HB1224

House Bill 1224 amends Arkansas law concerning the Commissioner of State Lands' authority regarding tax-delinquent property transactions. It establishes a legal mechanism to cancel and set aside a redemption deed or sale deed if the payment instrument used to secure the property is dishonored, refused due to insufficient funds, or if payment is stopped. The bill authorizes the Commissioner to issue a cancellation deed and requires that such a deed be recorded in the county where the parcel is located, with the Commissioner covering filing costs from the office's maintenance fund. Furthermore, the legislation imposes a financial penalty on the individual or entity that submitted the dishonored payment. This penalty is set at either ten percent of the payment's face value or twenty dollars, whichever is greater. The bill aims to streamline the process for handling failed transactions involving tax-delinquent properties.