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Overcriminalization

"Overcriminalization" describes the trends in America - and particulary in Congress - to use the criminal law to "solve" every problem, punish every mistake (instead of making proper use of civil penalties), and coerce Americans into conforming their behavior to satisfy social engineering objectives.

HR 6260: A bill to amend the Real Estate Settlement Procedures Act of 1974 to prohibit certain transfer fees and covenants in connection with the sale of real property.

Official Title

To amend the Real Estate Settlement Procedures Act of 1974 to prohibit certain transfer fees and covenants in connection with the sale of real property

Analysis

This bill would amend the Real Estate Settlement Procedures Act of 1974 (RESPA) to prohibit, subject to certain specified exclusions, any person from demanding or accepting a transfer fee pursuant to a covenant recorded in any state if the transfer involves a federally-related mortgage loan. A transfer fee covenant would be defined as a contractual provision involving the transfer of real property that runs with the land and obligates the transferor or transferee of some or all of the property to pay a fee to a third party on that transfer. The violation of this prohibition would be subject to imprisonment for up to 1 year, a fine of up to $10,000, or both.

Legislation Details
SPONSOR

Waters (D - CA)

STATUS:

09/29/2010: Referred to House Financial Services Committee
09/29/2010: Introduced in House