An act relating to the Prohibition of Unfair Service Agreements Act, the official text

1                   STATE OF OKLAHOMA

2            1st Session of the 60th Legislature (2025)

3 HOUSE BILL 1177               By: Stark

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6                   AS INTRODUCED

7          An Act relating to the Prohibition of Unfair Service

           Agreements Act; amending Section 5, Chapter 148,

8          O.S.L. 2024 (16 O.S. Supp. 2024, Section 305), which

           relates to prohibited recording of unfair service

9          agreements; providing that a recorded unfair service

           agreement or notice or memorandum shall not provide

10         actual or constructive notice against a residential

           real estate owner or title company; providing if an

11         unfair service agreement or notice or memorandum is

           recorded it is void; and providing an effective date.

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14 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:

15  SECTION 1.      AMENDATORY  Section 5, Chapter 148, O.S.L.

16 2024 (16 O.S. Supp. 2024, Section 305), is amended to read as

17 follows:

18  Section 305. 1. Recording an unfair service agreement is

19 prohibited. No person shall record or cause to be recorded an

20 unfair service agreement or notice or memorandum thereof in this

21 state;

22  2. A county clerk's office shall refuse to accept for

23 recordation an unfair service agreement or notice or memorandum;

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    Req. No. 10601                                                Page 1
1   3. In the event that a county clerk does accidentally record an

2 unfair service agreement or notice or memorandum, the county clerk

3 shall incur no liability for doing so; and

4   4. If an unfair service agreement or notice or memorandum is

5 recorded in this state, it shall not provide actual or constructive

6 notice against an otherwise bona fide purchaser or, creditor, or

7 title company; and

8   5. If an unfair service agreement or notice or memorandum is

9 recorded in this state it shall be considered void.

10  SECTION 2. This act shall become effective November 1, 2025.

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12  60-1-10601        JL  01/08/25

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    Req. No. 10601                                     Page 2