Requires a certain statement, to be printed in at least ten point bold type and included in all oil, gas or mineral leases which notifies the lessee of the potential effects of such lease.
STATE OF NEW YORK
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5390
2015-2016 Regular Sessions
IN ASSEMBLY
February 20, 2015
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Introduced by M. of A. LIFTON, JAFFEE, ROSENTHAL, ENGLEBRIGHT, ABINANTI,
TITONE -- Multi-Sponsored by -- M. of A. DINOWITZ, GLICK, GOTTFRIED --
read once and referred to the Committee on Judiciary
AN ACT to amend the general obligations law, in relation to requiring a
certain statement to be included in all oil, gas or mineral leases
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 5-333 of the general obligations law is amended by
2 adding a new subdivision 5-a to read as follows:
3 5-a. On or after January first, two thousand sixteen, any oil, gas or
4 mineral lease shall contain the following statement printed in at least
5 ten point bold type:
6 EXECUTION OF A VALID OIL, GAS OR MINERAL LEASE MAY IN SOME SITUATIONS,
7 PREVENT YOUR PROPERTY FROM BEING ELIGIBLE FOR TITLE INSURANCE, OR
8 PREVENT LENDING INSTITUTIONS FROM BEING ABLE TO ISSUE A MORTGAGE ON
9 LEASED PROPERTY, OR NEIGHBORING PROPERTY, THEREBY, IN ALL LIKELIHOOD,
10 LOWERING THE OVERALL VALUE OF YOUR HOME AND LAND.
11 § 2. This act shall take effect immediately, and shall apply to all
12 agreements, leases and contracts entered into, issued, renewed,
13 extended, altered or modified on or after such effective date.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD03963-01-5
