1. (1) A record interest holder may petition a court to nullify a fraudulent deed and record a lis pendens on a property affected by the fraudulent deed.

2. (2) A petition described in Subsection (1) shall:

   1. (a) state with specificity that the deed is a fraudulent deed; and
   2. (b) be supported by a sworn affidavit of the record interest holder.

3. (3)

   1. (a) A court considering a petition described in Subsection (1) may dismiss the petition without a hearing, if the court finds the petition insufficient.
   2. (b) If the court dismisses a petition as described in Subsection (3)(a), the court shall include the reason for dismissing the petition in the order of dismissal.
   3. (c) If the court finds the petition sufficient, the court shall schedule a hearing within 10 days after the day on which the petition is filed for the purpose of determining whether the deed is a fraudulent deed.
   4. (d) The record interest holder shall serve a copy of the petition and a copy of the notice of the hearing on the purported grantee and, if known to the record interest holder, the purported grantor.
   5. (e) The purported grantor and purported grantee may attend the hearing described in Subsection (3)(c) to contest the petition.

4. (4) A proceeding under this section:

   1. (a) may only determine whether a document is a fraudulent deed; and
   2. (b) may not determine any other property or legal rights of the parties or restrict other legal remedies of any party.

5. (5)

   1. (a) If, after the hearing described in Subsection (3), a court determines that a deed is a fraudulent deed:

      1. (i) the court shall:

         1. (A) issue an order declaring the fraudulent deed void ab initio and the fraudulent deed provides no conveyance of any interest in real property;
         2. (B) in the order described in Subsection (5)(a)(i)(A), include a legal description of the property and a reference to the recording of the fraudulent deed; and
         3. (C) award costs and reasonable attorney fees to the petitioner; and
      2. (ii) the record interest holder shall submit a certified copy of the order, containing a legal description of the real property, to the county recorder for recording.

   2. (b) If, after the hearing described in Subsection (3), a court determines that the deed is not a fraudulent deed:

      1. (i) the court:

         1. (A) shall dismiss the petition;
         2. (B) may award costs and reasonable attorney fees to the purported grantor and purported grantee; and
         3. (C) shall include in the dismissal order a legal description of the property; and
      2. (ii) the purported grantor or purported grantee shall record a certified copy of the dismissal order.
6. (6) If a petition under this section contains a claim for damages, a court may not expedite the proceedings related to the claim for damages.

Enacted by Chapter 188, 2024 General Session