Bill > A02611

This bill amends New York's real property law to expand landlords' obligations to mitigate damages when commercial tenants break their lease by vacating premises prematurely. The legislation requires landlords to make good faith efforts to re-rent the vacated space at either the fair market value or the original lease rate, whichever is lower. If the landlord successfully rents the space to a new tenant, the new lease will effectively terminate the previous tenant's lease and limit the damages that can be recovered from the original tenant. The bill also explicitly invalidates any lease provisions that attempt to exempt landlords from this mitigation responsibility, deeming such clauses contrary to public policy. Importantly, this amendment removes the previous language that limited the mitigation requirement to residential properties, effectively extending the duty to commercial leases. The burden of proof in any dispute will remain on the party seeking to recover damages, and the law takes effect immediately upon passage.

Justice

https://www.nysenate.gov/legislation/bills/2025/A2611