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This entry was published on 2023-06-16
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SECTION 796-J
Appointment of administrator
Real Property Actions & Proceedings (RPA) CHAPTER 81, ARTICLE 7-C
§ 796-j. Appointment of administrator. 1.(a) The court is authorized
and empowered, in implementation of a judgment rendered pursuant to
section seven hundred ninety-six-h or seven hundred ninety-six-i of this
article, to appoint a person other than the owner, a mortgagee or a
lienor, to receive and administer the rent moneys or security deposited
with such owner, mortgagee or lienor, subject to the court's direction.

(b) The court may appoint the commissioner of the department charged
with enforcement of the housing maintenance code in the municipality
where the dwelling is located or the commissioner's designee as such
administrator, provided that the commissioner or the commissioner's
designee shall consent, in writing, to such appointment.

(c) Any administrator is authorized and empowered in accordance with
the direction of the court, to:

(i) order the necessary materials, labor and services to remove or
remedy the conditions specified in the judgment, and to make
disbursements in payment thereof;

(ii) demand, collect and receive the rents from the tenants of the
dwelling;

(iii) institute all necessary legal proceedings including, but not
limited to, summary proceedings for the removal of any tenant or
tenants;

(iv) to rent or lease for terms not exceeding three years any part of
said premises, however, the court may direct the administrator to rent
or lease commercial portions of a premises zoned for mixed commercial
and residential use for terms that the court may approve; and

(v) in accordance with the direction of the court, to accept and repay
such moneys as may be received from the department or departments
charged with enforcement of the housing maintenance code in the
municipality or municipalities where the dwelling is located for the
purpose of managing the premises, replacing or substantially
rehabilitating systems or making other repairs or capital improvements
authorized by the court. All moneys expended by such department or
departments pursuant to the foregoing shall constitute a debt
recoverable from the owner and a lien upon the building and lot, and
upon the rents and other income thereof.

(d) Upon completion of the work prescribed in such judgment, the
administrator, shall file with the court a full accounting of all
receipts and expenditures for such work. The administrator shall dispose
of the rents and other monies deposited with such administrator
according to the following order of priority:

(i) payment in full for all of the work specified in the judgment;
until all of the work specified in the judgment has been completed and
payment for such work has been made, no other disbursements shall be
permitted, except for fuel bills, fire and liability insurance, and
bills for ordinary repairs and maintenance.

(ii) payment of a reasonable amount for the services of the
administrator, including reimbursement of any legal fees incurred by the
administrator in connection with management of the building.

(iii) payment of outstanding real property tax liens claimed by any
municipality in which the dwelling is located.

(iv) payment of outstanding emergency repair liens filed and recorded
by any municipality in which the dwelling is located and outstanding
liens filed and recorded by such municipality or municipalities pursuant
to this section.

(v) payment to the owner of the dwelling of any surplus remaining
after payments of subparagraphs (i), (ii), (iii) and (iv) of this
paragraph have been made.

2. The court may allow from the rent moneys or security on deposit a
reasonable amount for services of such administrator.

3. The administrator shall furnish a bond, the amount and form of
which shall be approved by the court. In its discretion and for good
cause shown, the court may dispense with the necessity for a bond. The
cost of a required bond shall be paid from the moneys so deposited.

4. The administrator shall file a transcript of the judgment
appointing him or her with the clerk of the county in which the subject
premises is located within fifteen days of his or her appointment.

5. The duties of the administrator shall not be affected by the
appointment of a receiver in an action to foreclose a mortgage on the
premises, except that the rights of the owner, including the right to
any surplus, pursuant to subparagraph (v) of paragraph (d) of
subdivision one of this section, shall pass to the receiver. The court
in which the action to foreclose a mortgage on the premises is pending
may appoint such administrator to serve as receiver in that action in
addition to his or her duties as administrator pursuant to this article.

6.(a) Such administrator shall be liable only in his or her official
capacity for injury to persons and property by reason of conditions of
the premises in a case where an owner would have been liable; he or she
shall not have any liability in his or her personal capacity.

(b) Appointment of an administrator pursuant to subdivision one of
this section shall not relieve an owner of liability for injury to
persons and property in such case.

7. No municipality shall be liable to any party, including the
administrator or the owner of the dwelling, for injury to persons or
property by reason of conditions of the premises or the acts or
omissions of the administrator.

8. The commissioner of the department charged with enforcement of the
housing maintenance code in the municipality where the dwelling is
located shall promulgate rules and regulations regarding criteria for
the selection of administrators to be appointed pursuant to this section
and shall establish and maintain a list of persons approved by such
department. Any person appointed as an administrator within such
municipality shall be selected from among the persons approved as
administrators pursuant to such list. A city, town or village may
establish and maintain such list itself or elect to have such list
established and maintained by the commissioner of the department charged
with enforcement of the housing maintenance code in the county in which
a dwelling is located.

9. The administrator shall, within thirty days of appointment, file
with the court a plan for the provision of essential services and for
the correction of such other hazardous conditions as may exist at the
premises, specifying dates by which such services shall be provided and
such conditions corrected. If such administrator cannot provide such
services and correct such conditions by the dates specified in the plan,
he or she shall be required to file with the court an amendment to the
plan setting forth the reasons why such services and corrections could
not be provided by such date and specifying new dates for such services
and corrections. Such plan and any amendments to such plan shall be
provided to the tenants by mail or by posting in a common area of the
building and to the owner of record by mail.

10. The court may only discharge an administrator if the owner has
paid in full or entered into a payment agreement to pay in full all
outstanding real property tax liens claimed by any municipality in which
the dwelling is located, all outstanding emergency repair liens filed
and recorded by any municipality in which the dwelling is located and
all outstanding liens filed and recorded by such municipality or
municipalities pursuant to this section.