This bill aims to protect owners of residential real estate from unfair service agreements by prohibiting such agreements and their recording in public records. It defines "service agreements" as contracts related to the maintenance, purchase, or sale of residential real estate and outlines specific characteristics that make an agreement unfair, such as being binding on future owners, allowing assignment without notice and consent, or creating a lien or encumbrance.

The bill establishes that unfair service agreements are unenforceable and categorizes entering into such agreements as deceptive practices. It prohibits the recording of unfair service agreements, making it a misdemeanor to record or cause to be recorded such agreements. Additionally, it allows individuals with an interest in the affected real property to apply to the superior court for a court order declaring the agreement unenforceable and to recover actual damages, costs, and attorney fees from the service provider responsible for the recording. The act will take effect upon passage.