Senate Bill S7955A

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

                                 7955--A

                            I N  S E N A T E

                              May 31, 2016
                               ___________

Introduced  by  Sen.  GOLDEN -- read twice and ordered printed, and when
  printed to be committed to the Committee  on  Judiciary  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

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:

  Section 1. Section 291 of the real property law, as amended by chapter
447 of the laws of 1984, is amended to read as follows:
  S 291. Recording of conveyances.  A conveyance of real property, with-
in  the  state,  on  being duly acknowledged by the person executing the
same, or proved as required by this chapter, and such acknowledgment  or
proof  duly  certified when required by this chapter, may be recorded in
the office of the clerk of the county where such real property is  situ-
ated,  and  such  county clerk OR CITY REGISTRAR WHERE APPLICABLE shall,
upon the request of any party, on tender of the  lawful  fees  therefor,
record  the  same  in  [his] said office.   Every such conveyance not so
recorded is void as against any person  who  subsequently  purchases  or
acquires  by  exchange  or contracts to purchase or acquire by exchange,
the same real property or any portion thereof, or acquires by assignment
the rent to accrue therefrom as provided in section two hundred  ninety-
four-a  of [the real property law] THIS ARTICLE, in good faith and for a
valuable consideration, from the same vendor or assignor, his  distribu-
tees  or devisees, and whose conveyance, contract or assignment is first
duly recorded, and is void as against the lien upon the same real  prop-
erty  or  any  portion  thereof  arising  from  payments  made  upon the
execution of or pursuant to the  terms  of  a  contract  with  the  same
vendor,  his  distributees or devisees, if such contract is made in good
faith and is first duly recorded.   Notwithstanding the  foregoing,  any
increase  in  the  principal balance of a mortgage lien by virtue of the
addition thereto of unpaid interest in accordance with the terms of  the
mortgage  shall  retain the priority of the original mortgage lien as so
increased provided that any such  mortgage  instrument  sets  forth  its

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

                                                           LBD03554-06-6

S. 7955--A                          2

terms  of  repayment.    THE CLERK OF THE COUNTY OR CITY REGISTRAR WHERE
SUCH CONVEYANCE OF RESIDENTIAL REAL PROPERTY IS RECORDED AND  MAINTAINED
SHALL  MAIL  A WRITTEN NOTICE OF SUCH CONVEYANCE TO THE OWNER OF RECORD.
THE NOTICE SHALL HAVE THE HEADING PRINTED IN 20 POINT BOLD TYPE AND READ
AS FOLLOWS:
"NOTICE OF SALE OR TRANSFER OF OWNERSHIP OF YOUR RESIDENTIAL PROPERTY.
TO:______________________________
      NAME OF OWNER OF RECORD

OUR  RECORDS SHOW THAT YOU ARE LISTED AS THE CURRENT OWNER OF RECORD FOR
RESIDENTIAL PROPERTY:

BLOCK # __________  LOT # ________

LOCATED AT: ___________________________
                  STREET ADDRESS

IN THE COUNTY OF __________________ NEW YORK
ON ____________, DOCUMENTS WERE FILED AT THIS
      DATE
OFFICE TO CHANGE OWNERSHIP AND TRANSFER TITLE OF YOUR PROPERTY.

TO: ______________________________
          NAME OF NEW OWNER

IF YOU HAVE ANY QUESTIONS REGARDING THE VALIDITY OF THE  DOCUMENTS,  AND
WISH  TO  DISPUTE THE RECORDING OF THE TRANSFER, YOU SHOULD OBTAIN LEGAL
COUNSEL. IF YOU BELIEVE YOU ARE A VICTIM OF  A  CRIME  RELATED  TO  THIS
RECORDING,  CONTACT YOUR LOCAL LAW ENFORCEMENT AGENCY OR, IF IN THE CITY
OF NEW YORK, THE OFFICE OF THE SHERIFF."
THE PARTY SEEKING TO RECORD SUCH CONVEYANCE SHALL BEAR THE COST OF  SUCH
WRITTEN  NOTICE.    THE  PARTY  SEEKING  TO  RECORD THE CONVEYANCE SHALL
SUBMIT, CONTEMPORANEOUSLY WITH THE FILING OF THE DOCUMENT OF CONVEYANCE,
A PRE-STAMPED ENVELOPE BEARING SUFFICIENT POSTAGE TO MAIL A LARGE ENVEL-
OPE BY FIRST CLASS MAIL.  FAILURE TO MAIL SUCH NOTICE OR THE FAILURE  OF
ANY  PARTY  TO  RECEIVE  THE  SAME, SHALL NOT AFFECT THE VALIDITY OF THE
CONVEYANCE OF THE PROPERTY.
  S 2. This act shall take effect on the ninetieth day  after  it  shall
have become a law.