In the Winter 2021 issue of The Michigan Riparian magazine, Attorney Cliff Bloom authored an informative article regarding the possible extinguishment of deed restrictions / restrictive covenants by relatively new legislation and also the risk of a real estate property tax cap “pop-up” by transferring waterfront properties to a limited liability company. After the current issue of the magazine had already gone to press, the Michigan Legislature enacted (and the Governor signed, at the last moment) legislation extending the requirement for filing a Notice of Claim to preserve certain deed restrictions / restrictive covenants for another 3 years or until March 28, 2024. The new legislation can be found at MCL 565.103. Presumably, this last minute legislation was due to many complaints about the short time limit for filing a Notice of Claim and COVID making all matters more difficult, which also prompted the legislature to delay the execution and recording of other documents requiring notarization.

The Michigan Lakes & Streams Association, Inc. is still of the opinion that the original amendment to the Michigan Marketable Record Title Act from 2 years ago threatening deed restrictions / restrictive covenants was bad legislation and should be repealed in its entirety hereafter with regard to deed restrictions / restrictive covenants. Hopefully, such a comprehensive legislative “fix” will occur in the near future. Restrictive covenants / deed restrictions (and any deed restrictions / covenants located in easement documents or otherwise) should be expressly exempt from the “sunset” or “voiding” provisions of that statute.

Amicus Curiae Brief Accepted
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