USA - NEW YORK Law and Practice Contributed by: Adam S. Walters, Erin C. Borek, Timothy P. Moriarty and Kelly E. Marks, Phillips Lytle LLP
6.20 Registration Requirements There are no registration requirements to comply with in New York. Memoranda of leases may be recorded in the county’s land records. However, not all landlords agree to execute a memorandum of lease because landlords do not want the mem - orandum of lease encumbering title to the proper - ty. Recording fees are paid by a per-page formula and are generally paid by the party requesting and recording the memorandum of lease. 6.21 Forced Eviction A tenant can be forced to vacate in the event of default or upon the expiration of the lease. For example, a tenant can be evicted for failure to pay rent or for otherwise violating the lease. Such actions are governed by the Real Property Actions and Proceedings Law (RPAPL) of the State of New York. In residential leases, the HSTPA amended the RPAPL to extend the time periods in non-pay - ment proceedings. The HSTPA eliminated oral demands to vacate and increased the notice period for written demands to 14 days, while also increasing the tenant’s time to provide an answer to ten days. In addition, the HSTPA amended RPL Section 235-e to require that ten - ants be reminded if rent is not received within five days of the due date. Failure to provide such a reminder can be used as an affirmative defence in a non-payment proceeding. At this point, all rent moratoriums for residential leases have expired. 6.22 Termination by a Third Party Portions of the leased premises may be taken by the government through eminent domain (condemnation). Condemnation provisions are negotiated by landlords and tenants. Typically, in the event of a condemnation that takes a
significant portion of the leased premises such that it is no longer useable for the tenant’s pur - poses, the parties have the option to terminate the lease. Typically, the landlord retains the right to the majority of the claim, and tenants have the right to claim for their fixtures and relocation costs associated with the condemnation. See 2.9 Condemnation, Expropriation, or Compul- sory Purchase . 6.23 Remedies/Damages for Breach In commercial leases, remedies and damages for a tenant breach and termination of a lease are negotiated between landlords and tenants. There are no statutory or customary limitations on damages a landlord may collect. Security deposits are negotiated between land - lords and tenants. If landlords do hold a security deposit, it can be in cash or letter of credit. 7. Construction 7.1 Common Structures Used to Price Construction Projects There are several structures used to price con - struction projects. First, there is a traditional fixed price or lump sum contract in which the contrac - tor (or a construction manager) bears all of the risk for the job and must complete the job for that cost. On the other hand, in a cost-plus contract, the owner pays the contractor its cost plus a fee, making any cost overruns the owner’s respon - sibility. In a guaranteed maximum price (GMP) arrangement, also referred to as a not-to-exceed price, the owner will reimburse the contractor for costs and fees up to a maximum; this offers the owner more protection than a cost-plus contract because the contractor is responsible for any additional costs that exceed the GMP. Finally, in a unit price contract, the contract price is based
1267 CHAMBERS.COM
Powered by FlippingBook