New York has passed a new law, Bill S2271, that simplifies the recognition of out-of-state notarizations, making it easier for businesses and individuals to transact business across state lines.

Previously, New York required a "certificate of conformity" to verify that out-of-state notarizations complied with the laws of the other state. This extra step created delays and added costs for transactions. Under the new law, the signatures and titles of authorized out-of-state notaries now serve as conclusive proof of their authority. 

In simple terms, if a document is notarized according to the laws of another state, it will be treated as valid in New York without additional verification.

By eliminating these unnecessary hurdles, the law streamlines cross-state transactions, saving time and money. Businesses can now operate more efficiently across state lines, while individuals benefit from smoother processes when buying property, signing contracts, or managing other legal matters.

The law is effective immediately, offering instant relief to those dealing with cross-state paperwork. Whether you’re a business professional or a consumer, this change makes interstate transactions easier, less expensive, and more efficient. 

The New York City Council has approved the FARE Act (Int 0360-2024), a new bill that eliminates upfront broker fees for most renters. 

Currently, New York is one of the only places in the country where tenants are required to pay these fees, often around 15% of the yearly rent, even when they’ve never met the broker. This has meant an average upfront cost of $13,000 for renters, which includes broker fees, security deposits, and first month’s rent. Under the FARE Act, the responsibility for paying the broker fee will shift to the party that hires the broker—usually the landlord or building manager—unless the tenant specifically hires the broker. 

The bill passed with solid support, at 42 votes to 8. Proponents argue it’s common sense that the party hiring the broker should pay for their services, adding that the FARE Act will help make housing more accessible for working- and middle-income renters. However, critics, including the Real Estate Board of New York (REBNY), have raised concerns that the law could lead to higher rents, make it more difficult to find housing, and harm brokers.

Sketchy landlords beware! 

New York's Real Property Actions and Proceedings Law Article 7-C has been added by A3241 to give tenants and municipalities a new tool in their arsenal to address persistent unsafe conditions that are neglected by their landlords. 

Applicable in both residential and commercial mixed use properties, the new law, which is immediately effective, allows for receivership proceedings where a landlord has failed to remedy “conditions dangerous to life, health, or safety.” Basically, this means a court may appoint an independent “receiver” who is empowered to manage and redirect rent deposits towards fixing an issue that a landlord has neglected to sufficiently address.

However, what's interesting is the flip side of the law. It's yet another reminder that tenants should not unilaterally withhold rent or make repairs, outside of their rights in their specific lease, when there are habitability issues at the premises. Instead, they should follow the law and have their rental money deposited with the Court. Doing it otherwise is technically a grounds for eviction. Simple stated, there is a procedure when a landlord doesn't fix property and you, as a tenant, can't decide to just not pay when it's not being fixed. 

This procedure of depositing rent into Court and having a receiver appointed was formerly available only in New York City, but now applies statewide.