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"Alien Land Law" Restricts Foreign Ownership of Real Property in Florida

Client Alert

 Overview of the Alien Land Law

On May 8, 2023, Governor Ron DeSantis signed Florida Senate Bill 264 (the “Alien Land Law” or the “Law”), which restricts Chinese citizens, along with foreign nationals from Russia, Iran, North Korea, Cuba, Venezuela, and Syria from purchasing agricultural land or real property within a ten-mile radius of a military installation or a critical infrastructure facility. Such military installations must be at least ten contiguous acres, and such critical infrastructures include a chemical manufacturing facility, refinery, electrical power plant, water treatment facility, wastewater treatment plant, liquid natural gas terminal, telecommunications central switching office, gas processing plant, seaport, spaceport, and airport.

Additionally, Chinese individuals who do not have U.S. citizenship or lawful permanent resident status are restricted from owning any type of real property in Florida. Chinese individuals who have a current U.S. Visa are allowed to own one residential property, provided that they complete a special registration with the appropriate agency.

This Law took effect on July 1, 2023. S.B. 264 added a new Part III titled “Conveyances to Foreign Entities” to the existing Chapter 692 of the Florida Statutes which deals with “Conveyances by or to Particular Entities.” The new Part III includes five new sections (Fla. Stat. Sections 692.201-692.205).

 Exceptions to the Law

The Alien Land Law contains certain exceptions. For example:

  • Any person or entity is allowed to have a de minimis indirect interest in agricultural lands or real property within ten miles of any military installation or critical infrastructure facility. The de minimis exception only applies to publicly traded companies.
  • Any foreign principal may acquire real property by devise or descent, through the enforcement of security interest, or through the collection of debts after July 1, 2023, provided that the foreign principal sells, transfers, or otherwise divests itself of such real property within three years after acquiring the real property.
  • Any natural person with a current U.S. Visa not limited to tourist-based travel or that with official documents confirming asylum in the U.S., may acquire, in his/her own name, up to two acres of residential real property not on or within five miles of any military installation. These persons still may not acquire agricultural land, except as authorized under subsection (2). This is the only carve-out available to a Chinese foreign principal.

This Law also has a grandfather clause for properties acquired before July 1, 2023—foreign principals who owned or acquired (greater than de minimis) interest in real property before July 1, 2023 may continue to own that property, but may not acquire by purchase, grant, devise, or descent any additional real property in Florida and must register with relevant departments by a fast-approaching deadline. Agricultural land needs to be registered with the Florida Department of Agriculture and Consumer Service (“FDACS”) by January 1, 2024; and other real property needs to be registered with the Florida Department of Economic Opportunity (“FDEO”) by December 31, 2023.

 Penalties for Violation of the Law

Criminal and civil penalties could attach to violations of this Law. A person or entity who fails timely to file a registration is subject to a civil penalty of $1,000 for each day that the registration is late. The real property may also be forfeited to the state if that property or part of that property is owned or acquired in violation of this Law. In addition, a foreign principal that purchases and a person who knowingly sells real property in violation of this Law may commit a misdemeanor, but it can be a felony to violate the section prohibiting select persons from China from acquiring additional real property. Closing agents with actual knowledge that a transaction will result in a violation of this Law may also be penalized.

 Recent Developments

On May 22, 2023, a lawsuit was filed in the U.S. District Court for the Northern District of Florida seeking an injunction against implementation of the Alien Land Law, claiming that the Law violates the Equal Protection Clause, Due Process Clause and Supremacy Clause of the U.S. Constitution and the Fair Housing Act. Meanwhile, the Alien Land Law delegates the responsibility for adopting rules to implement this Law to the FDEO, FDACS and Florida Real Estate Commission (FREC), including rules establishing the form for the affidavit.

 Buyers of proscribed property must provide an affidavit attesting compliance.

If you have questions about this Law or its recent developments, please contact Attorney Emma Pinder at edpinder@bmdpl.com or Attorney Robert Lee at rqlee@bmdpl.com.


Status Update: Physician Noncompete Agreements in Ohio

Noncompete agreements remain enforceable in Ohio if they meet specific legal requirements. While the AMA and FTC have challenged these restrictions, courts continue to uphold reasonable noncompete provisions for physicians. Recent cases, like MetroHealth System v. Khandelwal, highlight how courts may modify overly restrictive agreements to balance employer interests with patient care. With ongoing legal challenges to the FTC’s proposed ban, Ohio physicians should consult a healthcare attorney before signing or challenging a noncompete agreement.

Immigration Orders and Their Economic Impact on Small Business: Insights from Attorney and Former Immigration Judge Rob Ratliff

President Trump's recent executive orders, targeting immigration policies, could significantly impact small businesses in Ohio, particularly those owned by undocumented immigrants. With stricter visa vetting, halted refugee admissions, and potential deportations, these businesses face uncertainty, workforce disruption, and closures. Ohio's immigrant-owned businesses, especially in food services and transportation, contribute billions to the state economy, and any disruption could result in economic ripple effects.

Corporate Transparency Act Ruling from the U.S. Supreme Court

The U.S. Supreme Court recently ruled on the enforceability of the Corporate Transparency Act (CTA), lifting an injunction previously imposed by the Fifth Circuit. However, a separate nationwide injunction remains in effect, meaning businesses are still not required to comply with the CTA’s reporting requirements. FinCEN continues to accept voluntary reporting while enforcement remains paused.

Lead Paint Contamination and Resources for Ohio Landlords

Children are exposed to lead-based paint, which was used in most homes until it was banned in the US in 1978 and “can severely damage the brain and central nervous system causing coma, convulsions and even death.” Property owners and landlords should educate themselves on regulations and resources to mitigate their own liability.

Will Student-Athlete Collectives Survive NIL Changes?

By July 2025 the landscape of student-athlete funding will look nothing like the current landscape, so preparing now is a must. If you are a student-athlete, the parent of a student-athlete, a university/college, or “booster”, it behooves you to understand these evolving issues.