| 1 | A bill to be entitled |
| 2 | An act relating to the termination of a residential rental |
| 3 | agreement upon foreclosure; creating s. 83.683, F.S.; |
| 4 | providing that a purchaser of residential property in |
| 5 | foreclosure may terminate a tenant's residential rental |
| 6 | agreement under certain circumstances; providing an |
| 7 | exception for an immediate purchaser intending to sell the |
| 8 | property to a buyer who intends to occupy the foreclosure |
| 9 | premises as his or her primary residence; setting forth |
| 10 | the content to be included in the termination notice to be |
| 11 | given to the tenant; providing certain exceptions to |
| 12 | application of the act; requiring the immediate purchaser |
| 13 | named in the certificate of title to credit the tenant's |
| 14 | account for any deposit money paid by the tenant and for |
| 15 | any advance rent for the unexpired rental period; |
| 16 | providing for future expiration of the act; providing an |
| 17 | effective date. |
| 18 |
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| 19 | Be It Enacted by the Legislature of the State of Florida: |
| 20 |
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| 21 | Section 1. Section 83.683, Florida Statutes, is created to |
| 22 | read: |
| 23 | 83.683 Termination of rental agreement upon foreclosure.- |
| 24 | (1)(a) Upon issuance of a certificate of title pursuant to |
| 25 | s. 45.031, if a tenant is occupying the residential premises and |
| 26 | is not excluded by subsection (2), the immediate purchaser named |
| 27 | in the certificate of title takes title to the residential |
| 28 | premises as a landlord, and may terminate the residential rental |
| 29 | agreement by delivering a written 90-day notice to the tenant. |
| 30 | (b)1. If there is an existing written rental agreement |
| 31 | entered into before the certificate of title was issued, the |
| 32 | tenant may remain in possession of the premises until the end of |
| 33 | the lease term or at least 90 days following the date the tenant |
| 34 | receives a copy of the written notice of termination, whichever |
| 35 | is greater. |
| 36 | 2. However, if the immediate purchaser named in the |
| 37 | certificate of title sells the premises to a purchaser who will |
| 38 | occupy the premises as a primary residence, the immediate |
| 39 | purchaser may terminate the written rental agreement and the |
| 40 | tenant is entitled to a written 90-day notice of termination. |
| 41 | (c) The 90-day notice to terminate the rental agreement |
| 42 | must be in substantially the following form: |
| 43 |
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| 44 | You are hereby advised that your rental agreement is |
| 45 | terminated effective 90 days following the date that |
| 46 | this written termination notice is delivered to you, |
| 47 | or at the end of the term of your written rental |
| 48 | agreement, whichever is later, and that I demand |
| 49 | possession of the premises upon that date. You are |
| 50 | still obligated to pay rent during the 90 days or |
| 51 | during the term of your written rental agreement, in |
| 52 | the amount you have been paying. Rent shall be |
| 53 | delivered to [name], [address]. |
| 54 |
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| 55 | (d) Delivery of the written notice must be in the manner |
| 56 | as provided in s. 83.56(4). |
| 57 | (2) Subsection (1) does not apply if: |
| 58 | (a) The mortgagor being foreclosed, or the child, spouse, |
| 59 | or parent of the mortgagor being foreclosed, is occupying the |
| 60 | dwelling unit being foreclosed, unless it is a multiunit |
| 61 | property and other tenants occupy dwelling units; |
| 62 | (b) The rental agreement is not an arms-length |
| 63 | transaction; or |
| 64 | (c) The rental agreement allows rent that is substantially |
| 65 | less than the fair market rent for the premises, unless the rent |
| 66 | is reduced or subsidized due to a federal, state, or local |
| 67 | subsidy. |
| 68 | (3) The immediate purchaser named in the certificate of |
| 69 | title issued pursuant to s. 45.031 shall credit the tenant's |
| 70 | account for any deposit money paid by the tenant to the |
| 71 | predecessor in interest and may make claims against the deposit |
| 72 | pursuant to s. 83.49(1). The immediate purchaser shall also |
| 73 | credit the tenant's account for any advance rent for the |
| 74 | unexpired rental period. The tenant must provide evidence of the |
| 75 | amount of the security deposit or advance rent in order to |
| 76 | receive the credit. |
| 77 | (4) This section expires December 31, 2012. |
| 78 | Section 2. This act shall take effect upon becoming a law. |