New York Assembly Bill A08083

New York 2025-2026 Regular Session

• Introduced: 4/24/25
• Refer: 4/24/25
• Refer: 1/7/26

Caption

Authorizes municipalities and the department of financial services to seek civil penalties for violations of the duty to maintain a foreclosed property in an amount of up to $500 per day for each day such violation persists after the judgement of foreclosure has been issued.

Summary

This bill amends Section 1307 of the Real Property Actions and Proceedings Law to expand enforcement of the duty to maintain foreclosed residential property after a foreclosure judgment has been issued. It allows violations to be brought before a hearing officer or court by authorized entities, and if a violation is proven by a preponderance of the evidence, a civil penalty of up to $500 per day may be imposed for each day the violation continues after judgment. The bill gives the Superintendent of Financial Services discretion to pursue suspected violations, after providing at least seven days’ notice to the plaintiff in the foreclosure action. It also gives the municipality where the property is located authority to enforce the maintenance obligations in court after seven days’ notice, with an emergency exception allowing immediate entry and maintenance when needed to address threats to public health, safety, or welfare. Any civil penalties recovered in a municipal action would be retained by the municipality, and DFS is authorized to adopt rules and regulations to implement the law.

Impact

The bill would strengthen post-foreclosure property maintenance enforcement in New York by adding new civil penalty authority on top of existing remedies under RPAPL § 1307. It expands who may enforce the duty to maintain foreclosed property—specifically municipalities and the Department of Financial Services—and creates a daily penalty structure that could increase financial pressure on foreclosure plaintiffs to keep properties secure and maintained. The measure also clarifies that these new enforcement powers are supplemental and do not reduce existing rights or remedies under current law.

Sentiment

The available materials suggest generally supportive intent, focused on addressing neglected foreclosed properties and protecting neighborhoods from blight and safety hazards. The bill’s caption and structure indicate a policy preference for stronger enforcement and local government involvement, but there is no recorded committee debate or vote history in the provided materials to show broader legislative support or opposition. As a result, the sentiment can be characterized as pro-enforcement and pro-municipal authority, with no documented floor or committee controversy in the record provided.

Contention

The main points of potential contention are the expanded enforcement authority and the imposition of daily civil penalties on foreclosure plaintiffs, which could be viewed as burdensome by lenders, servicers, and other foreclosure plaintiffs. Another possible issue is the municipality’s ability to enter and maintain property in emergency situations, which raises questions about notice, property access, and the scope of local authority. Supporters are likely to emphasize public health, safety, welfare, and neighborhood preservation, while opponents may focus on due process, administrative burden, and increased liability for parties involved in foreclosure actions.