S.B. No. 17 is a legislative act designed to regulate the acquisition of real property by foreign individuals or entities from countries identified as threats to U.S. national security, specifically naming China, Russia, Iran, and North Korea. The bill prohibits these designated countries from acquiring real property in Texas, while allowing exceptions for U.S. citizens and lawful residents. It also grants the governor the authority to designate additional countries or entities subject to these restrictions based on national security assessments. The legislation amends existing laws, including the Civil Practice and Remedies Code and the Property Code, to introduce new definitions and provisions related to real property acquisition.

The bill establishes new sections within the Property Code that empower the Attorney General to investigate potential violations of property acquisition laws, including the issuance of civil investigative demands for documents and testimony. It outlines the process for divesting real property acquired in violation of the law, including appointing a receiver to manage the property and distributing sale proceeds. Penalties for knowingly acquiring property interests in violation of the law are classified as state jail felonies, with the Attorney General authorized to seek civil penalties against violators, starting at a minimum of $250,000 or 50% of the market value of the property interest involved. The bill is set to take effect on September 1, 2025, and applies only to property acquisitions occurring after this date.

Statutes affected:
Introduced: Civil Practice and Remedies Code 64.001, Property Code 5.005 (Civil Practice and Remedies Code 64, Property Code 5)
Senate Committee Report: Civil Practice and Remedies Code 64.001, Property Code 5.005 (Civil Practice and Remedies Code 64, Property Code 5)
Engrossed: Civil Practice and Remedies Code 64.001, Property Code 5.005 (Civil Practice and Remedies Code 64, Property Code 5)
House Committee Report: Civil Practice and Remedies Code 64.001, Property Code 5.005 (Civil Practice and Remedies Code 64, Property Code 5)
Enrolled: Civil Practice and Remedies Code 64.001, Property Code 5.005 (Civil Practice and Remedies Code 64, Property Code 5)