Bill > HB0986

This bill proposes significant changes to property law in Tennessee by addressing certain complex property ownership arrangements known as "fee simple" estates. Specifically, the bill abolishes and invalidates reverter or forfeiture provisions in property deeds, wills, or other documents that were executed more than 75 years ago, effectively eliminating long-standing conditional property ownership structures. For deeds created within the past 75 years, the bill mandates that these conditional ownership provisions will automatically terminate 75 years from the date of conveyance, with property owners having the option to preserve their original rights by filing a sworn statement in the county register of deeds office by July 1, 2026. Any reverter or forfeiture provisions in property documents executed on or after July 1, 2025, will be considered invalid and unenforceable. The ultimate result of these changes is that property titles will be converted to "fee simple absolute," which means full and unconditional ownership without any previous restrictions or conditions. This approach aims to simplify property ownership, remove outdated legal constraints, and provide more certainty for property owners by eliminating complex historical property transfer conditions. The bill will take effect on July 1, 2025.

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https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=HB0986&ga=114