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Bill > SF1253


MN SF1253

Common interest communities prohibition from charging fees for estoppel letters or certificates


summary

Introduced
02/10/2025
In Committee
02/10/2025
Crossed Over
Passed
Dead

Introduced Session

94th Legislature 2025-2026

Bill Summary

A bill for an act relating to real property; prohibiting common interest communities from charging fees for estoppel letters or certificates; amending Minnesota Statutes 2024, section 513.73, subdivision 3; proposing coding for new law in Minnesota Statutes, chapter 515B.

AI Summary

This bill modifies Minnesota law to prohibit homeowner associations, condominium associations, cooperative associations, and property owner associations from charging fees for estoppel letters or certificates. An estoppel letter is a document that provides information about a property's current status, including any outstanding dues, fees, or violations. The bill amends existing statutes to remove language that previously allowed associations to charge fees for these documents, and explicitly states that any fees charged for preparing or delivering estoppel letters are now void. Specifically, the bill makes two key changes: first, it eliminates the provision in the definition of "private transfer fee" that previously allowed associations to charge fees for estoppel letters, and second, it adds a new section to state law that categorically prohibits associations or their agents from charging any fee for preparing or delivering these documents. The purpose of this legislation appears to be reducing financial burdens on property owners during real estate transactions by eliminating what some may have seen as unnecessary administrative charges.

Committee Categories

Justice

Sponsors (3)

Last Action

Referred to Judiciary and Public Safety (on 02/10/2025)

bill text


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