Blog

On June 30, 2020, Governor Andrew Cuomo signed into effect the Tenant Safe Harbor Act, the aim of which is to help keep residential tenants in their homes following the COVID-19 pandemic by allowing only money judgments, and not evictions, for unpaid rent that comes due while restrictions are in place due to COVID-19 on businesses, public accommodations, and nonessential gatherings.

On June 17, 2020, the Rent Guidelines Board (“RGB”) voted on the permissible rent increases for leases commencing on or after October 1, 2020 through September 30, 2021.

On June 18, 2020 Chief Administrative Judge Lawrence K. Marks issued a long-awaited Memorandum concerning the opening up of Housing Court and the procedure for addressing residential and commercial summary proceedings. Unfortunately, the Memorandum has only served to cause mass confusion in the legal community.

On June 3, 2020, the Appellate Division, Second Department in the case of Trust v. Barua, 2020 N.Y. Slip Op. 03095, reversed a decision by the lower court and held that the discontinuance of a prior foreclosure action did not, standing alone, de-accelerate the mortgage debt. Therefore, a subsequently filed foreclosure action was time-barred.

On May 26, 2020, Mayor Bill de Blasio signed into law Section 22-1005 of the NYC Administrative Code, which prohibits the enforcement of personal guaranties of New York City commercial leases involving COVID-19 impacted tenants. Significantly, the new law offers no relief to individual proprietors who execute commercial leases in their own names.

On Friday, May 22nd, Judge Anthony Cannataro, the Administrative Judge of the NYC Civil Court, issued 3 new Directives relating to Governor Cuomo’s Executive Order 202.28 which limits the commencement of summary nonpayment proceedings and the enforcement of eviction orders until August 20, 2020.