Does the new law mean that Act 137 no longer applies to real estate transactions?
No. The exemption described above does not mean that Act 137 has been repealed. It has merely been amended to exempt real estate licensees from the definition of distressed property consultant. Practitioners must understand that, to the extent a Distressed Property and a Distressed Property Consultant (someone other than the licensee, an attorney or CPA) provide any of the services described in Act 137, then all Act 137 provisions are imposed upon the transaction, including all notice, rescission, documentation and recordation requirements. Therefore, real estate brokers and salespersons must monitor their transactions closely and be able to recognize whether Act 137 applies in their transaction and insure that the purchase is properly documented in compliance with all applicable laws, including Act 137. If you have any questions regarding the applicability of the new exemption, you should consult with your broker and firm attorney.
