The bill amends Chapter 34-4 of the General Laws by adding a new section, 34-4-2.2, which defines the apportionment of financial responsibilities for expenses and improvements related to life estates. It introduces key definitions, including "remainderman," who is the holder of the remainder interest after the expiration of a tenant's estate in property, and "tenant," who is the holder of an estate for life.

The bill specifies the allocation of expenses between the tenant and the remainderman. It states that the tenant is responsible for ordinary expenses associated with the administration, management, or preservation of the property, including interest on secured debts, ordinary repairs, recurring taxes, and insurance premiums. Conversely, the remainderman is responsible for payments on the principal of secured debts, expenses related to title matters, and certain environmental expenses.

For extraordinary repairs, the bill outlines that if either the tenant or remainderman incurs expenses for their own benefit without the other's consent, they must pay those expenses in full. It also details how costs for improvements that add value to the property should be shared, with the tenant covering costs if the improvement is not expected to outlast their estate, while the remainderman covers the remainder.

The section clarifies that it does not apply if it conflicts with the instrument creating the estates, agreements between the parties, or specific statutory directions. Additionally, it states that common law applicable to tenants and remaindermen will supplement this section, except as modified by this new law. The act is set to take effect upon passage.