Florida Senate - 2014 CS for SB 1556 By the Committee on Commerce and Tourism; and Senator Simpson 577-02738-14 20141556c1 1 A bill to be entitled 2 An act relating to subsurface rights; creating s. 3 689.29, F.S.; requiring a seller to provide a 4 prospective purchaser with a subsurface rights 5 disclosure summary; providing the form for the 6 disclosure summary; requiring the disclosure summary 7 to be included in, or incorporated by reference in, 8 the contract for sale; defining the term “subsurface 9 rights”; defining the term “seller”; providing an 10 effective date. 11 12 Be It Enacted by the Legislature of the State of Florida: 13 14 Section 1. Section 689.29, Florida Statutes, is created to 15 read: 16 689.29 Disclosure of subsurface rights to prospective 17 purchaser.— 18 (1) The seller must provide a prospective purchaser of 19 residential property with a disclosure summary at or before the 20 execution of the contract for sale if a subsurface right or the 21 right of entry was severed or retained by the seller or an 22 affiliated or related entity, or will be severed or retained by 23 the seller or an affiliated or related entity. The disclosure 24 summary must be conspicuous, in boldfaced type, and in a form 25 substantially similar to the following: 26 27 SUBSURFACE RIGHTS 28 DISCLOSURE SUMMARY 29 30 SUBSURFACE RIGHTS HAVE BEEN OR WILL BE SEVERED FROM THE TITLE TO 31 REAL PROPERTY BY CONVEYANCE (DEED) OF THE SUBSURFACE RIGHTS FROM 32 THE SELLER OR BY RESERVATION OF THE SUBSURFACE RIGHTS BY THE 33 SELLER OR AN AFFILIATED OR RELATED ENTITY. WHEN SUBSURFACE 34 RIGHTS ARE SEVERED FROM THE PROPERTY, THE OWNER OF THOSE RIGHTS 35 MAY HAVE THE PERPETUAL RIGHT TO DRILL, MINE, EXPLORE, AND REMOVE 36 ANY OF THE SUBSURFACE RESOURCES ON OR FROM THE PROPERTY EITHER 37 DIRECTLY FROM THE SURFACE OF THE PROPERTY OR FROM A NEARBY 38 LOCATION. SUBSURFACE RIGHTS MAY HAVE A MONETARY VALUE. 39 40 ...(Buyer Initials)... 41 42 (2) If the disclosure summary is not included in the 43 contract for sale, the contract for sale must refer to and 44 incorporate by reference the disclosure summary and must 45 include, in prominent language, a statement that the potential 46 purchaser should not execute the contract until he or she has 47 read the disclosure summary required under this section. 48 (3) As used in this section, the term “subsurface rights” 49 means the rights to all minerals, mineral fuels, and other 50 resources, including, but not limited to, oil, gas, coal, oil 51 shale, uranium, metals, and phosphate, whether or not it may be 52 mixed with any other substance, found, or located beneath the 53 surface of the earth. 54 (4) As used in this section, the term “seller” means any 55 seller of real property which, at the time of sale, is zoned for 56 residential use and is property upon which a new dwelling is 57 being constructed, or will be constructed pursuant to the 58 contract of sale with the seller, or has been constructed since 59 the last transfer of the property. 60 Section 2. This act shall take effect October 1, 2014.