You are viewing a read-only archive of the Blogs.Harvard network. Learn more.


More states prohibit transfer fee covenants

September 14th, 2011 by Joseph William Singer

Idaho, Indiana, Mississippi and Montana have all passed statutes prohibiting enforcement of any transfer fee covenants entered into after the dates the legislation goes into effect. See 2011 Idaho Sess. Laws 107; 2011 Ind. Acts 136; 2010 Miss. Gen. Laws 348; 2011 Mont. Laws 259. Transfer fee covenants are promises inserted in deeds to pay a fee to the original seller of the property any time it is sold in the future. Such fees were abolished in New York State in 1852 in the case of DePeyster v. Michael, 6 N.Y. 467 (1852) as a vestige of feudalism.

Posted in Consumer protection, Real estate transactions, Restraints on alienation, Servitudes, Title issues | Comments Off on More states prohibit transfer fee covenants

Comments are closed.