House committee substitute to the 1st edition makes the following changes.
Part I
Adds new definitions section (GS 42-79) to new Article 8 of Chapter 42. Defines authorized representative, real estate broker, resident, residential property, tenant, and unauthorized person.
Amends conditions for removal of an unauthorized person illegally occupying a residential property through an expedited proceeding by no longer specifying that the property being occupied must include a residential dwelling. Makes additional technical and clarifying changes.
Deletes the contents of proposed GS 24-80, which pertained to contents of the expedited removal complaint form; proposed GS 42-81, which pertained to verification of the complaint by the sheriff and removal of the unauthorized person; and proposed GS 42-82, which pertained to remedies for wrongful removal. Instead, enacts the following new provisions.
Enacts new GS 42-81 requiring the property owner or their authorized representative, before commencing an expedited removal proceeding, to give the unauthorized person at least four hours notice to leave the premises. Allows written notice to be given by posting the notice on the property’s front door when reasonable efforts to personally give oral or written notice have failed. Provides that an expedited removal proceeding commences with the filing of a complaint and the issuance of summons in the county where the property is located. Allows the complaint to be filed with and the summons issued by a magistrate when the office of the clerk of superior court is closed. Requires that the complainant give the summons and the complaint to the sheriff. Requires the sheriff to serve the summons and complaint for expedited removal on the unauthorized person personally or by posting a copy of the summons and complaint on the front door of the property and requires it to be done within 24 hours of the sheriff receiving the summons and complaint. Requires a hearing on the expedited removal be held before a magistrate in the county where the property is located not sooner than 12 hours after service upon the unauthorized person and no later than 48 hours after service. Specifies that the complainant will not be required to pay a filing fee or other costs. Requires that the complaint allege and for the property owner or their representative to prove the following at the hearing: (1) the complainant is the property owner or their authorized representative; (2) an unauthorized person has unlawfully entered and is remaining or residing unlawfully on the property; (3) the unauthorized person has been directed by the property owner or their authorized representative to leave the property, but they remain on the property; (4) the unauthorized person is not a current tenant under any valid lease authorized by the property owner; (5) the unauthorized person sought to be removed is not an owner or co-owner of the property and has not been listed on the valid record title to the property; and (6) there is no litigation related to the property pending between the property owner and any unauthorized person sought to be removed. Specifies that the rules of evidence do not apply in an expedited removal proceeding. Makes the provisions of GS 7A-218 (answer of defendant), GS 7A-219 (prohibition of certain counterclaims, cross claims, or third‑party claims), and GS 7A-220 (providing that there are no required pleadings in assigned small claim actions other than the complaint) applicable to an expedited removal proceeding held before the magistrate except provisions related to the amount in controversy. Requires when the court finds for the property owner or their authorized representative that the court immediately enter a written order granting the property owner or authorized representative possession and stating the time when the unauthorized person must vacate the property, which must not be less than 2 hours or more than 8 hours after service of the order. Requires that the order be served on the unauthorized person at the hearing. Sets out the procedure that applies when the unauthorized person does not appear at the hearing or leaves before the order is served. Also requires the court to determine the amount of the appeal bond that the unauthorized person must post if they seek to appeal the court order; sets the minimum amount of the bond at $1,000, but allows it be set at a higher amount based on listed factors.
Allows the court order to be appealed to district court for a trial de novo. Also allows an unauthorized person to petition the district court to stay the removal order and requires posting a bond.
Provides that if the unauthorized person violates a court order by failing to remove personal property from the property within the time allowed, the owner or their authorized representative may remove the personal property to or near the property line. Specifies that failure to vacate in accordance with the court order is criminal trespass.
Provides that a property owner or their representative can remove a person pursuant to an expedited removal proceeding only when they have a good faith belief that grounds for removal exist under the provisions of GS Chapter 42; otherwise, the property owner or their representative is guilty of an unfair trade practice and a Class 1 misdemeanor.
Changes the effective date of new Article 8 of GS Chapter 42 from when the act becomes law to October 1, 2024.
Amends GS 7A-292 to give magistrates the power to accept the filing of complaints and to issue summons under new Article 8 in expedited removal proceedings when the office of the clerk of superior court is closed. Effective October 1, 2024.
Requires that the form created by the Administrative Office of the Courts (AOC) and NC Sheriffs’ Association (Association) for use in the expedited removal proceeding be available no later than September 30, 2024.
Makes conforming changes to the AOC September 30, 2024, deadline to complete the affidavit form. Removes reference to the Association in the deadline. Makes conforming changes to the appropriation to AOC so that it is earmarked for the development of the affidavit form (was, complaint form).
Parts II and III
Makes technical change to effective dates of GS 14-127 (willful and wanton injury to real property) and GS 14-117.8 (fraudulent advertisements and transactions involving residential real property).
Part IV
Changes the effective date of changes to GS 22-2 to October 1, 2024 (was, effective when act becomes law).
Makes organizational and conforming changes to act’s parts and titles.
Bill Summaries: H966 EXPEDITED REMOVAL OF UNAUTHORIZED PERSONS.
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Summary date: Jun 12 2024 - View Summary
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Bill H 966 (2023-2024)Summary date: May 1 2024 - View Summary
Enacts new Article 8, concerning the expedited removal of unauthorized persons from residential property in GS Chapter 42. Adds new GS 42-79, allowing a property owner or authorized agent to request from the sheriff where the residential property is located the removal of a person or persons unlawfully occupying that property if all of the following are met: (1) the requesting party is the property owner or the authorized agent of the property owner, (2) the property that is being occupied includes a residential dwelling, (3) an unauthorized person or persons have unlawfully entered and remain on or continue to reside in the residential property, (4) the property owner or the authorized agent of the property owner has directed the unauthorized person or persons to leave the residential property, (5) the unauthorized person or persons are not residents as defined in GS 42-59, (6) the unauthorized person or persons are not tenants as defined in GS 42-59, (7) there is no pending litigation between the property owner and the unauthorized person or persons related to the residential property, and (8) no other valid rental agreement has been entered into or formed by the property owner and the unauthorized person or persons. Defines unauthorized person as a person occupying residential property who has no legal claim to the property and is not entitled to occupy it under a valid rental agreement and who is not otherwise authorized to occupy the property. It does not mean a tenant who holds over after the lease term has expired under GS 42-26.
Provides for an effective removal complaint form under GS 42-80. Requires the Administrative Office of the Courts, (AOC) in consultation with the NC Sheriffs’ Association, to develop the complaint form. Effective July 1, 2024, appropriates from the General Fund to the AOC $10,000 for 2024-25 to develop the complaint form.
Specifies a process for verification of a complaint and removal of unauthorized persons by the sheriff in new GS 42-81, as follows. Requires the sheriff to verify that the complainant is the property owner of record or authorized agent and appears entitled to relief. Gives the sheriff 24 hours to remove the unauthorized person or persons from residential property. Gives the sheriff the power to arrest persons for trespass, outstanding warrants, or other legal cause. Indemnifies sheriff and property owner or their authorized agent from liability to any unauthorized person or other party for loss, destruction, or damage of personal property.
Provides for a remedy for wrongful removal including possession of the property and recovery of actual costs and damages incurred, statutory damages equal to triple the fair market rent of the residence, court costs, and reasonable attorneys' fees under new GS 42-82. Specifies that new Article 8 doesn’t limit the rights of a property owner or limit the authority of a law enforcement officer to arrest an unauthorized person or persons for trespassing, vandalism, theft, or other crimes.
Effective December 1, 2024, and applying to offenses committed on or after that date, amends GS 14-127 (willful and wanton injury to real property), to make it a Class H felony in those instances where a person willfully and wantonly damages, injures, or destroys the residential real property of another, and that damage, injury, or destruction results in damages valued at $1,000 or more, unless the conduct is covered under another provision of law providing greater protection.
Adds new GS 14-117.8 (concerning fraudulent investments and transactions involving residential real property) making it a Class C felony to rent or lease residential real property to another person knowing that the renter or lessor has no lawful ownership in the property or leasehold interest in the property, unless the conduct is covered under another provision of law providing greater punishment. Makes it a Class H felony to list or advertise residential real property for rent, lease, or sale knowing that the purported renter, lessor, or seller has no legal title or authority to rent, lease, or sell the property, unless the conduct is covered under another provision of law providing greater punishment. Effective December 1, 2024, and applies to offenses committed on or after that date.
Amends GS 22-2 (contracts for sale of land and leases) so that its requirements that the agreement is in writing and signed applies to all land contracts and leases (currently, applies to instruments exceeding in duration three years from the making thereof). Effective when it becomes law and applies to rental agreements and leases entered into on or after that date.