|
New York State Senate Bill S03845, recently passed by both legislative chambers and awaiting the Governor’s approval, aims to prohibit residential landlords from charging tenants fees for dishonored rent checks that exceed the actual costs incurred by the landlord, provided such fees were specified in the initial lease. Once again, legislation intended to regulate landlord-tenant relationships has inadvertently encompassed cooperative housing corporations (co-ops). The passage of S03845 underscores the pressing need for a permanent legislative solution that explicitly distinguishes co-ops from traditional landlord-tenant regulations.
This passage of the basically innocuous legislation further exemplifies the need for the passage of the Permanent Cooperative Carve Out bill (S9721A & A10467). While this bill slipped through the proverbial legislative cracks, the next one could do great harm to the Cooperative Housing Community. To safeguard the cooperative housing community, it is imperative to advocate this Permanent Cooperative Carve Out Bill that permanently clarifies the distinction between co-ops and conventional rental arrangements. This bill would permanently prevent the recurrence of unintended regulatory impacts and ensure that co-ops can operate effectively, preserving their unique ownership and governance structures.
While addressing the immediate concerns posed by S03845 is important, establishing a lasting legislative framework that unequivocally differentiates co-ops from traditional landlord-tenant relationships is essential to protect the interests of cooperative housing stakeholders in New York State.
We will keep you apprised of any new developments in this matter. Don't hesitate to get in touch with us if you have any questions regarding this or any other matter.
| 
