Requires the commissioner of the department of taxation and finance to establish and maintain a system for use by the clerk of each county in the state outside of the city of New York that provides the ability for the clerk to send notification to any interested party that a deed-related or mortgage-related document affecting such party's interest in real property located in the state has been recorded against such property with the office of the clerk of the county in which the real property is situated; provides for registration for notification by interested parties.
STATE OF NEW YORK
________________________________________________________________________
2744
2025-2026 Regular Sessions
IN ASSEMBLY
January 22, 2025
___________
Introduced by M. of A. JACOBSON -- read once and referred to the Commit-
tee on Housing
AN ACT to amend the real property law, in relation to notice of record-
ing of certain documents relating to real estate in counties outside
the city of New York
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
2 291-k to read as follows:
3 § 291-k. Notice of the recording of certain documents relating to real
4 property. 1. As used in this section:
5 (a) "deed-related document" includes, but is not limited to, a deed,
6 air rights, condemnation proceeding agreement, condominium declaration,
7 confirmatory deed, contract of sale, correction deed, court order, in
8 rem deed, judgment, life estate deed, memorandum of contract, power of
9 attorney, real estate investment trust deed, revocation of power of
10 attorney, sundry agreement, unit assignment and any other document that
11 may be designated as deed-related by the commissioner of taxation and
12 finance;
13 (b) "interested party" means the property owner, the property owner's
14 agent or attorney or designee, the property lienor, the property
15 lienor's agent or attorney, the executor or administrator of the estate
16 of the owner or lienor of the property, the agent or attorney of the
17 executor or administrator of the estate of the owner or lienor of the
18 property and any other individual that may be designated by the commis-
19 sioner of taxation and finance; and
20 (c) "mortgage-related document" includes, but is not limited to, a
21 mortgage, collateral mortgage, mortgage and consolidation, mortgage
22 spreader agreement, satisfaction of mortgage, subordination of mortgage,
23 sundry mortgage, UCC-1 (financing statement), and any other document
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD05481-01-5
A. 2744 2
1 that may be designated as mortgage-related by the commissioner of taxa-
2 tion and finance.
3 2. (a) The department of taxation and finance shall establish and
4 maintain a system for use by the clerk of each county in the state that
5 provides the ability for the clerk to send notification to any inter-
6 ested party that a deed-related or mortgage-related document affecting
7 such party's interest in real property located in the state has been
8 recorded against such property with the office of the clerk of the coun-
9 ty in which the real property is situated. The provisions of this
10 section shall not apply to counties located within a city having a popu-
11 lation of one million or more persons.
12 (b) To receive the notification described in paragraph (a) of this
13 subdivision, an interested party may register with the office of the
14 clerk of the county where real property is situated, in a format promul-
15 gated by the commissioner of taxation and finance.
16 (c) In the event that a deed-related or mortgage-related document has
17 been recorded against such property, the office of the county clerk, to
18 the extent practicable, will send notice to the interested party. The
19 notice shall be sent by first class mail. Notice shall also be sent to
20 the interested party by email and/or SMS (text) provided the owner
21 provides an email address and/or a mobile number.
22 (d) The notification to the interested party shall include information
23 on actions such interested party could take if such interested party
24 suspects that a fraudulent document has been recorded, including but not
25 limited to, information about whom to contact for assistance, filing a
26 complaint or reporting an alleged criminal violation. Neither the
27 department of taxation and finance nor the county clerk shall charge a
28 fee for use of such notification system.
29 3. Nothing in this section shall be construed to create an enforceable
30 right in any individual to receive the notice described in subdivision
31 two of this section. The failure of a county clerk's office to provide
32 the notice described in this section, or the failure of a real property
33 owner to receive such a notice shall not:
34 (a) result in any liability of the county clerk's office, the county
35 where the real property is situated, the department of taxation and
36 finance or the state;
37 (b) prevent the levy, collection and enforcement of taxes on the
38 affected real property;
39 (c) invalidate any proceedings or filings with respect to the affected
40 real property; and
41 (d) prevent the state of New York from taking any actions under or
42 enforcing any provision of law or rule.
43 4. The department of taxation and finance shall conduct outreach to
44 property owners in the state about the provisions of this section.
45 § 2. This act shall take effect on the first of January next succeed-
46 ing the date upon which it shall have become a law. Effective immediate-
47 ly, the addition, amendment and/or repeal of any rule or regulation
48 necessary for the implementation of this act on its effective date are
49 authorized to be made and completed on or before such effective date.
