The bill amends the 1925 PA 126, which governs the payment to the survivor of spouses regarding land contracts and obligations secured by a mortgage for properties held as a tenancy by the entirety. The title of the act is updated to replace "husband and wife" with "spouses," reflecting a more inclusive language. Additionally, the bill clarifies that if spouses sell land and accept a note or obligation as part of the payment, the debt and interest are payable to the survivor after the death of either spouse, and the title to the mortgage vests in the survivor.

Furthermore, the bill specifies that the same provisions that apply to mortgages also apply to contracts for the sale of property owned by spouses as tenants by the entirety. This ensures that the rights of the survivor in the contract are treated similarly to those in mortgages. The enactment of this amendatory act is contingent upon the approval of a related Senate or House Joint Resolution becoming part of the state constitution.

Statutes affected:
House Introduced Bill: 557.81