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Assembly Bill A5134

2009-2010 Legislative Session

Limits late charges for delinquent rent payments

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Archive: Last Bill Status - In Assembly Committee

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2009-A5134 (ACTIVE) - Details

Current Committee:
Assembly Housing
Law Section:
Real Property Law
Laws Affected:
Add ยง235-g, RP L

2009-A5134 (ACTIVE) - Summary

Limits late charges for delinquent rent payments by residential tenants to two percent of the delinquent installment; no late charge shall be imposed if payment is made within ten days; requires late fees to be billed separately, forbids any lease provision which attempts to waive provisions of law.

2009-A5134 (ACTIVE) - Bill Text download pdf 

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

                                  5134

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            February 10, 2009
                               ___________

Introduced  by  M.  of A. V. LOPEZ, DINOWITZ, CLARK, GREENE, KAVANAGH --
  Multi-Sponsored by -- M. of A. BRENNAN,  GLICK,  GOTTFRIED,  PERRY  --
  read once and referred to the Committee on Housing

AN  ACT to amend the real property law, in relation to late charges paid
  by a residential tenant for delinquent rent payment

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

  Section  1.  The  real property law is amended by adding a new section
235-g to read as follows:
  S 235-G. LATE CHARGE PROVISIONS IN RESIDENTIAL LEASES. 1.  WHENEVER  A
LEASE FOR THE RENTAL OF RESIDENTIAL PROPERTY CONTAINS A PROVISION WHERE-
BY THE LESSOR RETAINS THE RIGHT TO COLLECT A LATE CHARGE ON ANY INSTALL-
MENT OF RENT WHICH HAS BECOME DUE AND REMAINS UNPAID, SUCH CHARGE ON ANY
SUCH  DELINQUENT  INSTALLMENT,  REGARDLESS  OF  THE PERIOD IT REMAINS IN
DEFAULT, SHALL NOT EXCEED AND SHALL ONLY BE ENFORCEABLE TO THE EXTENT OF
UP TO TWO PERCENT OF THE DELINQUENT INSTALLMENT; PROVIDED, HOWEVER, THAT
NO CHARGE SHALL BE IMPOSED ON ANY INSTALLMENT PAID WITHIN TEN DAYS AFTER
THE SPECIFIED DUE DATE.  THE AMOUNT OF ANY SUCH LATE CHARGE SHALL NOT BE
COLLECTED FROM ANY REGULAR RENT PAYMENT, BUT SHALL BE SEPARATELY  BILLED
AND COLLECTED BY THE LESSOR.
  2.  NO  LESSOR  SHALL  BE  ENTITLED TO ANY ADDITIONAL CHARGE AGAINST A
RESIDENTIAL TENANT DUE TO THE LATE PAYMENT  OF  RENT  UNLESS  THE  LEASE
SPECIFICALLY PROVIDES FOR SUCH ADDITIONAL CHARGE AND SUCH CHARGES ARE IN
ACCORDANCE WITH THIS SECTION.
  3.  ANY  PROVISION  OF A LEASE PURPORTING TO WAIVE A PROVISION OF THIS
SECTION SHALL BE VOID AS CONTRARY TO PUBLIC POLICY.
  4. IN ANY ACTION OR PROCEEDING TO ENFORCE A PROVISION IN A LEASE WHICH
CALLS FOR THE IMPOSITION OF ADDITIONAL CHARGES AGAINST THE TENANT DUE TO
LATE PAYMENT OF THE RENT RESERVED THEREIN,  THE  COURT  SHALL  HAVE  THE
DISCRETION  TO  FORGIVE  SUCH OBLIGATION OR REQUIRE THAT PAYMENT OF SUCH
SUM BE MADE ONLY UPON CONDITIONS SET BY  THE  COURT,  EXCEPT  THAT  SUCH

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08363-01-9

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