First Week Working in Real Estate Law: Expectations vs. Reality

Hi, my name is Adriana Sutich and I’m the newest member of the Lieb at Law, P.C. team. I’m waiting on admission to the Bar and then, I will be a closings attorney with the firm. At that time, I’m going to use my married name, Adriana Mason, Esq. Until then, I wanted to share my initial experience as an almost-attorney so that we could get to know one another. 

Before I started working at Lieb at Law, P.C., I had very limited knowledge of what it was like to work in real estate law.  I have a sister-in-law who works at a title company, and a family friend who used to be a real estate attorney, and when I asked them to describe what working in real estate is really like, the phrase that kept coming up was “fast-paced.” So, I knew before I started working here that real estate transactions move along quickly. This makes sense, as it is understandable that people who are buying or selling their home want to get to the closing table as quickly as possible.  In my experience, this definitely proved to be true.  In my first few days, I saw numerous instances where we would get a new deal, have the contract out that same day, the buyer’s attorney would have it signed and returned a day or two later, and then it was on to the next steps. 

What I didn’t anticipate, though, is how many things can go wrong in anticipation of a closing, and how quickly they can fall apart, sometimes at the last minute.  Some examples of last-minute events that can derail a closing include: 

1. A document needed for the closing not arriving in the mail in time. In my first few days, I saw a closing fall apart 45 minutes before it was supposed to start, for this exact reason.
2. The property was not in the exact condition as agreed upon for closing. If there are personal belongings, boxes, or anything still on the premises that isn’t supposed to be there, the closing will be postponed. 
3. There are scheduling issues. It is difficult to get all the necessary parties to be available at the same time for a closing, so if someone must cancel, the closing will have to be postponed, and the scheduling will have to start all over again.

These are just a few situations that I’ve seen during my first few days on the job. I’m sure I will encounter countless other examples as time goes on. 

What other unanticipated events do you think that I will see next?

I’m going to keep sharing my experiences so stay tuned to what I learn next.  

U.S. Supreme Court Allows NYS Landlords to Resume Evictions

The U.S. Supreme Court blocked part of New York’s eviction moratorium, specifically Part A of the COVID-19 Emergency Eviction and Foreclosure Protection Act of 2020 (CEEFPA), which imposed a moratorium on evictions for tenants who provide their landlord with a signed hardship declaration. What this means is that New York State landlords can now resume their eviction matters.

As a reminder, CEEFPA allowed tenants to simply sign and provide a Hardship Declaration to their landlords to halt any eviction proceeding against them. The Supreme Court found that this self-certification by the tenant and CEEFPA’s limited avenue for a landlord to challenge the tenant’s declaration “violates the Court’s longstanding teaching that ordinarily ‘no man can be a judge in his own case.’”

The Supreme Court’s decision is a big win for landlords and it came at a time when everyone is wondering whether CEEFPA’s eviction moratorium, which was set to expire on August 31, 2021, would be extended. However, New York landlord-tenant courts and county sheriffs have yet to implement rules which reflect the Supreme Court’s decision. We’ll keep you posted.

Although the New York eviction moratorium is now essentially nonexistent, it should be noted that the CDC moratorium is still in place until October 3, 2021. However, with the CDC moratorium basically having the same framework as CEEFPA, it's possible that it will also come under the same scrutiny as CEEFPA and also be struck down. What do you think?

Will NY Governor Hochul End the Employer Wage Theft Loophole?

One of the first decisions that Governor Hochul will likely have when she is sworn in should be relatively simple. 

The new Governor should sign S858, which was delivered to the Governor on August 9, 2021, and which amends Labor Law 193 to stop employers from utilizing a narrow definition of deductions to steal wages. The amendment states "THERE IS NO EXCEPTION TO LIABILITY UNDER THIS SECTION FOR THE UNAUTHORIZED FAILURE TO PAY WAGES, BENEFITS OR WAGE SUPPLEMENTS."

As background, the Labor Law authorizes employees to sue to recover "unpaid wages, attorney's fees, and in many cases liquidated damages" for violations of Article 6 of the Labor Law. However, oddly enough, Article 6 does not contain any express obligation to pay wages. Rather, the Labor Law requires timely payment of minimum wage overtime, etc. Employees have used Section 193 ("Deductions from Wages") to try to recover for an employer's complete failure to pay wages with mixed results because Section 193 applies to unlawful deductions from wages, not a failure to pay full wages or an employer, for example, unilaterally reducing an employee's wages for a given pay period for poor performance (not technically considered a "deduction"). Employees, thus, are often left to proceed under a cause of action for breach of contract, which does not permit recovery of liquidated damages and attorneys fees. This new proposed law, which the new Governor should sign, clears up any confusion by clarifying that any non-payment is a deduction and damages are recoverable, including attorneys' fees.

According to the Bill's justification, "employees must be paid what they are owed, no matter what."

If you haven't been paid, you have 6 years under the Labor Law to pursue your wages.

Have you been paid everything that you are owed? If not, you should contact an employment attorney.

Planning to Profit Off the Bipartisan Infrastructure Bill? You Better Start Your Anti-Discrimination Trainings Today

According to the current version of the INVEST in America Act, which passed the Senate on August 10, 2021, all "contractors and subcontractors utilized in carrying out activities funded under title 23, United States Code, should institute respectful workplace policies and provide effective, ongoing workplace training to create safe, respectful work sites that are free from bullying, hazing, discrimination, or harassment." 

For clarity, title 23 of the United States Code is the law about highways. So, if you plan on working on the highways, anti-discrimination trainings must start now!

Do you think that this should be part of the law?

Is anti-discrimination training needed?

Either way, this is a signal that discrimination lawsuits are happening with increased frequency. So, protect yourself today and learn the law. 

New NYS Law Prohibits HOAs from Restricting Solar Installations

As of October 1, 2021, Homeowners Associations will no longer be permitted to blanketly block unit owners from installing solar panels in their full discretion. 

A new NYS law, S2997, prohibits restrictions with "unreasonable limitations" on solar installation, including:

• Inhibiting solar from functioning at maximum efficiency; and 
• Increasing solar installation or maintenance costs by more than 10% of total cost of initial installation of SPS.

The new law also requires HOAs to detail the basis for any solar installation rejection. 

Further, the new law includes a private right of action to sue HOAs who violate the law. 

As a result, HOAs better update their House Rules and policies immediately to avoid being sued. 

Did your Board update your policies yet?