AB873: Bill Text

AB873,3,10 779.32 (2) (b) If the broker has earned a commission under a written commercial real estate buyer agency agreement or tenant representation agreement, the broker has a lien for the unpaid amount of the commission against the commercial real estate, or the interest in commercial real estate, that is acquired as a result of the agreement.

AB873, s. 4 Section 4. 779.32 (3) (intro.) of the statutes is amended to read:

AB873,4,2 779.32 (3) Notice of intent to claim lien. (intro.) A broker has a lien under sub. (2) (a) or, (b), or (c) only if the broker files or records a written notice of intent to claim a lien under this section at the office of the register of deeds for the county in which the commercial real estate is located and delivers a copy of the notice to notifies the person owing the commission or compensation under sub. (2) (a) or, (b). A broker has a lien under sub. (2) (c) only if the broker provides a written notice of intent to claim a lien under this section to the person owing the compensation under sub. (2) (c), or (c) in writing of the authority to claim a lien under this section. All notices required under this subsection shall contain the name of each party to the agreement under which the lien is claimed, the date that the agreement was entered into and a brief description of the commercial real estate on which the lien is intended to be claimed be included in the commercial real estate listing contract, commercial real estate buyer agency agreement, tenant representation agreement, or written agreement for the lease or management of commercial real estate. All notices required under this subsection shall be provided within the following time periods in substantially the following form:

AB873, s. 5 Section 5. 779.32 (3) (form) of the statutes is created to read:

AB873,4,7 779.32 (3) (form) NOTICE: Broker has the authority under section 779.32 of the Wisconsin Statutes, to file a broker lien for commissions or compensation earned but not paid when due against the commercial real estate, or the interest in the commercial real estate, that is the subject of this agreement.

AB873, s. 6 Section 6. 779.32 (3) (a), (b) and (c) of the statutes are repealed.

AB873, s. 7 Section 7. 779.32 (4) (a) (intro.) of the statutes is amended to read:

AB873,4,13 779.32 (4) (a) (intro.) A lien under this section is perfected when a broker files records a notice of lien in the office of the register of deeds for the county in which the commercial real estate is located. The lien must be perfected no later than the following:

AB873, s. 8 Section 8. 779.32 (4) (a) 1. of the statutes is amended to read:

AB873,4,18 779.32 (4) (a) 1. In the case of a lien under sub. (2) (a) or (b), 3 days prior to the date that the conveyance documents are recorded with the register of deeds in the county where the real property, that is the subject of the listing contract or, buyer agency contract agreement, or tenant representation agreement, is located.

AB873, s. 9 Section 9. 779.32 (4) (b) (intro.) of the statutes is amended to read:

AB873,4,21 779.32 (4) (b) (intro.) The notice of lien shall be signed by the broker and shall include all of the following information:

AB873, s. 10 Section 10. 779.32 (4) (b) 4. of the statutes is amended to read:

AB873,4,24 779.32 (4) (b) 4. The amount of the lien at the time the notice lien is filed recorded.

AB873, s. 11 Section 11. 779.32 (4) (c) of the statutes is amended to read:

AB873,5,4 779.32 (4) (c) A broker shall mail a copy of the notice of lien to the owner or acquirer of the commercial real estate that is subject to the lien within 72 hours after the filing of the notice recording of the lien under par. (a). A lien under this section is effective only from the date that it is perfected under this subsection.

AB873, s. 12 Section 12. 779.32 (4) (d) of the statutes is amended to read:

AB873,5,9 779.32 (4) (d) A lien that is perfected under this subsection by a broker secures all unpaid commissions or compensation that is due that broker with respect to the commercial real estate subject to that lien, regardless of whether the commission or compensation was earned at the time the lien was filed recorded.

AB873, s. 13 Section 13. 779.32 (4m) of the statutes is amended to read:

AB873,5,17 779.32 (4m) Duty of register of deeds. If a notice of lien meets the requirements under sub. (4), the register of deeds shall accept the notice of lien for filing recording. The register of deeds shall index the notice of lien under the name of the owner or acquirer of the commercial real estate who is subject to the lien. If the register of deeds maintains a tract index, the register of deeds shall also index the notice of lien under the legal description of the real estate against which a lien is claimed.

AB873, s. 14 Section 14. 779.32 (8) (a) 1. of the statutes is amended to read:

AB873,5,20 779.32 (8) (a) 1. The person owing the commission or compensation pays the broker in full the amount specified in the notice of lien.

AB873, s. 15 Section 15. 779.32 (8) (a) 2. of the statutes is amended to read:

AB873,6,3 779.32 (8) (a) 2. The person owing the commission or compensation pays an amount equal to 125% of the commission or compensation owed into the trust account of the broker or, the trust account of any attorney who does not represent any party to the dispute and who is in good standing with the State Bar of Wisconsin, or to a mutually agreed-upon third party. The moneys shall be held in escrow until disbursed pursuant to the written mutual agreement of the parties or pursuant to a court order.

AB873, s. 16 Section 16. 779.32 (8) (am) of the statutes is created to read:

AB873,6,6 779.32 (8) (am) The satisfaction of lien shall include the information listed in sub. (4) (b) 1. to 3.

AB873, s. 17 Section 17. 779.32 (8) (b) of the statutes is repealed and recreated to read:

AB873,6,9 779.32 (8) (b) The satisfaction of lien shall be recorded with the register of deeds.

AB873, s. 18 Section 18. 779.32 (8) (c) 2. of the statutes is amended to read:

AB873,6,12 779.32 (8) (c) 2. If the satisfaction is required under par. (a) 1., the date on which the broker receives payment in full of the amount specified in the notice of lien.

AB873, s. 19 Section 19. 779.32 (10) of the statutes is created to read:

AB873,6,21 779.32 (10) Foreclosure of lien; procedure, parties. In the foreclosure of a lien under this section, ch. 846 shall control as far as applicable. All persons who have recorded a lien under this section may join as plaintiffs, and if any do not join they may be made defendants. All persons having liens subsequent to such lien may be joined as defendants. If any person who is a proper party is not a party to the action the person may, at any time before judgment, be made a defendant, and any person who after the commencement of the action obtains a lien or becomes a purchaser may, at any time before judgment, be made a defendant.

AB873, s. 20 Section 20. 779.32 (11) of the statutes is created to read:

AB873,7,2 779.32 (11) Waiver of lien. A lien claimant may waive the lien under this section in writing signed by the lien claimant, but no action or agreement between any other persons may invalidate the lien, other than the payment in full to the claimant of the commission or compensation to which the lien relates.

AB873, s. 21 Section 21. Initial applicability.

AB873,7,5 (1) This act first applies to a real estate broker's commission or compensation earned on the effective date of this subsection.

AB873,7,6 (End)