S T A T E O F N E W Y O R K
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10315
I N A S S E M B L Y
April 22, 2020
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Introduced by M. of A. EPSTEIN -- read once and referred to the Commit-
tee on Judiciary
AN ACT to amend the real property law, in relation to prohibiting
eviction without good cause for commercial tenants
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 article
6-A to read as follows:
ARTICLE 6-A
PROHIBITION OF EVICTION WITHOUT GOOD CAUSE FOR COMMERCIAL TENANTS
SECTION 210. DEFINITIONS.
211. NECESSITY FOR GOOD CAUSE.
212. GROUNDS FOR REMOVAL OF TENANTS.
213. PRESERVATION OF EXISTING REQUIREMENTS OF LAW.
214. WAIVER OF RIGHTS VOID.
§ 210. DEFINITIONS. AS USED IN THIS ARTICLE, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS:
1. "COMMERCIAL PREMISES" SHALL MEAN A BUILDING OR SPACE OCCUPIED FOR
NON-RESIDENTIAL PURPOSES INCLUDING, BUT NOT LIMITED TO, MANUFACTURING,
RETAIL, PROFESSIONAL SERVICES, OFFICES, ASSEMBLING, PROCESSING, CULTURAL
AND NOT-FOR-PROFIT ENTITIES WHO HAVE A VALID COMMERCIAL LEASE.
2. "LANDLORD" SHALL MEAN ANY OWNER, LESSOR, SUBLESSOR, ASSIGNOR, OR
OTHER PERSON RECEIVING OR ENTITLED TO RECEIVE RENT FOR THE OCCUPANCY OF
ANY COMMERCIAL PREMISES, OR AN AGENT OF ANY OF THE FOREGOING.
3. "RENT" SHALL MEAN ANY CONSIDERATION, INCLUDING ANY BONUS, BENEFIT
OR GRATUITY DEMANDED OR RECEIVED FOR OR IN CONNECTION WITH THE
POSSESSION, USE OR OCCUPANCY OF ANY COMMERCIAL PREMISES OR THE EXECUTION
OR TRANSFER OF A LEASE FOR SUCH COMMERCIAL PREMISES.
4. "TENANT" SHALL MEAN A TENANT, SUB-TENANT, LESSEE, SUBLESSEE, ASSIG-
NEE OR ANY OTHER PERSON ENTITLED TO THE POSSESSION, USE OR OCCUPANCY OF
ANY COMMERCIAL PREMISES.
§ 211. NECESSITY FOR GOOD CAUSE. NO LANDLORD SHALL, BY ACTION TO EVICT
OR TO RECOVER POSSESSION, BY EXCLUSION FROM POSSESSION, BY FAILURE TO
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD13586-02-9
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RENEW ANY LEASE, OR OTHERWISE, REMOVE ANY TENANT FROM ANY COMMERCIAL
PREMISES EXCEPT FOR GOOD CAUSE AS DEFINED IN SECTION TWO HUNDRED TWELVE
OF THIS ARTICLE.
§ 212. GROUNDS FOR REMOVAL OF TENANTS. 1. NO LANDLORD SHALL REMOVE A
TENANT FROM ANY COMMERCIAL PREMISES, OR ATTEMPT SUCH REMOVAL OR EXCLU-
SION FROM POSSESSION, NOTWITHSTANDING THAT THE TENANT HAS NO WRITTEN
LEASE OR THAT THE LEASE OR OTHER RENTAL AGREEMENT HAS EXPIRED OR OTHER-
WISE TERMINATED, EXCEPT UPON ORDER OF A COURT OF COMPETENT JURISDICTION
ENTERED IN AN APPROPRIATE JUDICIAL ACTION OR PROCEEDING IN WHICH THE
PETITIONER OR PLAINTIFF HAS ESTABLISHED ONE OF THE FOLLOWING GROUNDS AS
GOOD CAUSE FOR REMOVAL OR EVICTION:
(A) THE TENANT HAS FAILED TO PAY RENT DUE AND OWING, PROVIDED HOWEVER
THAT THE RENT DUE AND OWING, OR ANY PART THEREOF, DID NOT RESULT FROM A
RENT INCREASE WHICH IS UNCONSCIONABLE OR IMPOSED FOR THE PURPOSE OF
CIRCUMVENTING THE INTENT OF THIS ARTICLE. IN DETERMINING WHETHER ALL OR
PART OF THE RENT DUE AND OWING IS THE RESULT OF AN UNCONSCIONABLE RENT
INCREASE, IT SHALL BE A REBUTTABLE PRESUMPTION THAT THE RENT FOR ANY
COMMERCIAL PREMISES IS UNCONSCIONABLE IF SAID RENT HAS BEEN INCREASED IN
ANY CALENDAR YEAR BY A PERCENTAGE EXCEEDING ONE AND ONE-HALF TIMES THE
ANNUAL PERCENTAGE CHANGE IN THE CONSUMER PRICE INDEX FOR THE REGION IN
WHICH THE COMMERCIAL PREMISES IS LOCATED, AS ESTABLISHED THE AUGUST
PRECEDING THE CALENDAR YEAR IN QUESTION;
(B) THE TENANT IS VIOLATING A SUBSTANTIAL OBLIGATION OF HIS OR HER
TENANCY, OTHER THAN THE OBLIGATION TO SURRENDER POSSESSION, AND HAS
FAILED TO CURE SUCH VIOLATION AFTER WRITTEN NOTICE THAT THE VIOLATION
CEASE WITHIN TEN DAYS OF RECEIPT OF SUCH WRITTEN NOTICE, PROVIDED HOWEV-
ER, THAT THE OBLIGATION OF TENANCY FOR WHICH VIOLATION IS CLAIMED WAS
NOT IMPOSED FOR THE PURPOSE OF CIRCUMVENTING THE INTENT OF THIS ARTICLE;
(C) THE TENANT IS COMMITTING OR PERMITTING A NUISANCE IN SUCH COMMER-
CIAL PREMISES, OR IS MALICIOUSLY OR BY REASON OF NEGLIGENCE DAMAGING THE
COMMERCIAL PREMISES; OR THE TENANT'S CONDUCT IS SUCH AS TO INTERFERE
WITH THE COMFORT OF THE LANDLORD OR OTHER TENANTS OR OCCUPANTS OF THE
SAME OR ADJACENT BUILDINGS OR STRUCTURES;
(D) OCCUPANCY OF THE COMMERCIAL PREMISES BY THE TENANT IS IN VIOLATION
OF OR CAUSES A VIOLATION OF LAW AND THE LANDLORD IS SUBJECT TO CIVIL OR
CRIMINAL PENALTIES THEREFORE; PROVIDED HOWEVER THAT AN AGENCY OF THE
STATE OR MUNICIPALITY HAVING JURISDICTION HAS ISSUED AN ORDER REQUIRING
THE TENANT TO VACATE THE COMMERCIAL PREMISES. NO TENANT SHALL BE REMOVED
FROM POSSESSION OF A COMMERCIAL PREMISES ON SUCH GROUND UNLESS THE COURT
FINDS THAT THE CURE OF THE VIOLATION OF LAW REQUIRES THE REMOVAL OF THE
TENANT AND THAT THE LANDLORD DID NOT THROUGH NEGLECT OR DELIBERATE
ACTION OR FAILURE TO ACT CREATE THE CONDITION NECESSITATING THE VACATE
ORDER. IN INSTANCES WHERE THE LANDLORD DOES NOT UNDERTAKE TO CURE CONDI-
TIONS OF THE COMMERCIAL PREMISES CAUSING SUCH VIOLATION OF THE LAW, THE
TENANT SHALL HAVE THE RIGHT TO PAY OR SECURE PAYMENT IN A MANNER SATIS-
FACTORY TO THE COURT, TO CURE SUCH VIOLATION PROVIDED THAT ANY TENANT
EXPENDITURES SHALL BE APPLIED AGAINST RENT TO WHICH THE LANDLORD IS
ENTITLED. IN INSTANCES WHERE REMOVAL OF A TENANT IS ABSOLUTELY ESSENTIAL
TO HIS OR HER HEALTH AND SAFETY, THE REMOVAL OF THE TENANT SHALL BE
WITHOUT PREJUDICE TO ANY LEASEHOLD INTEREST OR OTHER RIGHT OF OCCUPANCY
THE TENANT MAY HAVE AND THE TENANT SHALL BE ENTITLED TO RESUME
POSSESSION AT SUCH TIME AS THE DANGEROUS CONDITIONS HAVE BEEN REMOVED.
NOTHING HEREIN SHALL ABROGATE OR OTHERWISE LIMIT THE RIGHT OF A TENANT
TO BRING AN ACTION FOR MONETARY DAMAGES AGAINST THE LANDLORD TO COMPEL
COMPLIANCE BY THE LANDLORD WITH ALL APPLICABLE STATE OR MUNICIPAL LAWS
OR HOUSING CODES;
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(E) THE TENANT IS USING OR PERMITTING THE COMMERCIAL PREMISES TO BE
USED FOR AN ILLEGAL PURPOSE; OR
(F) THE TENANT HAS UNREASONABLY REFUSED THE LANDLORD ACCESS TO THE
COMMERCIAL PREMISES FOR THE PURPOSE OF MAKING NECESSARY REPAIRS OR
IMPROVEMENTS REQUIRED BY LAW OR FOR THE PURPOSE OF SHOWING THE COMMER-
CIAL PREMISES TO A PROSPECTIVE PURCHASER, MORTGAGEE OR OTHER PERSON
HAVING A LEGITIMATE INTEREST THEREIN.
2. NOTHING IN THIS SECTION SHALL ABROGATE OR LIMIT THE TENANT'S RIGHT
PURSUANT TO SECTION SEVEN HUNDRED FIFTY-ONE OF THE REAL PROPERTY ACTIONS
AND PROCEEDINGS LAW TO PERMANENTLY STAY THE ISSUANCE OR EXECUTION OF A
WARRANT OR EVICTION IN A SUMMARY PROCEEDING, WHETHER CHARACTERIZED AS A
NONPAYMENT, OBJECTIONABLE TENANCY, OR HOLDOVER PROCEEDING, THE UNDERLY-
ING BASIS OF WHICH IS THE NONPAYMENT OF RENT, SO LONG AS THE TENANT
COMPLIES WITH THE PROCEDURAL REQUIREMENTS OF SECTION SEVEN HUNDRED
FIFTY-ONE OF THE REAL PROPERTY ACTIONS AND PROCEEDINGS LAW.
§ 213. PRESERVATION OF EXISTING REQUIREMENTS OF LAW. NO ACTION SHALL
BE MAINTAINABLE AND NO JUDGMENT OF POSSESSION SHALL BE ENTERED FOR ANY
COMMERCIAL PREMISES PURSUANT TO SECTION TWO HUNDRED TWELVE OF THIS ARTI-
CLE, UNLESS THE LANDLORD HAS COMPLIED WITH ANY AND ALL APPLICABLE LAWS
GOVERNING SUCH ACTION OR PROCEEDING AND HAS COMPLIED WITH ANY AND ALL
APPLICABLE LAWS GOVERNING NOTICE TO TENANTS, INCLUDING WITHOUT LIMITA-
TION THE MANNER AND THE TIME OF SERVICE OF SUCH NOTICE AND THE CONTENTS
OF SUCH NOTICE.
§ 214. WAIVER OF RIGHTS VOID. ANY AGREEMENT BY A TENANT HERETOFORE OR
HEREINAFTER ENTERED INTO IN A WRITTEN LEASE OR OTHER RENTAL AGREEMENT
WAIVING OR MODIFYING HIS OR HER RIGHTS AS SET FORTH IN THIS ARTICLE
SHALL BE VOID AS CONTRARY TO PUBLIC POLICY.
§ 2. Severability. If any provision of this act, or any application of
any provision of this act, is held to be invalid, that shall not affect
the validity or effectiveness of any other provision of this act, or of
any other application of any provision of this act, which can be given
effect without that provision or application; and to that end, the
provisions and applications of this act are severable.
§ 3. This act shall take effect immediately and shall apply to actions
and proceedings commenced on or after such effective date.