New York State Protections for Commercial and Residential Tenants

08 May 2020
Client Alert

Governor Cuomo signed Executive Order 202.8 on March 20, 2020, which initially established a 90-day stay on evictions and foreclosures, among other measures designed to prevent the transmission of COVID-19 and provide protections for affected residents.

On May 7, 2020, Governor Cuomo announced that the moratorium on evictions of commercial and residential tenants facing financial hardship due to COVID-19 will be extended by an additional 60 days through August 20.

In addition to extending the moratorium, the state will ban fees for late rent payments and will allow commercial and residential tenants to apply their security deposits as payment. Any tenants who use their security deposits will be required to repay them over time.

The Rent Stabilization Association, which represents owners of rent-regulated apartments, has called for financial assistance for landlords whose tenants are not paying rent. The governor has acknowledged the challenges that landlords would experience as a result of the moratorium and has indicated that the state is working on the issue but has not yet announced any details.

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Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Prior results do not guarantee a similar outcome.