Bill Text: NJ S241 | 2018-2019 | Regular Session | Amended
Bill Title: Requires limited liability company to disclose ownership information when submitting deed for recording.
Spectrum: Slight Partisan Bill (Democrat 3-1)
Status: (Introduced - Dead) 2020-01-09 - Senate Amendment (36-0) (Thompson) [S241 Detail]
Download: New_Jersey-2018-S241-Amended.html
SENATE, No. 241
STATE OF NEW JERSEY
218th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2018 SESSION
Sponsored by:
Senator SAMUEL D. THOMPSON
District 12 (Burlington, Middlesex, Monmouth and Ocean)
Senator BRIAN P. STACK
District 33 (Hudson)
Co-Sponsored by:
Senators Cruz-Perez and Gill
SYNOPSIS
Requires limited liability company to disclose ownership information when submitting deed for recording.
CURRENT VERSION OF TEXT
As amended by the Senate on January 9, 2020.
An Act enhancing transparency of certain real estate transfers, amending P.L.1968, c.49, and supplementing P.L.2012, c.50 (C.42:2C-1 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 2 of P.L.1968, c.49 (C.46:15-6) is amended to read as follows:
2. In addition to other prerequisites for recording, no deed evidencing transfer of title to real property shall be recorded in the office of any county recording officer unless it satisfies the following requirements:
a. If the transfer is subject to any fee established under section 3 of P.L.1968, c.49 (C.46:15-7) or section 2 of P.L.2003, c.113 (C.46:15-7.1), a statement of the true consideration for the transfer shall be contained in the deed, the acknowledgment, the proof of the execution, or an appended affidavit by one of the parties to the deed or that party's legal representative.
b. If the transfer is exempt from any fee established under section 3 of P.L.1968, c.49 (C.46:15-7) or section 2 of P.L.2003, c.113 (C.46:15-7.1), an affidavit stating the basis for the exemption shall be appended to the deed.
c. If the transfer is of real property upon which there is new construction, the words "NEW CONSTRUCTION" in upper case lettering shall be printed clearly at the top of the first page of the deed, and an affidavit by the grantor stating that the transfer is of property upon which there is new construction shall be appended to the deed.
d. If the transfer is of residential real property 1intended for rental purposes1 containing one 1[to four] or two1 dwelling units to 1[or from]1 a limited liability company or foreign limited liability company, an affidavit identifying 1[the members, managers, and other authorized persons] the registered agent1 of the company, as required pursuant to section 2 or section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill), shall be appended to the deed. 1If the registered agent is not a member of the company, an affidavit identifying at least one member of the company shall be appended to the deed.1
(cf: P.L.2004, c.66, s.2)
2. (New section) When a limited liability company is the 1[grantor or]1 grantee of a deed for residential real property 1intended for rental purposes1 containing one 1[to four] or two1 dwelling units, together with the deed, the company shall submit for recording an affidavit disclosing the 1[names] name1 and business 1[addresses] address1 of 1[all members, managers, and any other authorized persons, if any,] the registered agent for service of process1 of the limited liability company 1[or, if none, the names and business addresses of all shareholders, directors, officers, members, managers, and partners of any limited liability company or other business entity that are to be the members, managers, or authorized persons, if any, of such limited liability company] designated pursuant to section 14 of P.L.2012, c.50 (C.42:2C-14)1. If 1[any member, manager, or authorized person of the limited liability company is itself a limited liability company or other business entity, the affidavit shall disclose the names and addresses of the shareholders, directors, officers, members, managers, and partners of the limited liability company or other business entity until full disclosure of ultimate ownership by natural persons is achieved] the registered agent is not a member of the company, the company shall append to the deed an affidavit identifying at least one member of the company1 .
3. (New section) When a foreign limited liability company is the 1[grantor or]1 grantee of a deed for residential real property 1intended for rental purposes1 containing one 1[to four] or two1 dwelling units, together with the deed, the company shall submit for recording, an affidavit disclosing the 1[names] name1 and business 1[addresses] address1 of 1[all members, managers, and any other authorized persons, if any,] the registered agent for service of process1 of the foreign limited liability company 1[or, if none, the names and business addresses of all shareholders, directors, officers, members, managers, and partners of any foreign limited liability company or other business entity that are to be the members, managers, or authorized persons, if any, of that foreign limited liability company] designated pursuant to section 14 of P.L.2012, c.50 (C.42:2C-14)1. If 1[any member, manager, or authorized person of the foreign limited liability company is itself a foreign limited liability company or other business entity, the affidavit shall disclose the names and addresses of the shareholders, directors, officers, members, managers, and partners of the foreign limited liability company or other business entity until full disclosure of ultimate ownership by natural persons is achieved] the registered agent is not a member of the company, the company shall append to the deed an affidavit identifying at least one member of the company1.
4. This act shall take effect immediately.
