S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8889
 
                           I N  A S S E M B L Y
 
                             January 26, 2024
                                ___________
 
 Introduced  by M. of A. WALLACE -- read once and referred to the Commit-
   tee on Judiciary
 
 AN ACT to amend the real property law, in relation to  establishing  the
   right to inspection of residential real properties
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. The article heading of article 14 of the real property law,
 as added by chapter 456 of the laws of  2001,  is  amended  to  read  as
 follows:
            PROPERTY CONDITION DISCLOSURE AND RIGHT TO INSPECTION
                      IN THE SALE OF RESIDENTIAL REAL
                                 PROPERTY
   §  2.  Section 461 of the real property law is amended by adding a new
 subdivision 7 to read as follows:
   7. "INSPECTION" MEAN THE PROCESS BY WHICH A  HOME  INSPECTOR  OBSERVES
 AND  PROVIDES,  PURSUANT  TO  THE  TRANSFER OF TITLE OF RESIDENTIAL REAL
 PROPERTY, CONDOMINIUM UNITS, OR COOPERATIVE APARTMENTS, A WRITTEN EVALU-
 ATION OF THE FOLLOWING READILY ACCESSIBLE COMPONENTS OF THE  RESIDENTIAL
 STRUCTURE  INCLUDING, BUT NOT LIMITED TO, HEATING, COOLING, PLUMBING AND
 ELECTRICAL SYSTEMS, STRUCTURAL  COMPONENTS,  FOUNDATION,  ROOF,  MASONRY
 STRUCTURE,  EXTERIOR AND INTERIOR COMPONENTS AND ANY OTHER RELATED RESI-
 DENTIAL HOUSING COMPONENTS AND, FOR THE PURPOSES  OF  CONDOMINIUM  UNITS
 AND COOPERATIVE APARTMENTS, ANY ASSOCIATED COMMON AREAS.
   §  3.  The real property law is amended by adding a new section 468 to
 read as follows:
   § 468. RIGHT TO INSPECTION. 1. NOTWITHSTANDING ANY LAW TO THE  CONTRA-
 RY, EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, A PROSPECTIVE PURCHAS-
 ER  OF  RESIDENTIAL  REAL PROPERTY, A CONDOMINIUM UNIT, OR A COOPERATIVE
 APARTMENT SHALL HAVE THE RIGHT TO HAVE SUCH RESIDENTIAL REAL PROPERTY, A
 CONDOMINIUM UNIT, OR A COOPERATIVE APARTMENT INSPECTED BY A HOME INSPEC-
 TOR LICENSED UNDER ARTICLE TWELVE-B OF THIS CHAPTER, WITHIN TEN DAYS, OR
 LONGER AS THE SELLER AND PROSPECTIVE PURCHASER MAY AGREE IN WRITING,  OF
 THE  SELLER'S ACCEPTANCE OF AN OFFER TO PURCHASE MADE BY THE PROSPECTIVE
 PURCHASER.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD14013-01-4
 A. 8889                             2
 
   2. (A) NO SELLER OF RESIDENTIAL REAL PROPERTY, A CONDOMINIUM UNIT,  OR
 A  COOPERATIVE  APARTMENT, OR AGENT THEREOF, SHALL CONDITION THE ACCEPT-
 ANCE OF AN OFFER TO PURCHASE ON THE PROSPECTIVE PURCHASER'S AGREEMENT TO
 WAIVE, LIMIT, RESTRICT OR OTHERWISE FOREGO THE  PROSPECTIVE  PURCHASER'S
 RIGHT  TO  HAVE SUCH RESIDENTIAL REAL PROPERTY, A CONDOMINIUM UNIT, OR A
 COOPERATIVE APARTMENT INSPECTED EXCEPT WHEN THE SALE OF THE  RESIDENTIAL
 REAL PROPERTY, CONDOMINIUM UNIT, OR COOPERATIVE APARTMENT IS TO OCCUR AT
 AN AUCTION.
   (B)  NO  SELLER SHALL ACCEPT AN OFFER TO PURCHASE FROM ANY PROSPECTIVE
 PURCHASER OR AGENT THEREOF WHO, IN ADVANCE OF THE SELLER'S ACCEPTANCE OF
 THE OFFER, INFORMS THE SELLER EITHER DIRECTLY  OR  INDIRECTLY  THAT  THE
 PROSPECTIVE  PURCHASER INTENDS TO WAIVE IN WHOLE OR IN PART THE PROSPEC-
 TIVE PURCHASER'S RIGHT TO INSPECTION; PROVIDED, HOWEVER, THAT THE SELLER
 MAY ACCEPT SUCH AN OFFER WITHOUT VIOLATING THIS SECTION IF THE  PROSPEC-
 TIVE PURCHASER IS:  (I) THE SPOUSE, SIBLING, CHILD, PARENT, GRANDPARENT,
 GRANDCHILD, GREAT-GRANDCHILD OR GREAT-GRANDPARENT OF THE SELLER; OR (II)
 THE FORMER SPOUSE OF THE SELLER AND THE SALE OF THE STRUCTURE OR UNIT IS
 BEING MADE PURSUANT TO A JUDGMENT OR ORDER.
   (C)  EACH  OFFER  TO PURCHASE RESIDENTIAL REAL PROPERTY, A CONDOMINIUM
 UNIT, OR A COOPERATIVE APARTMENT SHALL INCLUDE THE FOLLOWING LANGUAGE:
   "BUYER IS ENTITLED UNDER SECTION 468  OF  THE  REAL  PROPERTY  LAW  TO
 CHOOSE TO HAVE THE PREMISES INSPECTED AT BUYER'S EXPENSE WITHIN 10 DAYS,
 OR  LONGER AS SELLER AND BUYER MAY AGREE IN WRITING, OF SELLER'S ACCEPT-
 ANCE OF BUYER'S OFFER TO PURCHASE. UNLESS ONE OF THE EXCEPTIONS IN  SAID
 SECTION  468  APPLIES,  NEITHER  SELLER NOR BUYER MAY MAKE ACCEPTANCE OF
 THIS OFFER TO PURCHASE CONTINGENT UPON WAIVER, LIMITATION OR RESTRICTION
 OF BUYER'S RIGHT TO CHOOSE TO OBTAIN A  HOME  INSPECTION.  SHOULD  BUYER
 CHOOSE  TO HAVE THE PREMISES INSPECTED, IF IT IS THE INSPECTOR'S OPINION
 THAT THE  PREMISES  CONTAIN  SERIOUS  STRUCTURAL,  MECHANICAL  OR  OTHER
 DEFECTS AND IF THE REPAIR OF SUCH DEFECTS WOULD COST BUYER IN THE AGGRE-
 GATE  MORE  THAN  THE  AMOUNT INDICATED BY THE BUYER HEREIN ($________),
 THEN BUYER SHALL HAVE THE OPTION OF REVOKING THIS OFFER TO  PURCHASE  BY
 WRITTEN NOTICE TO THE SELLER OR SELLER'S AGENT WITHIN 5 BUSINESS DAYS OF
 THE  DATE  OF THE INSPECTION, OR LONGER AS SELLER AND BUYER MAY AGREE IN
 WRITING. SUCH NOTICE SHALL BE ACCOMPANIED BY A COPY OF  THE  INSPECTOR'S
 OPINION AND A COPY OF COST ESTIMATES OBTAINED BY BUYER."
   3.  NOTHING  IN THIS SECTION SHALL BE CONSTRUED TO REQUIRE, MANDATE OR
 OTHERWISE COMPEL A PROSPECTIVE PURCHASER TO OBTAIN AN INSPECTION FOLLOW-
 ING THE ACCEPTANCE BY THE SELLER OF AN OFFER TO PURCHASE.  THE  PROSPEC-
 TIVE  PURCHASER'S  RIGHT  TO  OBTAIN  AN  INSPECTION  SHALL EXPIRE IF NO
 INSPECTION OCCURS WITHIN TEN DAYS, OR LONGER AS AGREED UPON BY THE SELL-
 ER AND PERSPECTIVE PURCHASER IN WRITING, OF THE SELLER'S ACCEPTANCE OF A
 PROSPECTIVE PURCHASER'S OFFER TO PURCHASE.
   4. ANY SELLER WHO FAILS TO COMPLY WITH THE PROVISIONS OF THIS  SECTION
 SHALL  BE  LIABLE TO THE PROSPECTIVE PURCHASER FOR ALL DAMAGES CAUSED BY
 THE FAILURE TO COMPLY AND SHALL BE SUBJECT  TO  ASSESSMENT  OF  A  CIVIL
 PENALTY NOT TO EXCEED FOUR PER CENT OF THE SALE PRICE OF THE RESIDENTIAL
 REAL  PROPERTY,  CONDOMINIUM UNIT, OR COOPERATIVE APARTMENT OR TEN THOU-
 SAND DOLLARS, WHICHEVER IS GREATER. A VIOLATION OF  THIS  SECTION  BY  A
 PERSON  ENGAGED  IN TRADE OR COMMERCE SHALL ALSO BE CONSIDERED AN UNFAIR
 AND DECEPTIVE ACT OR  PRACTICE  AS  DEFINED  IN  SECTION  THREE  HUNDRED
 FORTY-NINE  OF  THE GENERAL BUSINESS LAW. A VIOLATION OF THIS SECTION BY
 AN  AGENT  SHALL  CONSTITUTE  A  VIOLATION  OF  SECTION   FOUR   HUNDRED
 FORTY-TWO-E  OF  THIS CHAPTER. THE ATTORNEY GENERAL MAY TAKE SUCH ACTION
 AS MAY BE NECESSARY TO ENFORCE THE PROVISIONS OF THIS SECTION.
 A. 8889                             3
 
   § 4. This act shall take effect on the first of January next  succeed-
 ing the date on which it shall have become a law. Effective immediately,
 the  addition,  amendment and/or repeal of any rule or regulation neces-
 sary for the implementation of  this  act  on  its  effective  date  are
 authorized to be made and completed on or before such effective date.