S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7287

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                             March 27, 2009
                               ___________

Introduced  by M. of A. ROSENTHAL, GOTTFRIED, KELLNER -- Multi-Sponsored
  by -- M. of A.   BRENNAN, MAISEL -- read  once  and  referred  to  the
  Committee on Judiciary

AN  ACT to amend the real property law, in relation to online listing of
  property for sale or rent

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Subdivision 1 of section 440 of the real property law, as
amended by chapter 324 of the laws  of  1998,  is  amended  to  read  as
follows:
  1.  Whenever  used  in  this  article  "real  estate broker" means any
person, firm, limited liability company or corporation, who, for another
and for a fee, commission or other  valuable  consideration,  lists  for
sale, COMPILES AND PROVIDES ONLINE LISTINGS OF REAL PROPERTY FOR RENT OR
SALE,  sells,  at  auction  or  otherwise,  exchanges, buys or rents, or
offers or attempts  to  negotiate  a  sale,  at  auction  or  otherwise,
exchange, purchase or rental of an estate or interest in real estate, or
collects  or  offers  or  attempts  to  collect rent for the use of real
estate, or negotiates or offers or attempts to negotiate, a loan secured
or to be secured by a mortgage, other than a residential mortgage  loan,
as  defined  in section five hundred ninety of the banking law, or other
incumbrance upon or transfer of real estate, or is engaged in the  busi-
ness  of a tenant relocator, or who, notwithstanding any other provision
of law, performs any of the above stated functions with respect  to  the
resale   of   condominium  property  originally  sold  pursuant  to  the
provisions of the general business law governing real estate syndication
offerings. In the sale of lots pursuant to  the  provisions  of  article
nine-A of this chapter, the term "real estate broker" shall also include
any  person,  partnership,  association or corporation employed by or on
behalf of the owner or owners of lots or other parcels of  real  estate,
at  a  stated salary, or upon a commission, or upon a salary and commis-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05673-01-9
              

A. 7287                             2

sion, or otherwise, to sell such real estate, or any parts  thereof,  in
lots  or  other  parcels,  and  who  shall sell or exchange, or offer or
attempt or agree to negotiate the sale or exchange, of any such  lot  or
parcel  of  real  estate.  For  purposes  of  this subdivision the term,
"interest in real estate" shall include the sale of a  business  wherein
the  value of the real estate transferred as part of the business is not
merely incidental to the transaction, and shall not include the  assign-
ment  of  a  lease, and further, the transaction itself is not otherwise
subject to regulation under state or federal laws governing the sale  of
securities.  In  connection  with  the sale of a business the term "real
estate broker" shall not include a person, firm  or  corporation  regis-
tered pursuant to the provisions of article twenty-three-A of the gener-
al business law or federal securities laws.
  S 2. Subdivision 1 of section 442-k of the real property law, as added
by chapter 248 of the laws of 1995, is amended to read as follows:
  1.  The  state  real  estate  board shall have the power to promulgate
rules or regulations affecting brokers and sales  persons  in  order  to
administer  and  effectuate  the  purposes  of this article, except that
matters pertaining  to  commingling  money  of  a  principal,  rendering
accounts for a client, managing property for a client, broker's purchase
of  property listed with him or her, inducing breach of contract of sale
or lease, and records of transactions to be maintained, AND ONLINE POST-
INGS OF REAL PROPERTY FOR RENT OR SALE are reserved  for  the  exclusive
regulatory authority of the secretary of state.  The secretary of state,
and  not  the  state real estate board, shall promulgate rules and regu-
lations to administer or  implement  the  provisions  of  sections  four
hundred  forty-one  and  four  hundred forty-two-h of this article.   In
addition, the secretary of state shall have exclusive regulatory author-
ity to promulgate rules regarding the  duties  and  responsibilities  of
real  estate  brokers  and  salespersons  with regard to the handling of
clients' funds.
  S 3. Subdivision 2 of section 446-a  of  the  real  property  law,  as
amended  by  chapter  805  of  the  laws  of 1980, is amended to read as
follows:
  2. "Apartment information vendor" means any person who engages in  the
business  of  claiming,  demanding,  charging, receiving, collecting, or
contracting for the collection of, a fee from a customer for  furnishing
information  concerning  the location and availability of real property,
including apartment housing, which may  be  leased,  rented,  shared  or
sublet  as  a  private dwelling, abode, or place of residence. The defi-
nition of apartment information vendor shall include an apartment  shar-
ing  agent  which  means  any person who, for a fee, arranges, conducts,
coordinates, handles or causes  meetings  between  a  customer  and  the
current  owner  or occupant of legally occupied real property, including
apartment housing, who wishes to share that housing  with  one  or  more
individuals  as  a private dwelling, abode or place of residence, but it
shall not apply TO A  LICENSED  REAL  ESTATE  BROKER  WHO  COMPILES  AND
PROVIDES FOR A FEE ONLINE LISTINGS OF REAL PROPERTY FOR RENT OR SALE, OR
to  any  person who for another and for a fee, commission or other valu-
able  consideration,  supervises,  organizes,   arranges,   coordinates,
handles  or  is otherwise in charge of or responsible for the relocation
of commercial or residential tenants from buildings or  structures  that
are to be demolished, rehabilitated, remodeled or otherwise structurally
altered.
  S 4. This act shall take effect immediately.