Moratorium on Evictions: Virginia Order and Federal CARES Act
On June 8, 2020, the Virginia Supreme Court issued an Order which creates a moratorium on evictions in the state through June 28, 2020. The June 8 Order is an amendment to the previously entered June 1 Fifth Order, which did not address evictions in its extension of several operational guidelines related to COVID-19 protections. The decision to cease evicting tenants was based on a request from Governor Northam while his team creates and implements a rent relief program and a plan to minimize the public health risks that come with evicting residents. Virginia landlords should avoid pursuing an order of
Buying a Pig in a Poke
In a recent Tennessee Court of Appeals case, the primary dispute was whether a real estate agent had properly advised a seller to disclose that a home had a log construction. In Oliver v. Pulse, the sellers sold their home which was constructed of logs. The sellers renovated the home and had covered the exterior with vinyl siding and the interior with sheetrock. The sellers informed the listing agent of the renovations, but did not disclose those facts on the residential property disclosure. The buyers did not have a home inspection completed before the purchase. The first lawsuit arose when a
Understanding the Basics of a Deed of Trust (or Mortgage)
Two-thirds of Americans own their homes. A large portion, however, don’t own them outright. Instead, they own them subject to a deed of trust, or mortgage. This article uses the term “deed of trust” generically, to include both a deed of trust and a mortgage. The two perform similar functions, but are structured differently. Under a deed of trust, the homeowner conveys the property to a neutral third party, the trustee, on the condition that the trustee re-convey it once the loan obligation, called a promissory note, is satisfied. A mortgage does not involve a third-party trustee. Most states, including Tennessee and
Tennessee Legislature Passes Online Notary Public Act
On April 18, 2018, the Tennessee legislature passed a bill authorizing electronic acknowledgments and online notarizations for certain transactions. This so-called web cam notarization is currently only available in four states. Tennessee will join those stated on July 1, 2019 when the legislation becomes effective. There are a number of other states with pending bills similar to Tennessee’s Online Notary Public Act (“Act”). Under current law in Tennessee, a person must physically appear before a notary to have his or her signature notarized. After the Online Notary Public Act takes effect, a person may “appear” by an interactive two-way audio and
“I Want to Enlighten You a Leetle”
The title to this article is the opening sentence in a letter Mark Twain wrote to the Keokuk Post in 1856 under the pseudonym Thomas Jefferson Snodgrass. Twain, in that same letter, described a scene in a Shakespeare play by writing “[t]hey all laid their heads together like as many lawyers when they are gettin' ready to prove that a man's heirs ain't got any right to his property.” Popular culture abounds with lawyer jokes – some of them good. But good lawyers, contradictory to popular belief, are worth their cost. A recent Tennessee Court of Appeals case illustrates just
Determining the Implications of “As-Is” in Real Property Contracts
It is common to see items such as cars and trucks, and even real estate, advertised with the words “As-Is” in the listing. And it is not uncommon for the contracts that memorialize the agreements for the sale and purchase of these items to also include “As-Is” language. Generally, “As-Is” means that the buyer of real property is purchasing the property “as it is in its present state or condition.” Jaffe v. Bolton, 817 S.W.2d 19, 25 (Tenn. Ct. App. 1991). This implies the property is taken with whatever faults it may possess and that the seller is released from any
Real Estate Transfers
Whether directly or indirectly, almost everyone has experience with the transfer of rights in real property. There are some important things to know about conveying (transferring) rights in real property. Using the term “rights in real property” is intentional and an important distinction to make at the beginning. One does not own real property; one owns rights in real property. For example, one may own the present possessory interest in a house for his or her lifetime while another owns the future possessory interest, which is called a life estate. One may have a right to cross another’s property to
Tennessee’s Drone Privacy Statute
The Tennessee legislature has adopted privacy statutes that make it a crime to use an “unmanned aircraft to capture an image of an individual or privately owned real property with the intent to conduct surveillance on the individual or property captured in the image.” Tennessee Code Annotated § 39-13-903. There are exceptions if the drone user has the individual or real property owner's consent or the drone user is a Tennessee licensed real estate broker as long as the use is "in connection with the marketing, sale, or financing of real property, provided that no individual is identifiable in the
Proposed Legislation: Tennessee Homeowners Association Act
Tennessee Senate Bill 0405/House Bill 610 As introduced, enacts the “Tennessee Homeowners Association Act.” – Amends TCA Title 66. Many developers like to plan their developments as Planned Unit Developments, or PUDs. The exact definition of a PUD can vary according to local code, but here in eastern Tennessee they are generally single-family detached residential developments in which the real estate is commonly owned and much or all of the infrastructure is privately maintained through a homeowners’ association (HOA) with dues rather than by the local government. Many local codes require that an HOA be incorporated, with article of incorporation recorded with