Under current law, to claim a lien against commercial real estate for an unpaid
commission, a broker must file or record a written notice of intent to claim the lien
at the office of the register of deeds for the county in which the commercial real estate
is located and deliver a copy of that notice to the person owing the commission. Under
this bill, to obtain a lien, the broker must send written notice to the person who owes

the commission of the right to claim the lien and record a written notice of interest
in the commercial real estate at the office of the register of deeds for the county in
which the commercial real estate is located.
Currently, the lien is perfected when a broker files a notice of lien in the office
of the register of deeds for the county in which the commercial real estate is located.
Under the bill, the lien is perfected when a broker records the lien in the office of the
register of deeds for the county in which the commercial real estate is located.
The bill changes the time period for perfecting a lien involving a written
commercial real estate list contract or buyer agency agreement from three days
before the conveyance documents are recorded with register of deeds to 30 days after
the conveyance documents are recorded with register of deeds.
Under current law, the broker is required to satisfy a commercial real estate
lien if the person owing a commission that is the subject of the lien pays an amount
equal to 125 percent of the commission owed into the trust account of the broker or
of an attorney who does not represent any party to the dispute, pending resolution
of the dispute. This bill adds a mutually agreed third party to those who can receive
and hold the money pending resolution of the dispute.
Current law provides that a commercial real estate lien is extinguished if an
action to enforce the lien is not commenced within two years after the lien is
perfected. Under this bill, a commercial real estate lien is extinguished if a new
notice of interest in the commercial real estate is not recorded in the office of the
register of deeds for the county in which the commercial real estate is located within
two years after the original notice of interest was recorded. Under the bill, a broker
may rescind a notice of interest by recording a notice in the office of the register of
deeds for the county in which the commercial real estate is located indicating that
he or she no longer claims an interest in the commercial real estate.
The bill requires a broker to record a notice rescinding a notice of interest in the
commercial real estate if the agreement that created the interest in the commercial
real estate is terminated or expires. In addition, under the bill, a broker may waive
the lien by signing a written waiver, but no action between any other persons may
invalidate the lien, other than the payment in full of the broker's commission.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB821, s. 1 1Section 1. 706.085 of the statutes is created to read:
AB821,3,5 2706.085 Correction instruments. (1) Entitled to be recorded; purposes.
3An instrument correcting a previously recorded conveyance shall be entitled to
4record in accordance with s. 706.05 in the office of the register of deeds of the county
5in which the conveyance is recorded and shall include one or more of the following:
AB821,4,5
1(a) The correction of a legal description, including a distance; angle; direction;
2bearing; chord; lot, block, unit, or building number or letter; appurtenant easement;
3section number; township name or number; municipality, county, or state name;
4range number or meridian; certified survey map number; or subdivision or
5condominium name.
AB821,4,76 (b) The addition, correction, or clarification of information other than a legal
7description, including any of the following information:
AB821,4,108 1. A party's name, including the spelling of the name; a first or middle name
9or initial; a name suffix, such as senior or junior; alternate names by which the party
10is known; or a description of an entity as a corporation, company, or similar identifier.
AB821,4,1111 2. A party's marital status.
AB821,4,1212 3. The date on which the conveyance was executed.
AB821,4,1313 4. Whether the property is a homestead.
AB821,4,1414 5. The tax parcel number.
AB821,4,1515 6. The identity of the drafter.
AB821,4,1616 7. The recording data for an instrument referenced in the conveyance.
AB821,4,1717 8. The nature and purpose of the conveyance.
AB821,4,1818 9. The title of the conveyance.
AB821,4,1919 10. Facts relating to the acknowledgment or authentication.
AB821,4,2020 (c) The addition of an acknowledgment or authentication.
AB821,4,2221 (d) The disclaimer by a grantee under a deed of that party's interest in the real
22property that is the subject of the deed.
AB821,4,2323 (e) The addition of a mortgagee's consent or subordination.
AB821,5,2 24(2) Execution requirements. (a) A correction instrument shall be
25acknowledged or authenticated in accordance with s. 706.06 or 706.07. It shall recite

1the document number of the conveyance, the names of the grantor and grantee, and,
2if given on the conveyance, the volume and page numbers.
AB821,5,133 (b) 1. Except as otherwise provided in this paragraph, a correction instrument
4that is executed after the effective date of this subdivision .... [LRB inserts date], may
5be executed by a person having personal knowledge of the circumstances of the
6conveyance and of the facts recited in the correction instrument, including the
7grantor, the grantee, the person who drafted the conveyance that is the subject of the
8correction instrument, or the person who acted as the settlement agent in the
9transaction that is the subject of the conveyance, and shall recite the basis for the
10person's personal knowledge. A correction instrument that was executed before the
11effective date of this subdivision .... [LRB inserts date], is not rendered ineffective by
12reason of the instrument's failure to recite that the maker had the knowledge or
13capacity required under this subdivision.
AB821,5,1514 2. A correction instrument that makes the correction under sub. (1) (e) shall be
15signed by the consenting party, or an heir, successor, or assignee of the party.
AB821,5,1716 3. A correction instrument that adds, removes, or replaces a divisible parcel in
17a conveyance shall be signed by the following persons:
AB821,5,1918 a. If the correction instrument supplies a lot, block, unit, or building number
19or letter that was omitted from a conveyance, by any party identified in subd. 1.
AB821,5,2120 b. If a parcel is being added to a conveyance that also correctly conveys other
21land, only by the grantor.
AB821,5,2322 c. If a parcel is being removed from a conveyance that also correctly conveys
23other land, only by the grantee.
AB821,6,3
1d. If a lot or unit number or letter is being corrected and the lot or unit
2incorrectly recited in the conveyance is also owned by the grantor, only by the
3grantee.
AB821,6,64 e. If a lot, block, unit, or building number or letter is being corrected and the
5lot or unit incorrectly recited in the conveyance is not also owned by the grantor, by
6any party identified in subd. 1.
AB821,6,97 (c) A person who executes and records a correction instrument shall send notice
8of that fact by 1st class mail to all parties to the transaction that was the subject of
9the conveyance at their last-known addresses.
AB821,6,11 10(3) Effect of record. All of the following apply to the record of a correction
11instrument that complies with this section, or a certified copy of the record:
AB821,6,1412 (a) It is prima facie evidence of the facts stated in the instrument; is presumed
13to be true, subject to rebuttal; and constitutes notice to a purchaser under s. 706.09
14of the facts recited in the instrument.
AB821,6,1615 (b) It may be asserted by a purchaser for a valuable consideration against any
16person making an adverse or inconsistent claim under s. 706.09 (1) (i).
AB821,6,21 17(4) Previously recorded instruments are valid. Any instrument recorded
18before the effective date of this subsection .... [LRB inserts date], that purports to
19correct a previously recorded conveyance and that would have been a valid correction
20instrument under this section had this section been in effect when the instrument
21was recorded is hereby validated.
AB821, s. 2 22Section 2. 779.32 (1) (d) of the statutes is created to read:
AB821,6,2523 779.32 (1) (d) "Tenant representation agreement" means an agency agreement
24between a broker and a person that grants the broker the right to represent the
25person in the lease of commercial real estate.
AB821, s. 3
1Section 3. 779.32 (2) (b) of the statutes is amended to read:
AB821,7,62 779.32 (2) (b) If the broker has earned a commission under a written
3commercial real estate buyer agency agreement or tenant representation
4agreement
, the broker has a lien for the unpaid amount of the commission against
5the commercial real estate, or the interest in commercial real estate, that is acquired
6as a result of the agreement.
AB821, s. 4 7Section 4. 779.32 (2) (c) of the statutes is amended to read:
AB821,7,128 779.32 (2) (c) If the broker has earned compensation from the owner or landlord
9under a written agreement for the lease or management of commercial real estate
10or under a tenant representation agreement, the broker has a lien for the unpaid
11amount of the compensation against the commercial real estate for which the leasing
12or management services were provided under the agreement.
AB821, s. 5 13Section 5. 779.32 (2m) of the statutes is created to read:
AB821,7,2014 779.32 (2m) Notice of lien rights. (a) To claim a lien under sub. (2), the broker
15shall notify the person who owes the commission or compensation described in sub.
16(2) (a), (b), or (c) in writing of the right to claim a lien under this section. A broker
17shall include the notice required under this subsection in the commercial real estate
18listing contract, commercial real estate buyer agreement, tenant representation
19agreement, or written agreement for the lease or management of commercial real
20estate.
AB821,7,2221 (b) The notice required under this subsection shall be in substantially the
22following form:
AB821,8,223 NOTICE: A broker has the authority under section 779.32 of the Wisconsin
24Statutes to file a broker lien for commissions or compensation earned but not paid

1when due against the commercial real estate, or the interest in the commercial real
2estate, that is the subject of this agreement.
AB821, s. 6 3Section 6. 779.32 (3) (intro.) of the statutes is amended to read:
AB821,8,164 779.32 (3) Notice of intent to claim lien interest. (intro.) A broker has In
5addition to the requirements of sub. (2m), to claim
a lien under sub. (2) (a) or (b) only
6if
, the broker files or records shall record a written notice of intent to claim a lien
7interest under this section at the office of the register of deeds for the county in which
8the commercial real estate is located and delivers a copy of the notice to the person
9owing the commission under sub. (2) (a) or (b). A broker has a lien under sub. (2) (c)
10only if the broker provides a written notice of intent to claim a lien under this section
11to the person owing the compensation under sub. (2) (c). All notices
. A notice
12required under this subsection shall contain the name of each party to the agreement
13under which the lien interest is claimed, the date that the agreement was entered
14into and a brief description of the commercial real estate on which the lien is intended
15to be claimed. All notices
that is subject to the lien rights. A notice required under
16this subsection shall be provided within the following time periods:
AB821, s. 7 17Section 7. 779.32 (3) (c) of the statutes is repealed.
AB821, s. 8 18Section 8. 779.32 (4) (a) (intro.) of the statutes is amended to read:
AB821,8,2219 779.32 (4) (a) (intro.) A lien under this section is perfected when a broker files
20records a notice of lien in the office of the register of deeds for the county in which
21the commercial real estate is located. The lien must be perfected no later than the
22following:
AB821, s. 9 23Section 9. 779.32 (4) (a) 1. of the statutes is amended to read:
AB821,9,224 779.32 (4) (a) 1. In the case of a lien under sub. (2) (a) or (b), 3 days prior to 30
25days after
the date that the conveyance documents are recorded with the register of

1deeds in the county where the real property, that is the subject of the listing contract
2or buyer agency contract agreement, is located.
AB821, s. 10 3Section 10. 779.32 (4) (a) 2. a. and b. of the statutes are amended to read:
AB821,9,84 779.32 (4) (a) 2. a. The date that the broker earns a commission or
5compensation that gives rise to a lien under this section. For purposes of this subd.
62. a., a commission or compensation is considered earned on the date that payment
7of it is due under the lease, tenant representation agreement, or management
8agreement.
AB821,9,139 b. The date that the broker receives notice that he or she has earned a
10commission or compensation that gives rise to a lien under this section. For purposes
11of this subd. 2. b., a commission or compensation is considered earned on the date
12that the payment of it is due under the lease, tenant representation agreement, or
13management agreement.
AB821, s. 11 14Section 11. 779.32 (4) (b) (intro.) of the statutes is amended to read:
AB821,9,1615 779.32 (4) (b) (intro.) The notice of lien shall be signed by the broker and shall
16include all of the following information:
AB821, s. 12 17Section 12. 779.32 (4) (b) 4. of the statutes is amended to read:
AB821,9,1918 779.32 (4) (b) 4. The amount of the lien at the time the notice lien is filed
19recorded.
AB821, s. 13 20Section 13. 779.32 (4) (c) of the statutes is amended to read:
AB821,9,2421 779.32 (4) (c) A broker shall mail a copy of the notice of lien to the owner or
22acquirer of the commercial real estate that is subject to the lien within 72 hours after
23the filing of the notice recording of the lien under par. (a). A lien under this section
24is effective only from the date that it is perfected under this subsection.
AB821, s. 14 25Section 14. 779.32 (4) (d) of the statutes is amended to read:
AB821,10,4
1779.32 (4) (d) A lien that is perfected under this subsection by a broker secures
2all unpaid commissions or compensation that is due that broker with respect to the
3commercial real estate subject to that lien, regardless of whether the commission or
4compensation was earned at the time the lien was filed recorded.
AB821, s. 15 5Section 15. 779.32 (4m) of the statutes is amended to read:
AB821,10,126 779.32 (4m) Duty of register of deeds. If a notice of lien meets the
7requirements under sub. (4), the register of deeds shall accept the notice of lien for
8filing recording. The register of deeds shall index the notice of lien under the name
9of the owner or acquirer of the commercial real estate who is subject to the lien. If
10the register of deeds maintains a tract index, the register of deeds shall also index
11the notice of lien under the legal description of the real estate against which a lien
12is claimed.
AB821, s. 16 13Section 16. 779.32 (8) (a) 1. of the statutes is amended to read:
AB821,10,1514 779.32 (8) (a) 1. The person owing the commission or compensation pays the
15broker in full the amount specified in the notice of lien.
AB821, s. 17 16Section 17. 779.32 (8) (a) 2. of the statutes is amended to read:
AB821,10,2317 779.32 (8) (a) 2. The person owing the commission or compensation pays an
18amount equal to 125% of the commission or compensation owed into the trust
19account of the broker or, the trust account of any attorney who does not represent any
20party to the dispute and who is in good standing with the State Bar of Wisconsin, or
21to a mutually agreed-upon 3rd party
. The moneys shall be held in escrow until
22disbursed pursuant to the written mutual agreement of the parties or pursuant to
23a court order.
AB821, s. 18 24Section 18. 779.32 (8) (am) of the statutes is created to read:
AB821,11,2
1779.32 (8) (am) The satisfaction of lien shall include the information listed in
2sub. (4) (b) 1. to 3.
AB821, s. 19 3Section 19. 779.32 (8) (b) of the statutes is repealed and recreated to read:
AB821,11,54 779.32 (8) (b) The satisfaction of lien shall be recorded with the register of
5deeds.
AB821, s. 20 6Section 20. 779.32 (8) (c) 2. of the statutes is amended to read:
AB821,11,87 779.32 (8) (c) 2. If the satisfaction is required under par. (a) 1., the date on which
8the broker receives payment in full of the amount specified in the notice of lien.
AB821, s. 21 9Section 21. 779.32 (9) of the statutes is repealed and recreated to read:
AB821,11,1710 779.32 (9) Extinguishment of notice of interest. A notice of interest expires
11and is extinguished if a new notice of interest is not recorded under sub. (3) within
122 years after the recording of the original notice of interest. A notice of interest may
13be rescinded by the recording of a notice with the register of deeds in the county
14where the real property is located, indicating that the broker is no longer claiming
15an interest under this section. A broker shall record a notice rescinding the notice
16of interest if the contract or agreement under which the interest was created expires
17or is terminated.
AB821, s. 22 18Section 22. 779.32 (10) of the statutes is created to read:
AB821,12,219 779.32 (10) Foreclosure of lien; procedure, parties. In the foreclosure of a
20lien under this section, ch. 846 shall control as far as applicable. All persons who
21have recorded a lien under this section may join as plaintiffs, and if any do not join
22they may be made defendants. All persons having liens subsequent to such lien may
23be joined as defendants. If any person who is a proper party is not a party to the
24action the person may, at any time before judgment, be made a defendant, and any

1person who after the commencement of the action obtains a lien or becomes a
2purchaser may, at any time before judgment, be made a defendant.
AB821, s. 23 3Section 23. 779.32 (11) of the statutes is created to read:
AB821,12,74 779.32 (11) Waiver of lien. A broker may waive the lien under this section in
5writing signed by the broker, but no action or agreement between any other persons
6may invalidate the lien, other than the payment in full to the broker of the
7commission or compensation to which the lien relates.
AB821, s. 24 8Section 24. 840.11 (1) of the statutes is amended to read:
AB821,12,229 840.11 (1) Every person who makes an application to any court, county board,
10common council, or village or town board for laying out, widening, vacating, or
11extending any street, alley, water channel, park, highway, or other public place shall,
12at or prior to the time of filing the same with the proper officer, file a notice of the
13pendency of such application
present for recording in the office of the register of deeds
14of each county in which the affected land is situated a lis pendens, as provided in s.
15840.10
, containing the person's name and a brief statement of the object thereof and
16a map and description of the land to be affected thereby in the office of the register
17of deeds of each county in which any such land is situated. Neglect to comply with
18these provisions shall render all proceedings based upon such application void, but
19no order vacating, or proceedings for the vacation of, any street, alley, water channel,
20park, highway or other public place, made or had before May 25, 1905, shall be void
21solely by reason of the failure to file such notice of the pendency of such application,
22map and description
.
AB821, s. 25 23Section 25. 840.11 (2) of the statutes is amended to read:
AB821,13,824 840.11 (2) No final order, judgment or decree or final resolution or order taking
25or affecting such land, based upon any application therefor, shall have any effect or

1be notice to any subsequent purchaser or encumbrancer unless a certified copy
2thereof, giving a full and accurate containing a legal description, as defined in s.
3706.01 (7r),
of the land affected thereby, and accompanied with a map showing the
4location thereof, is recorded in the office of the register of deeds of the county in which
5the land is situated. A resolution or order made by any such body, whereby any land
6shall be taken or affected without an application having been made therefor, shall
7have no effect and shall not be notice to any subsequent purchaser or encumbrancer
8unless such resolution or order is recorded.
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