TBA Law Blog


Posted by: Paul Burch on Feb 12, 2024

The Tennessee Attorney General’s Office Division of Consumer Affairs notified the public today of a new law impacting the recording of service contracts with registers of deeds. The new law prohibits the recording of service agreements and makes a service contract void and unenforceable if the agreement (1) purports to run with the land or be binding on future owners of interest in the real property, (2) allows for assignment of the right to provide services without notice to and consent of the residential real estate owner or (3) purports to create a lien, encumbrance or other real property security interest. The office also lays out warning signs consumers should look for when approached by companies offering a cash payment in exchange for agreeing to use their services in the future. Learn more about the law.