LRB-4208/1
MDK&RPN:bjk:nwn
2007 - 2008 LEGISLATURE
March 10, 2008 - Introduced by Senator Plale. Referred to Committee on
Commerce, Utilities and Rail.
SB565,1,3
1An Act to amend 706.09 (3) (a) and 893.33 (5) of the statutes;
relating to:
2exemption for interstate natural gas companies from certain requirements
3regarding real estate transactions and court actions.
Analysis by the Legislative Reference Bureau
Current law provides that a person who acquires an interest in property for
valuable consideration without notice that there is a prior adverse interest takes the
interest free and clear of the prior interest, if that prior interest is based on any of
a number of situations specified in the statute. The statute provides exceptions for
certain prior interests in real estate, such as real estate owned by a public service
corporation, railroad corporation, electric cooperative, or the United States, the
state, or a political subdivision. This bill creates an additional exception for real
estate owned by a "natural gas company," as defined under a federal law that
provides that "natural gas company" means a person engaged in either of the
following: 1) the transportation of natural gas in interstate commerce; or 2) the sale
in interstate commerce of natural gas for resale.
Current law also bars a person from commencing an action related to an
interest in real property unless an instrument expressly referring to the existence
of that interest has been recorded in the register of deeds of the county where the real
estate is located within 30 years before the date of commencing the action. In
addition, current law bars all claims to an interest in real property unless, within the
last 30 years, an instrument has been recorded expressly referring to the interest in
the real property. Current law also provides an exception to these provisions if the
record title of the property remains with a railroad corporation, a public service
corporation, a electric cooperative, the state, or a political subdivision of the state.
This bill creates an additional exception if the record title of the property remains
with a natural gas company, which is defined as described above.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB565, s. 1
1Section
1. 706.09 (3) (a) of the statutes is amended to read:
SB565,2,102
706.09
(3) (a)
Public service corporations, railroads, electric cooperatives,
3trustees, natural gas companies, governmental units. While owned, occupied or used
4by any public service corporation, any railroad corporation as defined in s. 195.02 (1),
5any water carrier as defined in s. 195.02 (5), any electric cooperative organized and
6operating on a nonprofit basis under ch. 185,
any natural gas company, as defined
7in 15 USC 717a (6), or any trustee or receiver of any such corporation
or, electric
8cooperative,
or natural gas company, or any mortgagee or trust deed trustee or
9receiver thereof; nor any such interest while held by the United States, the state or
10any political subdivision or municipal corporation thereof; or
SB565, s. 2
11Section
2. 893.33 (5) of the statutes is amended to read:
SB565,3,1412
893.33
(5) This section bars all claims to an interest in real property, whether
13rights based on marriage, remainders, reversions and reverter clauses in covenants
14restricting the use of real estate, mortgage liens, old tax deeds, death and income or
15franchise tax liens, rights as heirs or under will, or any claim of any nature, however
16denominated, and whether such claims are asserted by a person sui juris or under
17disability, whether such person is within or without the state, and whether such
18person is natural or corporate, or private or governmental, unless within the 30-year
19period provided by sub. (2) there has been recorded in the office of the register of
20deeds some instrument expressly referring to the existence of the claim, or a notice
1pursuant to this section. This section does not apply to any action commenced or any
2defense or counterclaim asserted, by any person who is in possession of the real
3estate involved as owner at the time the action is commenced. This section does not
4apply to any real estate or interest in real estate while the record title to the real
5estate or interest in real estate remains in a railroad corporation, a public service
6corporation as defined in s. 201.01, an electric cooperative organized and operating
7on a nonprofit basis under ch. 185,
a natural gas company, as defined in 15 USC 717a
8(6), or any trustee or receiver of a railroad corporation, a public service corporation
9or, an electric cooperative,
or a natural gas company, or to claims or actions founded
10upon mortgages or trust deeds executed by that cooperative
or, corporation,
company, 11or trustees or receivers of that cooperative
or, corporation
, or company. This section
12also does not apply to real estate or an interest in real estate while the record title
13to the real estate or interest in real estate remains in the state or a political
14subdivision or municipal corporation of this state.
SB565,3,1816
(1)
Claims barred. The treatment of section 893.33 (5) of the statutes first
17applies to an action commenced or defense or counterclaim asserted on the effective
18date of this subsection.
