In a previous update, we noted that the Michigan Marketable Record Title Act (“MRTA”) set a March 29, 2024 deadline for property owners to take action to preserve certain restrictive covenants and use restrictions that originated more than 40 years ago.
The Michigan legislature, however, again amended the MRTA to extend the deadline to record notices that comply with the new requirements in the 2018 amendment from March 29, 2024 to September 29, 2025, giving property owners additional time to act. The amendment is located at 2024-PA-0020.pdf (mi.gov).
The following rationale was provided for the extension:
RATIONALE: The bill extended the sunset for preserving existing mineral or other property interests in a marketable record title. According to testimony before the Senate Committee on Local Government, stakeholders have tried to extend the sunset since 2020 while they work on changes to Public Act (PA) 200 of 1945. Without first extending the sunset from March 29, 2024, to September 29, 2025, the date would have passed and real property interests including easements, restrictions, and agreements to maintain roads or storm drains could have been lost. Accordingly, it was suggested that the sunset be extended to allow more time for stakeholders to modify the Act. 2023-SFA-0721-N.pdf (mi.gov)
As noted previously, property owners or community associations should carefully review their deeds, title reports and any other documentation containing easements or other property use restrictions and consider whether action is required to preserve their property interests. To preserve restrictions which were recorded more than 40 years ago, a Notice of Claim must be recorded with the appropriate County Register of Deeds no later than September 29, 2025.
