Minnesota Session Laws - 1991, Regular Session

  

                         Laws of Minnesota 1991 

                        CHAPTER 113-H.F.No. 146 
           An act relating to commerce; regulating real estate 
          closings; prohibiting persons from requiring the use 
          of particular closing agents; authorizing the 
          commissioner to adopt rules; amending Minnesota 
          Statutes 1990, section 507.45, subdivision 4. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1990, section 507.45, 
subdivision 4, is amended to read: 
    Subd. 4.  (a) No real estate salesperson, broker, attorney, 
auctioneer, builder, title company, financial institution, or 
other person making a mortgage loan may require a borrower 
person to use any particular licensed attorney, real estate 
broker, real estate salesperson, or real estate closing agent in 
connection with a residential real estate closing. 
    (b) All listing agreements must include a notice informing 
sellers of their rights under this subdivision.  The notice must 
require the seller to indicate in writing whether it is 
acceptable to the seller to have the licensee arrange for 
closing services or whether the seller wishes to arrange for 
others to conduct the closing.  The notice must also include the 
disclosure of any controlled business arrangement, as the term 
is defined in United States Code, title 12, section 1602, 
between the licensee and the real estate closing agent through 
which the licensee proposes to arrange closing services. 
    (c) The commissioner of commerce may adopt rules under 
chapter 14 to implement, administer, and enforce this 
subdivision. 
    Presented to the governor May 16, 1991 
    Signed by the governor May 19, 1991, 7:16 p.m.