AN ACT relating to contracts for the improvement of real estate.

This bill raises the minimum contract value that triggers a requirement to set up an escrow account on real estate improvement projects, moving that threshold from $500,000 to $2,000,000. It also makes the underlying escrow protections harder to sign away, prohibiting parties from waiving those rules through contract language. This means fewer improvement contracts will require escrow accounts, while those that do will carry stronger, non-waivable protections. Who it may affect: property owners, real estate developers, and contractors working on large construction or improvement projects in Kentucky.

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