Tennessee Senate Bill SB0216

Tennessee 2025-2026 Regular Session

• Introduced: 1/16/25

Caption

AN ACT to amend Tennessee Code Annotated, Title 8; Title 39; Title 62 and Title 66, relative to deed fraud.

Summary

SB0216 amends Tennessee’s deed-fraud statute to make it a Class E felony when a person knowingly transfers land by general warranty deed while aware of outstanding liens, mortgages, deeds of trust, or other claims against the property, and does so with intent to defraud. The bill also authorizes a jury-imposed fine of up to $4,000, in addition to the felony punishment described in Tennessee’s sentencing law. In practical terms, the bill targets fraudulent real-estate conveyances where a seller hides encumbrances on the property. It is framed as a criminal enforcement measure rather than a civil remedy, and it would strengthen the state’s ability to prosecute deceptive property transfers that harm buyers, lenders, or other claimants.

Impact

The bill narrows and reinforces Tennessee Code Annotated § 66-3-104 by specifying the conduct that constitutes deed fraud and classifying it as a Class E felony. It affects property owners, sellers, buyers, lenders, title holders, and others with recorded or unrecorded claims against land by increasing criminal exposure for knowingly deceptive transfers of encumbered property. The act takes effect immediately upon becoming law.

Sentiment

No committee transcripts or recorded votes were provided, so there is no direct evidence of debate, amendment, or opposition in the available record. Based on the bill text alone, the measure appears to reflect a generally punitive and anti-fraud policy approach aimed at protecting property transactions and title integrity.

Contention

The main potential point of contention is the breadth of criminal liability for land transfers involving outstanding liens or claims, especially where disputes may exist over what the seller knew and whether there was actual intent to defraud. Another possible issue is whether existing civil remedies and other criminal statutes already address the conduct sufficiently, making the new felony penalty unnecessary or duplicative. No specific individuals or groups are identified in the available discussion record.