Prohibits unfair residential real estate service agreements which are certain service agreements which are not to be performed within two years following the time such agreement is entered into.
Impact
If this bill is enacted, it would add a new section to the New York General Business Law that explicitly makes unfair real estate service agreements unenforceable. It provides clarity and legal backing to affected homeowners by stipulating that these agreements cannot be recorded, thus preventing any legal cloudiness that could affect property transactions for future buyers. The legislation aims to maintain integrity in the real estate market by ensuring that homeowners are not bound by unfair contractual terms.
Summary
Bill A05886, known as the 'Prohibition of Unfair Real Estate Service Agreements Act', is designed to protect consumers, specifically homeowners, from potentially exploitative or unfair real estate service agreements. The bill prohibits real estate service agreements that are not to be performed within two years of entry and outlines specific conditions that define what constitutes unfair practices in these agreements. Such agreements are deemed unacceptable if they encumber real estate in ways that may bind future owners or do not include proper consent clauses for assignment of service rights.
Contention
Some points of contention may arise around the definitions of what is considered 'unfair' and the potential impact on legitimate service contracts in the real estate sector. There are concerns from stakeholders about whether the restrictions could inadvertently hamper some services that might be beneficial to homeowners. Moreover, questions about enforcement mechanisms are raised, specifically how the Attorney General or local authorities would operationalize these protections and address violations of the act.
Enforcement
The bill includes strong enforcement provisions, allowing not only the Attorney General to take action against violators but also empowering injured parties to seek damages or injunctions in civil court. This dual approach can serve as a significant deterrent against unfair practices in the real estate market, increasing accountability among service providers while offering legal recourse to consumers who might be affected.
Same As
Prohibits unfair residential real estate service agreements which are certain service agreements which are not to be performed within two years following the time such agreement is entered into.
Prohibits single-agent dual agency in certain real property agreements; requires representation agreements for certain brokers; allows buyers and tenants to negotiate brokers' fees; prohibits landlords, lessors, sub-lessors, and grantors from requiring a tenant to pay brokers' fees as a condition of entering into a lease agreement.
Relates to prohibiting transportation network companies from including mandatory arbitration clauses in user agreements for certain offenses including assault and sex offenses; provides all user agreements issued with such clause shall be considered null and void and new agreements without such clause shall be issued within 14 days of the effective date of this legislation.
Prohibits agreements between employers that directly restrict the current or future employment of any employee; allows for a cause of action against employers who engage in such agreements.
Prohibits agreements between employers that directly restrict the current or future employment of any employee; allows for a cause of action against employers who engage in such agreements.
Requires labor peace agreements as a precondition for contracts for certain retail or distribution projects in which a public agency has a substantial proprietary interest.
Requires labor peace agreements as a precondition for contracts for certain retail or distribution projects in which a public agency has a substantial proprietary interest.
Relates to the sale of bonds and notes of the city of New York, the issuance of bonds or notes with variable rates of interest, interest rate exchange agreements of the city of New York, the selling of bonds at private sale, the refunding of bonds, and the down payment for projects financed by bonds; relates to a pledge and agreement of the state; extends certain provisions relating to interest rate exchange agreements of the city of New York.
Allows certain licensees to form cooperative agreements to make joint purchases of alcoholic beverages provided that such agreement and activity conform to certain standards.