SF559 (Legislative Session 94 (2025-2026))
Certain restrictive covenants removal fees prohibition
AI Generated Summary
Purpose
This bill changes Minnesota law to help property owners remove certain discriminatory restrictions from their property titles. It sets up a process to discharge restrictive covenants related to protected classes at no cost to homeowners, making those restrictions permanently ineffective on the title.
Main Provisions
- A property owner may record, at no cost, the statutory form (provided in subdivision 6) in the county recorder’s office to discharge and permanently remove a restrictive covenant related to a protected class from the property title.
- The discharge of the covenant is valid and enforceable under Minnesota law once the statutory form is properly recorded.
- The remaining parts of the original instrument containing the restrictive covenant still apply in other respects; the document is treated as if the removed covenant were never there.
- A restrictive covenant that affects a protected class is void regardless of whether the statutory form has been recorded.
- This provision does not apply to real property registered under chapters 508 and 508A.
Significant Changes to Existing Law
- Amends Minnesota Statutes 2024 section 507.18, subdivision 5, to create a formal method for permanently discharging protected-class restrictive covenants from title at no cost.
- Establishes that such covenants are void in effect, even if not removed via the statutory form.
- Requires recording in the county recorder’s office and specifies the use of the statutory form referenced in subdivision 6.
- Limits the new process to standard real property titles and excludes certain property types covered by chapters 508 and 508A.
Practical Impact
- Helps remove barriers tied to protected characteristics in housing by allowing clean title without discriminatory covenants.
- Clarifies that the removal does not rewrite other parts of the original agreement, which may continue to govern other aspects of the property to the extent permitted.
- Reduces cost barriers for homeowners seeking to clear their titles of outdated discriminatory restrictions.
Relevant Terms - restrictive covenant - protected class - discharge of restrictive covenants - title / real property title - record / recordation - county recorder - statutory form - subdivision 6 - Minnesota Statutes 2024 section 507.18 subdivision 5 - void - valid and enforceable - instrument - at no cost - permanently remove/current title after discharge - property not subject to chapters 508 and 508A
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| January 23, 2025 | Senate | Action | Introduction and first reading | ||
| January 23, 2025 | Senate | Action | Referred to | Housing and Homelessness Prevention | |
| February 03, 2025 | Senate | Action | Comm report: To pass as amended and re-refer to | Judiciary and Public Safety | |
| Senate | Action | See |
Citations
[
{
"analysis": {
"added": [
"No-cost recording of the statutory form to discharge a restrictive covenant related to a protected class.",
"Discharge is valid and enforceable when properly recorded.",
"A restricted covenant affecting a protected class is void even if a statutory form is recorded."
],
"removed": [
"Elimination of recording fees for this discharge (previously required)."
],
"summary": "Amends Minnesota Statutes 2024 section 507.18, subdivision 5 to permit discharge of a restrictive covenant related to a protected class by recording the statutory form provided in subdivision 6 at no cost; clarifies validity of discharge and that the instrument remains otherwise effective; declares that a restrictive covenant affecting a protected class is void.",
"modified": [
"Outlines that the discharge affects only the covenant and not the entire instrument, which remains in force in other respects."
]
},
"citation": "507.18",
"subdivision": "Subd.5"
},
{
"analysis": {
"added": [
"Cross-reference to Subd.6 for the form used to discharge the covenant."
],
"removed": [],
"summary": "References the statutory form provided in subdivision 6 of section 507.18; the bill relies on this subdivision for the discharge process.",
"modified": [
"Specifies the workflow relies on Subd.6; no new text added to Subd.6 itself."
]
},
"citation": "507.18",
"subdivision": "Subd.6"
},
{
"analysis": {
"added": [
"Explicit exemption for property governed by chapters 508 and 508A from the discharge provision."
],
"removed": [],
"summary": "The bill states the discharge provision does not apply to real property registered under chapters 508 and 508A.",
"modified": [
"Cross-reference inclusion; no change to 508/508A provisions themselves."
]
},
"citation": "508",
"subdivision": ""
},
{
"analysis": {
"added": [
"Explicit exemption for property governed by chapter 508A from the discharge provision."
],
"removed": [],
"summary": "Same exemption applies to property registered under chapter 508A.",
"modified": [
"Cross-reference inclusion; no change to 508A provisions themselves."
]
},
"citation": "508A",
"subdivision": ""
}
]Progress through the legislative process
In Committee