(This measure has not been amended since it was reported to the House on July 31, 2012. The summary of that version is repeated here.)
RESPA Home Warranty Clarification Act of 2012 - Amends the Real Estate Settlement Procedures Act of 1974 (RESPA) to state that no prohibited kickback or unearned fee incident to a real estate settlement service involving a federally related mortgage loan shall be deemed to include, or be deemed to have included, homeowner warranties or similar residential service contracts for the repair or replacement of home system components or home appliances.
Requires any person that pays another person not employed by the person for selling, advertising, marketing, or processing, or performing an inspection in connection with, a homeowner warranty or similar residential service contract for the repair or replacement of home system components or home appliances, to include a specified statement reflecting this Act in any such warranty or contract incident to a transaction involving the origination of a federally related mortgage loan.
Requires any person who has contracted to receive payment from a provider of such services for recommending the purchase of a home warranty or similar residential service contract, and is not an employee of such provider, to give the potential purchaser, upon first recommending such a purchase, a written notice informing the individual that such person has received or will receive compensation from the warranty company for the residential service. Allows the individual to opt out of purchasing such a warranty or service contract, or to purchase it from another provider.
[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2446 Introduced in House (IH)]
112th CONGRESS
1st Session
H. R. 2446
To clarify the treatment of homeowner warranties under current law, and
for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 7, 2011
Mrs. Biggert (for herself and Mr. Clay) introduced the following bill;
which was referred to the Committee on Financial Services
_______________________________________________________________________
A BILL
To clarify the treatment of homeowner warranties under current law, and
for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``RESPA Home Warranty Clarification
Act of 2011''.
SEC. 2. TREATMENT OF HOMEOWNER WARRANTIES.
Section 8 of the Real Estate Settlement Procedures Act of 1974 (12
U.S.C. 2607) is amended by adding at the end the following new
subsection:
``(e) Homeowner Warranties.--
``(1) In general.--Nothing in this section, section 2, or
section 3 shall be deemed to include, or be deemed to have
included, homeowner warranties or similar residential service
contracts for the repair or replacement of home system
components or home appliances.
``(2) Notice.--Any person that pays another person not
employed by the person for selling, advertising, marketing, or
processing, or performing an inspection in connection with, a
homeowner warranty or similar residential service contract for
the repair or replacement of home system components or home
appliances shall include the following statement, in boldface
type that is 10-point or larger, in any such warranty or
contract offered or sold as an incident to or as part of any
transaction involving the origination of a federally related
mortgage loan:
``NOTICE: THIS COMPANY MAY PAY PERSONS NOT EMPLOYED
BY THE COMPANY FOR SELLING, ADVERTISING, MARKETING, OR
PROCESSING, OR PERFORMING AN INSPECTION IN CONNECTION
WITH, A HOMEOWNER WARRANTY OR SIMILAR RESIDENTIAL
SERVICE CONTRACT FOR REPAIRING OR REPLACING HOME SYSTEM
COMPONENTS OR HOME APPLIANCES.''.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Financial Services.
Hearings Held by the Subcommittee on Insurance, Housing and Community Opportunity Prior to Referral.
Referred to the Subcommittee on Insurance, Housing and Community Opportunity.
Subcommittee Consideration and Mark-up Session Held.
Forwarded by Subcommittee to Full Committee by Voice Vote .
Committee Consideration and Mark-up Session Held.
Ordered to be Reported (Amended) by Voice Vote.
Reported (Amended) by the Committee on Financial Services. H. Rept. 112-633.
Reported (Amended) by the Committee on Financial Services. H. Rept. 112-633.
Placed on the Union Calendar, Calendar No. 455.
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Mrs. Biggert moved to suspend the rules and pass the bill, as amended.
Considered under suspension of the rules. (consideration: CR H5612-5613)
DEBATE - The House proceeded with forty minutes of debate on H.R. 2446.
Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote.(text: CR H5612)
On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H5612)
Motion to reconsider laid on the table Agreed to without objection.
Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.