THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

INTRODUCED BY FARNESE, BROWNE, FONTANA, COSTA, RAFFERTY, ERICKSON, FOLMER, BREWSTER, HUGHES, WOZNIAK AND FERLO, JUNE 30, 2011

REFERRED TO CONSUMER PROTECTION AND PROFESSIONAL LICENSURE, JUNE 30, 2011  

AN ACT

Amending Title 68 (Real and Personal Property) of the

Pennsylvania Consolidated Statutes, in seller disclosures,

providing for notice of title insurance, legal representation

and liens.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Title 68 of the Pennsylvania Consolidated

Statutes is amended by adding a section to read:

§ 7304.1.  Notice of title insurance, legal representation and

liens.

(a)  General rule.--A form of notice of title insurance,

legal representation and liens that satisfies the requirements

of this chapter shall be promulgated by the commission. This

notice form shall be used in all residential real estate

transfers as provided in section 7302(a) (relating to

application of chapter).

(b)  Use of form.--At the time an agreement of transfer is

entered by the buyer and seller under this chapter, the buyer

shall be provided with a notice of title insurance, legal

representation and liens. The notice shall be signed and dated

by the buyer and notarized.

(c)  Contents of notice.--The notice shall include, at a

minimum, the following:

(1)  An explanation in plain language of the risk of

purchasing real estate without title insurance or legal

representation, including the risks of fraud and assumption

of liens, judgments and other debts of prior owners.

(2)  Information on the availability of legal services.

(3)  Information on the proper State agency where

consumer-related questions concerning title insurance and

fraudulent conveyance may be directed.

(d)  Delivery of form.--Copies of the executed and notarized

form shall be delivered to the seller and the buyer or the

buyer's agent within five days of execution and prior to final

settlement of a residential real estate transfer.

(e)  Filing form with recorder of deeds.--The original notice

of title insurance, legal representation and liens executed by

the buyer shall be presented with the deed and any

acknowledgment filed with the recorder of deeds, registered and

recorded pursuant to applicable law.

(f)  Notice provided by recorder of deeds.--

(1)  If, prior to the time of filing a deed, the grantee

has not been provided with a notice as otherwise provided

under this section to file pursuant to subsection (e), the

recorder of deeds shall provide a notice to the grantee that

contains the information required by subsection (c). This

notice shall be signed and dated by the grantee or the person

filing the deed and filed with the recorder of deeds,

registered and recorded pursuant to applicable law.

(2)  Within 30 days of the recording of any deed, the

office shall notify, by first class mail, the prior recorded

owner of the real estate identified in the deed, and the

occupant at the address of the real estate identified in the

deed if that address is different from the record owner's

address, that the deed has been recorded.

Section 2.  This act shall take effect in 60 days.