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Bill > S02117


NY S02117

NY S02117
Relates to prosecution by the department of financial services (DFS) and municipalities of certain violations regarding residential real property by mortgage lenders and similar entities; directs DFS to promulgate standards of review of whether to prosecute such violations; requires deference to municipalities where both the municipality and DFS are authorized to prosecute such a violation; directs payments of civil penalties issued pursuant to such violations to be paid to DFS if DFS is the pro


summary

Introduced
01/15/2025
In Committee
01/07/2026
Crossed Over
06/11/2025
Passed
Dead

Introduced Session

2025-2026 General Assembly

Bill Summary

AN ACT to amend the real property actions and proceedings law, in relation to prosecution by the department of financial services and municipalities of certain violations regarding residential real properties

AI Summary

This bill amends the real property actions and proceedings law to establish new guidelines for prosecuting violations related to residential real property by the Department of Financial Services (DFS) and municipalities. The bill requires the DFS to create regulatory standards for deciding whether to pursue prosecutions of property-related violations. When both the DFS and a municipality have the authority to prosecute a violation, the DFS must defer to the municipality and only proceed if the municipality confirms it will not pursue the case. If the DFS successfully prosecutes a violation and receives a civil penalty, those funds must be used for future violation prosecutions. The bill broadly defines "residential real property" as any building or structure in New York that is used, either wholly or partially, as a residence, including mixed-use residential and commercial properties. The legislation will take effect 60 days after becoming law, with immediate authorization for developing necessary implementing regulations.

Committee Categories

Housing and Urban Affairs, Justice

Sponsors (1)

Last Action

ADVANCED TO THIRD READING (on 03/23/2026)

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