Is the transfer of new construction on real estate covered by the bulk sales law?
A. Usually, no. Such a transfer is often being done in the ordinary course of business by a developer or title owner whose business it is to build on and sell real estate with the new construction. Only the transfer of real estate by a title owner who is not ordinarily in the business of conveying real estate, is covered by the bulk sales law. For example, a title owner who is not ordinarily in the business of building new construction or selling real estate, may build new construction with the original intent of leasing it, which she does for six months. At the end of the six month lease, she decides to sell the property. She is not selling it in the ordinary course of business.
