Tenn. Code § 62-13-501

Current through Acts 2023-2024, ch. 1069

Section 62-13-501 - Part definitions - Form of notice

As used in this part, unless the context otherwise requires:

(1) "Broker" has the same meaning as used in § 62-13-102;

(2)

(A) "Commercial real estate" means any real estate other than:

(i) Real estate containing one (1) to four (4) residential units; or

(ii) Real estate on which no buildings or structures are located and is zoned for no more than one (1) to four (4) family residential units;

(B) "Commercial real estate" does not include single family residential units such as condominiums, town houses or homes in a subdivision when sold, leased or otherwise conveyed on a unit-by-unit basis even though these units may be a part of a larger building or parcel of real estate containing more than four (4) residential units;

(3) "Notice" means a notice specifically referencing an agreement entered into after October 1, 1997, to pay commissions in any brokerage contract or lease or memorandum of the foregoing, sworn to and executed by the broker, identifying the subject real estate by lot and block number or by a metes and bounds description and in the form of notice set out in this subdivision (3) and containing only the information provided for in the form, recorded as provided for in § 62-13-503(e), in the office of the register of deeds of the county in which the property is located, no less than ten (10) business days before the transfer of the commercial real estate that is the subject of the agreement. The form of the notice to be recorded shall be:

NOTICE OF AGREEMENT TO PAY LEASING COMMISSION

THIS NOTICE is made as of this ____________________ day of ____________________, ____________________, in accordance with the provisions of T.C.A. Section 62-13-501. The undersigned [Name of Broker][address] makes claim to fees or commissions with respect to the following real property located in the State of Tennessee [property must be identified below by County and City (if any) and by either lot and block or subdivision number, or metes and bounds description].

County: ______________

City: ______________

Lot And Block No. or Subdivision/Development Name: ______________

______________

Property (Metes and Bounds) Description (either fill in here or attach Exhibit):

______________

______________

______________

______________

______________

______________

[The Broker], is entitled to be paid certain leasing fees or commissions as a result of securing a tenant for the real property from the above-described real property pursuant to one or more provisions of the following written instrument (the "Instrument"):

Name/Title of Instrument: ______________

Date of Instrument: ______________

Name of Parties to Instrument: ______________

______________

______________

The Owner of the Property Is: ______________

[NOTE: Any party seeking details or any other information regarding the Instrument shall rely only on the Instrument. Without the express written consent of all parties to the Instrument, neither the Instrument nor any other information regarding the Instrument shall be included in this Notice.]

THIS NOTICE made for the purpose set out above to be effective as of the day and date first above written.

STATE OF ______________

COUNTY OF ____________________

The Undersigned Broker, being first duly sworn, hereby certifies that the foregoing Notice of Agreement to Pay Leasing Commission is true and correct, and that the agreement to pay leasing fees or commissions remains in force and has not been terminated.

This the ____________________ day of ____________________, ____________________

BROKER:

____________________

By:

____________________

Print Name:

____________________

Title:

____________________

[NOTE: Insert the appropriate acknowledgment form as required by law and have the broker's signature properly acknowledged.];

(4) "Owner" means the person or persons to whom the fee interest of real estate is titled and does not include a lessee or renter;

(5) "Real estate" means and includes leaseholds, as well as any other interest or estate in land, whether corporeal, incorporeal, freehold or nonfreehold, situated in this state; and

(6) "Subsequent owner" means a transferee or purchaser of commercial real estate from the owner or from a previous subsequent owner, but will not include the transferee or purchaser of commercial real estate pursuant to a sale conducted pursuant to title 67, chapter 5, part 25.

T.C.A. § 62-13-501

Amended by 2014 Tenn. Acts, ch. 533, Secs.s 1, s 2 eff. 3/12/2014.

Acts 1997 , ch. 389, § 1.