Non-Title Recorded Agreements for Personal Service (NTRAPS)

CLTA supports efforts to protect California consumers by prohibiting the filing of unfair real estate fee agreements in property records, also known as Non-Title Recorded Agreements for Personal Services (NTRAPS), a practice that creates impediments and increases the cost and complexity of selling, refinancing or transferring real estate.

Below are a number of resources that CLTA members may find useful related to this practice.

Background

• ALTA Principles and Position on NTRAPS
• Coalition NTRAPS Model Bill Text
• ALTA NTRAPS FAQ
• AARP Testimony on NTRAPS to Philadelphia City Council (August 2022)
• U.S. Senate Banking Committee Letter to CFPB and FTC (Dec. 21, 2022)

Articles

• 5 More States Pass Legislation Banning Unfair Real Estate Fee Agreements (April 6, 2023 - ALTA)
• Massachusets Court Orders MV Realty to Stop Recording 40-year Liens (March 7, 2023 - ALTA)
• Pa. homeowners are getting scammed by a Florida-based real estate firm, the attorney general and advocates say (Dec. 15, 2022 - Philadelphia Daily News)
• Florida AG files complaint against MV Realty (Nov. 30 2022 - Boston 25 News)
• Florida Attorney General sues real estate brokerage for scamming homeowners (Nov. 30, 2022 - Tampa Bay Times)

Regulatory / Legislative Actions

• FCC Public Notice - FCC Enforcement Bureau Notifies All U.S.-Based Providers of Apparently Illegal Robocall Traffic from PhoneBurner Inc. and MV Realty PBC, LLC (January 24, 2023)
• Link to ALTA NTRAPS Resource Page