TITLE 55

PROPERTY IN GENERAL

CHAPTER 31

PROHIBITION OF TRANSFER FEE COVENANTS

55-3101.  legislative findings. (1) The public policy of this state favors the transferability of interests in real property free from unreasonable restraints on alienation and covenants or servitudes that do not touch and concern the property.

(2)  A transfer fee covenant violates the public policy of this state by impairing the marketability of title to the affected real property and constitutes an unreasonable restraint on alienation, regardless of the duration of the covenant or the amount of the transfer fee set forth in the covenant.

History:

[55-3101, added 2011, ch. 107, sec. 1, p. 273.]