Assembly Bill 157 aims to prohibit the filing or recording of non-improvement contracts with a register of deeds in Wisconsin, establishing penalties for violations. A non-improvement contract is defined as an agreement for work, labor, or materials that do not contribute to the improvement of real estate and that attempts to create a lien or encumbrance on the property. The bill allows registers of deeds to reject such contracts and return them unrecorded. Violators of this prohibition may face fines of up to $10,000 or imprisonment for up to nine months.

Additionally, the bill grants property owners the right to bring civil actions against individuals who improperly file non-improvement contracts. If successful, the court will order the release of the property from the effects of the document and may award damages, costs, and attorney fees to the owner. The bill includes specific exceptions to the recording prohibition, such as instruments related to loans, homeowners associations, and commercial leases. The legislation also amends existing statutes to incorporate these provisions and clarify the authority of registers of deeds.

Statutes affected:
Bill Text: 59.43(1c)(intro.), 59.43, 706.05(1), 706.05