S T A T E O F N E W Y O R K
________________________________________________________________________
1334
2023-2024 Regular Sessions
I N S E N A T E
January 11, 2023
___________
Introduced by Sen. COONEY -- 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 notice of certain proceedings to convey title to abandoned
commercial and industrial real property to a city, town, or village;
and to repeal certain provisions of such law relating thereto
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Paragraph (b) of subdivision 1 of section 1981 of the real
property actions and proceedings law, as added by a chapter of the laws
of 2022 amending the real property actions and proceedings law relating
to authorizing special proceedings to convey title to abandoned commer-
cial and industrial real property to a city, town, or village, as
proposed in legislative bills numbers S. 9470 and A. 5337-A, is amended
to read as follows:
(b) In the case of a vacant commercial or industrial real property, it
is not sealed or continuously guarded as required by law or it was
sealed or is continuously guarded by a person other than the owner, a
mortgagee, lienor or agent thereof, and either of the following facts
exists:
(i) A vacate order of the department or other governmental agency
currently prohibits occupancy of the commercial or industrial real prop-
erty; or
(ii) The tax on such premises has been due and unpaid for a period of
at least one year; or
(iii) The property has had a zoning, building or property maintenance
code violation [which] THAT has THE POTENTIAL TO INJURE OR ENDANGER THE
HEALTH AND SAFETY OF OTHERS OR TO UNREASONABLY ANNOY OTHERS AND THAT HAS
been continuously outstanding and not remediated for a period of at
least one year from the date the original order to correct or notice of
violation was served upon the property owner pursuant to subdivision
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04014-01-3
S. 1334 2
four of section three hundred eight of the civil practice law and rules
if the owner is a natural person, or pursuant to section three hundred
ten, three hundred ten-a, three hundred eleven or three hundred eleven-a
of the civil practice law and rules if the owner is a partnership,
limited partnership, corporation or limited liability company, respec-
tively; or
§ 2. Subdivisions 2, 3 and 4 of section 1982 of the real property
actions and proceedings law, as added by a chapter of the laws of 2022
amending the real property actions and proceedings law relating to
authorizing special proceedings to convey title to abandoned commercial
and industrial real property to a city, town, or village, as proposed in
legislative bills numbers S. 9470 and A. 5337-A, are amended to read as
follows:
2. The department shall serve upon the owner of the commercial or
industrial real property, a copy of the certification. Service shall be
made personally or by posting in a conspicuous place upon the commercial
or industrial real property and mailing a copy by [registered or] certi-
fied mail to the last known owner at such owner's last known address.
The copy of the certification shall be accompanied by a notice stating
that proceedings pursuant to this article may be instituted unless the
owner notifies the department that the property has not been abandoned.
Such notification shall be made by a showing that the conditions upon
which the findings in such certification are based do not exist or have
been corrected. Such showing shall be made not later than thirty days
after the date of such notice.
3. Within five days of the service of notice on the owner, a copy of
the certification shall be served on each mortgagee, lienor and lessee
of record, personally or by [registered] CERTIFIED mail OR OVERNIGHT
COURIER to the address set forth in the recorded instrument or, if no
address appears therein, to the person at whose request the instrument
was recorded. Such copy shall, in the case of a mortgagee or lienor, be
accompanied by a notice that proceedings pursuant to this article may be
instituted unless the mortgagee or lienor, within [fifteen] FORTY-FIVE
days of RECEIPT OF such mailing, either commences proceedings to fore-
close the mortgage or lien or enters into an agreement with the depart-
ment to bring the building into compliance with the applicable
provisions of law.
4. If the name or address of
(a) the last owner of record, or
(b) any owner, mortgagee, lienor, or claimant as shown on records
maintained by any city official required by any local law to maintain
records of persons entitled to notice or process in connection with the
maintenance of in rem foreclosure actions, or
(c) the person listed as the owner of the property on the latest
completed assessment roll, is different from that referred to in subdi-
visions two and three of this section, a copy of the notice to the
owner, or to a mortgagee or lienor, whichever is applicable, shall also
be sent to such person at such address by [registered] CERTIFIED mail OR
OVERNIGHT COURIER.
§ 3. Section 1982-a of the real property actions and proceedings law,
as added by a chapter of the laws of 2022 amending the real property
actions and proceedings law relating to authorizing special proceedings
to convey title to abandoned commercial and industrial real property to
a city, town, or village, as proposed in legislative bills numbers S.
9470 and A. 5337-A, is REPEALED.
S. 1334 3
§ 4. Subdivisions 4 and 5 of section 1984 of the real property actions
and proceedings law, as added by a chapter of the laws of 2022 amending
the real property actions and proceedings law relating to authorizing
special proceedings to convey title to abandoned commercial and indus-
trial real property to a city, town, or village, as proposed in legisla-
tive bills numbers S. 9470 and A. 5337-A, are amended to read as
follows:
4. The provisions of section three hundred seventeen of the civil
practice law and rules shall not apply to a proceeding instituted pursu-
ant to this article. A motion or action to set aside a judgment in a
proceeding instituted pursuant to this article on the grounds either
that there was a failure to comply with the provisions of this article
as to notice or that a defect in the proceeding prejudiced a substantial
right of a party may be instituted within [ninety] ONE HUNDRED TWENTY
days after the deed vesting title in a city has been recorded, but not
thereafter.
5. The right, title and interest of a purchaser or incumbrancer of a
property as to which a deed vesting title in a city, town, or village
has been recorded pursuant to a judgment obtained through this article
shall not be affected or impaired by a motion or action instituted more
than [ninety] ONE HUNDRED TWENTY days after such deed vesting title in a
city, town, or village has been recorded.
§ 5. This act shall take effect on the same date and in the same
manner as a chapter of the laws of 2022 amending the real property
actions and proceedings law relating to authorizing special proceedings
to convey title to abandoned commercial and industrial real property to
a city, town, or village, as proposed in legislative bills numbers S.
9470 and A. 5337-A, takes effect; provided that the amendments to arti-
cle 19-B of the real property actions and proceedings law made by this
act shall not affect the expiration of such article and shall expire and
be deemed repealed therewith.
