What's happening
This bill allows New York City agencies to submit lists of qualified receivers for mortgage foreclosure cases, limiting court appointments to those listed.
Why it matters
Increases oversight and accountability. by requiring that only receivers and managing agents vetted and approved by city agencies can be appointed in foreclosure cases, reducing the risk of unqualified or unscrupulous parties managing distressed properties.
Empowers local housing agencies. (such as NYC’s Department of Housing Preservation and Development) to play a direct role in foreclosure proceedings, potentially aligning property management with broader city goals like tenant protection and code compliance.
Limits judicial discretion. in appointments, which may prevent favoritism or inconsistent standards, but could also restrict court flexibility in unique or urgent situations when a suitable candidate is not on the pre-approved list.
Could improve property conditions. during foreclosure by ensuring that receivers and managing agents are familiar with and committed to local laws and best practices for property maintenance, benefiting tenants and neighborhoods.
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Who cares
Headline styles
Require Qualified Foreclosure Managers
Plain English, a few words. Used as the page title.
Sponsors
2 Co-sponsors
History
- Referred to judiciary
- Referred to judiciary
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Tighten Foreclosure Receiver Rules
In Senate Committee · Housing, Construction And Community Development · Sponsor Gustavo Rivera
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2178
2019-2020 Regular Sessions
IN ASSEMBLY
January 22, 2019
Introduced by M. of A. PICHARDO -- read once and referred to the Committee on Judiciary
AN ACT to amend the real property actions and proceedings law, in relation to the appointment of receivers in actions to foreclose a mortgage
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision 1 of section 1325 of the real property actions and proceedings law, as added by chapter 312 of the laws of 1962, is amended to read as follows:
1. (a) Where the action is for the foreclosure of a mortgage providing that a receiver may be appointed without notice, notice of a motion for such appointment shall not be required.
(b) In a city with a population of one million or more, the agency having jurisdiction for administering and enforcing the laws, rules and regulations relating to the operation, repair or maintenance of residential real property may submit to the chief administrative judge of the supreme court a list of persons such agency has determined to be qualified to be appointed as a receiver or as a managing agent. Where such agency submits such list to the chief administrative judge, the court may only appoint a receiver whose name appears on such list, and such receiver may only appoint a managing agent whose name appears on such list.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05462-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.