Bill Text: NY A00440 | 2019-2020 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Provides for a notice of conveyance of real property to be sent to the owners of record of residential real property; provides persons filing for conveyance shall bear the cost of mailing.

Spectrum: Partisan Bill (Democrat 17-0)

Status: (Passed) 2019-12-12 - SIGNED CHAP.641 [A00440 Detail]

Download: New_York-2019-A00440-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                           440
                               2019-2020 Regular Sessions
                   IN ASSEMBLY
                                       (Prefiled)
                                     January 9, 2019
                                       ___________
        Introduced  by  M.  of  A. PERRY, BARRON, COOK, HYNDMAN, TAYLOR, RIVERA,
          WILLIAMS, WRIGHT, WEPRIN, WALLACE -- Multi-Sponsored by --  M.  of  A.
          BENEDETTO,  COLTON,  DE LA ROSA,  GALEF, L. ROSENTHAL, SIMON, TITUS --
          read once and referred to the Committee on Judiciary
        AN ACT to amend the real property law, in relation to notice of sale  or
          transfer of ownership of residential property
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Section 291 of the real property law, as amended by chapter
     2  447 of the laws of 1984, is amended to read as follows:
     3    § 291. Recording of conveyances.  A conveyance of real property, with-
     4  in the state, on being duly acknowledged by  the  person  executing  the
     5  same,  or proved as required by this chapter, and such acknowledgment or
     6  proof duly certified when required by this chapter, may be  recorded  in
     7  the  office of the clerk of the county where such real property is situ-
     8  ated, and such county clerk or city registrar  where  applicable  shall,
     9  upon  the  request  of any party, on tender of the lawful fees therefor,
    10  record the same in [his] said office.   Every  such  conveyance  not  so
    11  recorded  is  void  as  against any person who subsequently purchases or
    12  acquires by exchange or contracts to purchase or  acquire  by  exchange,
    13  the same real property or any portion thereof, or acquires by assignment
    14  the  rent to accrue therefrom as provided in section two hundred ninety-
    15  four-a of [the real property law] this article, in good faith and for  a
    16  valuable  consideration, from the same vendor or assignor, his distribu-
    17  tees or devisees, and whose conveyance, contract or assignment is  first
    18  duly  recorded, and is void as against the lien upon the same real prop-
    19  erty or  any  portion  thereof  arising  from  payments  made  upon  the
    20  execution  of  or  pursuant  to  the  terms  of a contract with the same
    21  vendor, his distributees or devisees, if such contract is made  in  good
    22  faith  and  is  first duly recorded.  Notwithstanding the foregoing, any
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD05315-01-9

        A. 440                              2
     1  increase in the principal balance of a mortgage lien by  virtue  of  the
     2  addition  thereto of unpaid interest in accordance with the terms of the
     3  mortgage shall retain the priority of the original mortgage lien  as  so
     4  increased  provided  that  any  such  mortgage instrument sets forth its
     5  terms of repayment.  The clerk of the county  or  city  registrar  where
     6  such  conveyance of residential real property is recorded and maintained
     7  shall mail a written notice of such conveyance to the owner  of  record.
     8  The notice shall have the heading printed in 20 point bold type and read
     9  as follows:
    10  "NOTICE OF SALE OR TRANSFER OF OWNERSHIP OF YOUR RESIDENTIAL PROPERTY.
    11  To:______________________________
    12        Name of owner of record
    13  Our  records show that you are listed as the current owner of record for
    14  residential property:
    15  Block # __________  Lot # ________
    16  Located At: ___________________________
    17                    street address
    18  in the county of __________________ New York
    19  On ____________, documents were filed at this
    20        date
    21  office to change ownership and transfer title of your property.
    22  To: ______________________________
    23            name of new owner
    24  If you have any questions regarding the validity of the  documents,  and
    25  wish  to  dispute the recording of the transfer, you should obtain legal
    26  counsel. If you believe you are a victim of  a  crime  related  to  this
    27  recording,  contact your local law enforcement agency or, if in the City
    28  of New York, the office of the sheriff."
    29  The party seeking to record such conveyance shall bear the cost of  such
    30  written  notice.    The  party  seeking  to  record the conveyance shall
    31  submit, contemporaneously with the filing of the document of conveyance,
    32  a pre-stamped envelope bearing sufficient postage to mail a large envel-
    33  ope by first class mail.  Failure to mail such notice or the failure  of
    34  any  party  to  receive  the  same, shall not affect the validity of the
    35  conveyance of the property.
    36    § 2. This act shall take effect on the ninetieth day  after  it  shall
    37  have become a law.
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