemption period.
50.15 Sec. 18. Minnesota Statutes 2006, section 580.28, is amended to read:
50.16
580.28 ACTION TO SET ASIDE MORTGAGE; FORECLOSURE;
50.17
REDEMPTION.
50.18 When an action is brought wherein it is claimed that any mortgage as to the plaintiff
50.19or person for whose benefit the action is brought is fraudulent or void, or has been paid or
50.20discharged, in whole or in part
new text begin , or the relative priority or the validity of liens is disputednew text end ,
50.21if such mortgage has been foreclosed by advertisement, and the time for redemption
50.22from the foreclosure sale will expire before final judgment in such action, the plaintiff or
50.23beneficiary having the right to redeem, for the purpose of saving such right in case the
50.24action fails, may deposit with the sheriff before the time of redemption expires the amount
50.25for which the mortgaged premises were sold, with interest thereon to the time of deposit,
50.26together with a bond to the holder of the sheriff's certificate of sale, in an amount and with
50.27sureties to be approved by the sheriff, conditioned to pay all interest that may accrue or be
50.28allowed on such deposit if the action fail. The person shall, in writing, notify such sheriff
50.29that the person claims the mortgage to be fraudulent or void, or to have been paid or
50.30discharged, in whole or in part, as the case may be, and that such action is pending, and
50.31direct the sheriff to retain such money and bond until final judgment. In case such action
50.32fails, such deposit shall operate as a redemption of the premises from such foreclosure
50.33sale, and entitle the plaintiff to a certificate thereof. Such foreclosure, deposit, bond, and
50.34notice shall be brought to the attention of the court by supplemental complaint in the
50.35action, and the judgment shall determine the validity of the foreclosure sale, and the rights
51.1of the parties to the moneys and bond so deposited, which shall be paid and delivered by
51.2the sheriff as directed by such judgment upon delivery to the sheriff of a certified copy
51.3thereof. The remedy herein provided shall be in addition to other remedies now existing.
51.4 Sec. 19. Minnesota Statutes 2006, section 580.30, is amended to read:
51.5
580.30 MORTGAGES, WHEN REINSTATED.
51.6
new text begin Subdivision 1.new text end new text begin Reinstatement.new text end In any proceedings for the foreclosure of a real estate
51.7mortgage, whether by action or by advertisement, if at any time before the sale of the
51.8premises under such foreclosure the mortgagor, the owner, or any holder of any subsequent
51.9encumbrance or lien, or any one for them, shall pay or cause to be paid to the holder of the
51.10mortgage so being foreclosed, or to the attorney foreclosing the same, or to the sheriff of
51.11the county, the amount actually due thereon and constituting the default actually existing
51.12in the conditions of the mortgage at the time of the commencement of the foreclosure
51.13proceedings, including insurance, delinquent taxes, if any, upon the premises, interest to
51.14date of payment, cost of publication and services of process or notices, attorney's fees not
51.15exceeding $150 or one-half of the attorney's fees authorized by section
582.01, whichever
51.16is greater, together with other lawful disbursements necessarily incurred in connection
51.17with the proceedings by the party foreclosing, then, and in that event, the mortgage shall be
51.18fully reinstated and further proceedings in such foreclosure shall be thereupon abandoned.
51.19
new text begin Subd. 2.new text end new text begin Request by sheriff.new text end new text begin Upon written request by the sheriff, the holder of the new text end
51.20
new text begin mortgage or the holder's legal representative shall provide to the sheriff within seven days new text end
51.21
new text begin of the date of the request by the sheriff to the foreclosing attorney: (1) the current payoff new text end
51.22
new text begin amount, showing outstanding principal, interest, and a daily interest accrual amount, (2) new text end
51.23
new text begin an itemized schedule of the current amounts necessary to reinstate the mortgage, and (3) new text end
51.24
new text begin the identity of the person or entity with authority to act on behalf of the holder of the new text end
51.25
new text begin mortgage or the holder's legal representative. If the holder of the mortgage or the holder's new text end
51.26
new text begin legal representative fails to respond to the sheriff's request within seven days of the date new text end
51.27
new text begin of the request, the sheriff shall postpone the sheriff's sale and the sheriff shall announce new text end
51.28
new text begin at the sheriff's sale the postponement of the sale. The postponement does not need to be new text end
51.29
new text begin published. If the request by the sheriff is made seven days or less before the sheriff's sale, new text end
51.30
new text begin the holder of the mortgage or the holder's representative shall make a good faith effort to new text end
51.31
new text begin respond to the sheriff before the sheriff's sale, but the sheriff may conduct the sheriff's sale new text end
51.32
new text begin without a response from the holder of the mortgage or the holder's legal representative.new text end
51.33 Sec. 20. Minnesota Statutes 2006, section 581.10, is amended to read:
51.34
581.10 REDEMPTION BY MORTGAGOR, CREDITOR.
52.1 The mortgagor, or those claiming under the mortgagor, within the time specified in
52.2section
580.23 or
582.032, whichever applies, after the date of the order of confirmation,
52.3may redeem the premises sold, or any separate portion thereof, by paying the amount bid
52.4therefor, with interest thereon from the time of sale at the rate provided to be paid on the
52.5mortgage debt, not to exceed eight percent per annum, and, if no rate to be provided in the
52.6mortgage, at the rate of six percent
new text begin stated in the certificate of sale or, if no rate is provided new text end
52.7
new text begin in the certificate of sale, at the rate of six percent per annumnew text end , together with any further sum
52.8which may be payable pursuant to section
582.03 and
582.031. Creditors having a lien
52.9may redeem in the order and manner specified in section
580.24.
52.10 Sec. 21. Minnesota Statutes 2006, section 582.03, is amended to read:
52.11
582.03 PURCHASER MAY PAY TAXES AND OTHER EXPENSES DUE.
52.12
new text begin Subdivision 1.new text end new text begin Allowable costs collectable upon redemption.new text end The purchaser at
52.13any
new text begin holder of any sheriff's certificate of new text end sale, upon
new text begin from anew text end foreclosure
new text begin by advertisement new text end
52.14
new text begin or action new text end of
new text begin a new text end mortgage
new text begin or lien new text end or execution or at any judicial sale
new text begin , or the holder of new text end
52.15
new text begin any certificate of redemption as a junior creditornew text end during the period of redemption, may
52.16pay
new text begin and claim the following on redemption: new text end any taxes or assessments on which any
52.17penalty would otherwise accrue, and may pay the premium upon any policy of insurance
52.18procured in renewal of any expiring policy upon
new text begin any costs of a hazard insurance policy new text end
52.19
new text begin for the holder's interest in thenew text end mortgaged premises
new text begin incurred for the period of holding the new text end
52.20
new text begin sheriff's certificatenew text end ,
new text begin any costs incurred when an order to reduce a mortgagor's redemption new text end
52.21
new text begin period under section 582.032 is entered, any fees paid to the county recorder, registrar new text end
52.22
new text begin of titles, or sheriff to obtain or record the certificates of sale or redemption or notices of new text end
52.23
new text begin intention to redeem, any reasonable fees paid to licensed real estate brokers for broker new text end
52.24
new text begin price opinions or to licensed appraisers for appraisals, any deed tax paid to file a certificate new text end
52.25
new text begin of redemption, reasonable attorney fees incurred after the foreclosure sale not to exceed new text end
52.26
new text begin one-half of the amount authorized by section 582.01, new text end may pay any costs incurred under
52.27section
582.031, and may, in case any interest or installment of principal upon any prior or
52.28superior mortgage, lien, or contract for deed is in default or shall become
new text begin that becomesnew text end
52.29due during the period of redemption, pay the same, and,
new text begin .new text end In all such cases, the sum
new text begin costsnew text end
52.30so paid
new text begin and claimed duenew text end , with interest, shall be a part of the sum required to be paid to
52.31redeem from such sale.
new text begin No other costs, fees, interest, or other amount may be added to new text end
52.32
new text begin the amount necessary to redeem.new text end
52.33
new text begin Subd. 2.new text end new text begin Affidavit of allowable costs.new text end Such
new text begin Anynew text end payments
new text begin made and claimed due new text end
52.34
new text begin under subdivision 1 new text end shall be proved by the affidavit of the purchaser or the purchaser's
new text begin new text end
52.35
new text begin holder of the sheriff's certificate or itsnew text end agent or attorney, stating the items
new text begin itemizing each new text end
53.1
new text begin of the allowable costsnew text end and describing the premises, which must be filed for record with
53.2the county recorder or registrar of titles, and a copy thereof shall be furnished to the
53.3sheriff at least ten days before the expiration of the period of redemption.
new text begin The affidavit new text end
53.4
new text begin must be filed with the sheriff of the county in which the sale was held at any time prior to new text end
53.5
new text begin expiration of the mortgagor's redemption period. Upon written request by the sheriff, the new text end
53.6
new text begin holder of the sheriff's certificate or certificate of redemption shall provide an affidavit of new text end
53.7
new text begin allowable costs to the sheriff within seven days of the date of the request by the sheriff. If new text end
53.8
new text begin the mortgagor does not redeem within seven days after the affidavit is filed, the holder of new text end
53.9
new text begin the sheriff's certificate may file a supplemental affidavit if additional allowable costs are new text end
53.10
new text begin incurred during the redemption period. If the holder of the sheriff's certificate or certificate new text end
53.11
new text begin of redemption fails to respond to the sheriff's request within seven days, the sheriff may new text end
53.12
new text begin calculate a redemption amount pursuant to section 580.23, subdivision 1, and issue a new text end
53.13
new text begin certificate of redemption for that amount. If the time allowed to redeem is less than seven new text end
53.14
new text begin days from the expiration of the redemption period, the sheriff shall make a reasonable new text end
53.15
new text begin effort to request the affidavit of allowable costs in writing from the holder of the sheriff's new text end
53.16
new text begin certificate, its agent, or attorney before issuing a certificate of redemption. If the affidavit new text end
53.17
new text begin of allowable costs is not provided more than one business day before the expiration of new text end
53.18
new text begin the redemption period, at any time one business day or less before the expiration of the new text end
53.19
new text begin redemption period, the sheriff may calculate a redemption amount pursuant to section new text end
53.20
new text begin 580.23, subdivision 1, and issue a certificate of redemption for that amount. The amount new text end
53.21
new text begin calculated by the sheriff, absent malfeasance by the sheriff, binds the holder of the sheriff's new text end
53.22
new text begin certificate even if the amount calculated by the sheriff is less than the actual amount due.new text end
53.23
new text begin Subd. 3.new text end new text begin Penalty for excessive costs.new text end new text begin At any time within one year after the new text end
53.24
new text begin expiration of the mortgagor's redemption period, the redeeming party, heirs, or assigns new text end
53.25
new text begin may recover from the holder of the sheriff's certificate three times the amount of any sums new text end
53.26
new text begin declared as costs or disbursements on the affidavit of allowable costs but not actually paid new text end
53.27
new text begin by the holder, or three times the amount of any sums determined to exceed a reasonable new text end
53.28
new text begin cost for the declared item where the excess has been retained by the lender, unless the new text end
53.29
new text begin disputed amounts are paid to the redeeming party, heirs, or assigns prior to entry of new text end
53.30
new text begin judgment.new text end
53.31 Sec. 22. Minnesota Statutes 2006, section 582.031, is amended to read:
53.32
582.031 LIMITED RIGHT OF ENTRY.
53.33 Subdivision 1.
Right of entry. If premises described in a mortgage or sheriff's
53.34certificate are vacant or unoccupied, the holder of the mortgage or sheriff's certificate or the
53.35holder's agents and contractors may, but is under no obligation to, enter upon the premises
54.1to protect the premises from waste, until the holder of the mortgage or sheriff's certificate
54.2receives notice that the premises are occupied. The holder of the mortgage or sheriff's
54.3certificate does not become a mortgagee in possession by taking actions authorized under
54.4this section. An affidavit of the sheriff, the holder of the mortgage or sheriff's certificate, or
54.5a person acting on behalf of the holder, describing the premises and stating that the same
54.6are vacant or unoccupied, is prima facie evidence of the facts stated in the affidavit and is
54.7entitled to be recorded in the office of the county recorder or the registrar of titles in the
54.8county where the premises are located, if it contains a legal description of the premises.
54.9 Subd. 2.
Authorized actions. The holder of the mortgage or sheriff's certificate
54.10may take the following actions to protect the premises from waste:
new text begin or from falling below new text end
54.11
new text begin minimum community standards for public safety and sanitation: make reasonable periodic new text end
54.12
new text begin inspections,new text end install or change locks on doors and windows, board windows, install an
54.13alarm system, provide a resident caretaker, and otherwise prevent or minimize damage
54.14to the premises from the elements, vandalism, trespass, or other illegal activities. If the
54.15holder of the mortgage or sheriff's certificate installs or changes locks under this section, a
54.16key to the premises must be promptly delivered to the mortgagor or any person lawfully
54.17claiming through the mortgagor, upon request.
54.18 Subd. 3.
Costs. All costs incurred by the holder of the mortgage to protect the
54.19premises from waste
new text begin or from falling below minimum community standards for public new text end
54.20
new text begin safety and sanitation new text end may be added to the principal balance of the mortgage. The costs
54.21may bear interest to the extent provided in the mortgage and may be added to the
54.22redemption price if the costs are incurred after a foreclosure sale. If the costs are incurred
54.23after a foreclosure sale, the purchaser at the foreclosure sale
new text begin holder of any sheriff's new text end
54.24
new text begin certificate of sale or certificate of redemptionnew text end must comply with the provisions of section
54.25582.03
. The provisions of this section are in addition to, and do not limit or replace, any
54.26other rights or remedies available to holders of mortgages and sheriff's certificates, at law
54.27or under the applicable mortgage agreements.
54.28 Sec. 23. Laws 2004, chapter 263, section 26, is amended to read:
54.29 Sec. 26.
EFFECTIVE DATE; EXPIRATION.
54.30 Sections 1 to 18, 22, 23, and 25 are effective August 1, 2004, and expire December
54.3131, 2009. Sections 19, 20, 21, and 24 are effective July 1, 2004.
