Senate Bill S8595

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8595
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             December 3, 2025
                                ___________
 
 Introduced  by  Sen.  MYRIE  -- read twice and ordered printed, and when
   printed to be committed to the Committee on Rules
 
 AN ACT to amend the  real  property  actions  and  proceedings  law,  in
   relation  to  directing how certain valuations and computations of the
   amount due are calculated in certain foreclosure actions

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section 1321 of the real property actions and proceedings
 law is amended by adding a new subdivision 3 to read as follows:
   3. WHERE A REFEREE IS DIRECTED TO COMPUTE THE AMOUNT  DUE  UNDER  THIS
 SECTION, THE REFEREE SHALL:
   (A)  REFLECT ALL SUMS OWING UNDER THE NOTE AND MORTGAGE AS OF THE DATE
 OF THE PROPOSED JUDGMENT AMOUNT, EXCEPT  AS  OTHERWISE  ORDERED  BY  THE
 COURT FOR GOOD CAUSE SHOWN.
   (B) ITEMIZE THE COMPUTATION IN A FORM PRESCRIBED BY THE CHIEF ADMINIS-
 TRATIVE JUDGE, INCLUDING, BUT NOT LIMITED TO, ANY:
   (I) UNPAID PRINCIPAL BALANCE;
   (II) ACCRUED INTEREST WITH APPLICABLE RATES AND DATE RANGES;
   (III) ADVANCES FOR TAXES, INSURANCE, AND PROPERTY PRESERVATION;
   (IV) CONTRACTUAL FEES AND CHARGES; AND
   (V) COURT-APPROVED COSTS AND DISBURSEMENTS.
   (C)  ONLY  INCLUDE  ITEMS  SUPPORTED BY DOCUMENTATION SUBMITTED BY THE
 FORECLOSING PLAINTIFF THAT WOULD BE ADMISSIBLE  AS  EVIDENCE;  PROVIDED,
 HOWEVER,  WHERE  THERE  IS  AN  ABSENCE OF ADEQUATE DOCUMENTATION FOR AN
 ITEM, THE REFEREE SHALL REFER THE ISSUE TO THE COURT.
   § 2. The real property actions  and  proceedings  law  is  amended  by
 adding a new section 1351-a to read as follows:
   §  1351-A.  VALUATION  DATE  STANDARD  FOR  SALE AND DEFICIENCY CALCU-
 LATIONS.  FOR ALL FORECLOSURE SALES UNDER THIS ARTICLE, THE  AMOUNT  DUE
 ON  THE  DEBT,  AND ANY SUBSEQUENT CALCULATION FOR DEFICIENCY OR SURPLUS
 DISTRIBUTION PURSUANT TO SECTIONS THIRTEEN HUNDRED SIXTY-ONE OR THIRTEEN
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD14164-02-5
              

 S. 8595                             2
 
 HUNDRED SEVENTY-ONE OF THIS ARTICLE, SHALL BE COMPUTED USING  THE  VALU-
 ATION  DATE  OF  THE  DATE  THE  PROPERTY  IS  BID ON AT PUBLIC AUCTION;
 PROVIDED, HOWEVER, WHERE THE COURT EXPRESSLY ORDERS  A  DIFFERENT  VALU-
 ATION DATE UPON APPLICATION OF ANY PARTY FOR GOOD CAUSE SHOWN, SUCH DATE
 SHALL BE USED AS THE VALUATION DATE.
   §  3.  This  act shall take effect on the ninetieth day after it shall
 have become a law. Effective immediately, the addition, amendment and/or
 repeal of any rule or regulation necessary  for  the  implementation  of
 this  act  on its effective date are authorized to be made and completed
 on or before such effective date.