NY Real Property Law 1 Flashcards

Under New York's Statute of Frauds (General Obligations Law § 5-703), which of the following agreements concerning real property is unenforceable if made only orally?

Answer: A contract for the sale of real property

GOL § 5-703 requires that contracts for the sale, purchase, or exchange of real property — as well as leases exceeding one year — be in writing and signed by the party to be charged. An oral contract to sell real property is unenforceable under New York's Statute of Frauds.

Under New York General Obligations Law 7-103, a landlord of a residential building with six or more units who collects a security deposit must:

Answer: Deposit the funds in an interest-bearing account and annually pay or credit the net interest to the tenant

GOL 7-103(2) requires landlords of buildings with six or more family dwelling units to place security deposits in interest-bearing bank accounts, kept separate from personal funds, and to pay or credit the interest to the tenant annually. The landlord may retain 1% per year as an administrative fee.

Under New York Real Property Law, which form of co-ownership is available exclusively to married spouses and cannot be severed by one spouse's unilateral act?

Answer: Tenancy by the entirety

Tenancy by the entirety (EPTL 6-2.2(b)) is a form of co-ownership available only to married couples. It carries a right of survivorship that neither spouse can defeat unilaterally; the tenancy is converted to a tenancy in common only by divorce (or a joint act).

Under New York law, mortgage foreclosure actions on residential property are conducted as:

Answer: Judicial proceedings requiring a court action, order of reference, and judicial sale

New York is a judicial foreclosure state. A lender must commence a court action, obtain a judgment of foreclosure and sale, and proceed through an order of reference and judicial sale overseen by a referee. This process provides significant procedural protections for borrowers and typically takes considerably longer than non-judicial states.

Under New York Real Property Law § 223-b, a landlord is prohibited from retaliating against a residential tenant by commencing eviction proceedings, raising rent, or reducing services when the tenant has:

Answer: Complained in good faith to a governmental authority about a housing code violation

RPL § 223-b protects tenants who in good faith complain to a governmental authority about health, safety, or housing code violations, or who join or organize a tenants' union, from retaliatory evictions, rent increases, or service reductions. A landlord who retaliates within one year of such protected activity bears the burden of proving a non-retaliatory motive.

Under New York Real Property Law 240-b, an owner of real property who conveys it to himself and one or more other persons:

Answer: Makes a conveyance with the same effect as if a stranger had conveyed, and may create a joint tenancy, tenancy by the entirety or tenancy in common

RPL 240-b authorizes an owner to convey real property to himself and others (or to himself and a spouse); the conveyance has the same effect as if made by a stranger and can create a sole estate, joint tenancy, tenancy by the entirety or tenancy in common.