Bill > A08403

This bill amends the real property actions and proceedings law to establish new guidelines for prosecution of violations related to residential real property by the Department of Financial Services (DFS). The bill requires DFS to create regulatory standards for deciding whether to pursue prosecutions of such violations. When both DFS and a municipality are authorized to prosecute a violation, the bill mandates that DFS defer to the municipality and only proceed if the municipality confirms it will not take action. If DFS successfully prosecutes a violation and receives a civil penalty, those funds must be used for future violation prosecutions. The bill also provides a comprehensive definition of "residential real property" that includes buildings used for both residential and personal living purposes, ensuring broad coverage. This legislation aims to clarify prosecution responsibilities and provide a structured approach to addressing violations in the residential real estate sector, with a particular focus on creating clear guidelines and avoiding duplicative enforcement efforts. The bill will take effect 60 days after becoming law, with immediate authorization for developing necessary implementation regulations.

Justice

https://www.nysenate.gov/legislation/bills/2025/A8403