Bill > SB576

This bill creates the Unfair Real Estate Service Agreement Act, which prohibits certain terms in real estate service agreements that are effective for more than one year. Key provisions include: 1) Prohibiting real estate service agreements from running with the land, allowing the service provider to assign or transfer services without notice and agreement, or purporting to create a lien or security interest on the property. 2) Declaring such prohibited service agreements as void and unenforceable, and prohibiting service providers from recording them. 3) Allowing parties with an interest in the property to seek a court determination that the agreement is void and unenforceable, and recover damages, costs, and attorney's fees from the service provider. 4) Adding violations of the Act to the list of prohibited practices under the Virginia Consumer Protection Act, subjecting violators to enforcement and penalties under that law. The bill generally applies to service agreements executed or renewed on or after July 1, 2024, with an exception for the provision on prohibiting assignment of existing agreements.

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https://lis.virginia.gov/cgi-bin/legp604.exe?241+sum+SB576