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S01563 Summary:

Add S220-a, RP L
Allows landlords to charge potential tenants application fees no greater than the actual cost of a credit check or related services paid to a third party by the landlord, and in no event shall such fee exceed $30.
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S01563 Text:

                STATE OF NEW YORK
                               2015-2016 Regular Sessions
                    IN SENATE
                                    January 13, 2015
        Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
          printed to be committed to the Committee on Judiciary
        AN ACT to amend the real property law, in relation to fees landlords may
          charge tenants
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.  The  real property law is amended by adding a new section
     2  220-a to read as follows:
     3    § 220-a. Application fees. 1. Wherever used in this section:
     4    a. "application fee" means any application processing  fee  or  credit
     5  check charge or similar charge that a potential tenant must pay or is in
     6  any  way  requested  to  pay to a landlord in order to be considered for
     7  rental or lease of any real property or portion thereof used  for  resi-
     8  dential purposes.
     9    b.  "potential  tenant" means any person with an intention to lease or
    10  rent any real property or  portion  thereof  for  residential  purposes,
    11  excluding  potential  tenant  shareholders of cooperative housing corpo-
    12  rations.
    13    c. "landlord" means any owner, managing agent or prime lessor of  real
    14  property  or  any  real estate broker, provided, that this section shall
    15  not limit the fee that can be lawfully charged by  such  broker  if  the
    16  potential tenant enters into a lease or occupies real property for resi-
    17  dential purposes as a result of the broker's services.
    18    2.  A  landlord may charge a potential tenant an application fee equal
    19  to the actual cost of a credit check or other related services paid  for
    20  by  a  landlord  to  a third party, provided, however, that the total of
    21  such fee or fees shall not exceed thirty dollars.
    22    3. Where a landlord charges application  fees  in  violation  of  this
    23  section,  a  potential  tenant  may  file  a complaint with the consumer
    24  protection board. Upon a finding  by  the  board  that  a  landlord  has
    25  violated  the  provisions of this section, the board shall impose a fine
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.

        S. 1563                             2
     1  of one hundred dollars for a first or second violation and a fine of two
     2  hundred fifty dollars for a third or any subsequent violation.
     3    §  2.  This  act shall take effect on the ninetieth day after it shall
     4  have become a law.
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