New York Rent Laws
Rent Stab Code (1987) - Table of Contents

NYC Rent Stabilization Code (1987)

Please note: This version of the NYC Rent Stabilziation Code is from 1987 and is not current. The code has been amended several times since 1987. Although much remains the same, there are significant changes that have occurred. This version of the code is maintained for archival purposes.

PART 2525 -- PROHIBITIONS ----------------------------- TABLE OF CONTENTS Section 2525.1. General prohibitions. 2525.2. Evasion 2525.3. Conditional rental. 2525.4. Security deposits. 2525.5. Harassment. 2525.6. Subletting; assignment. ----------------------------- Sec. 2525.1. GENERAL PROHIBITIONS. It shall be unlawful, regardless of any contract, lease or other obligation heretofore or hereafter entered into, for any person to demand or receive any rent for any housing accommodation in excess of the legal regulated rent, or otherwise to do or omit to do any act, in violation of any regulation, order or requirement under the RSL or this Code, or to offer, solicit, attempt or agree to do any of the foregoing. In addition to the definition contained in section 2520.6(c) of this Title, the term rent, as herein before defined, shall also include the payment by a tenant of a fee or rental commission to an owner or to any person or real estate broker where such person or real estate broker is an agent or employee of the owner employed by the owner in connection with the operation or management of the building in which the housing accommodation is located, or where the owner or his or her employee refers the tenant to such person or such real estate broker employed by the owner in connection with the operation or management of the building, for the purpose of renting the housing accommodation, or where there is common ownership, directly or indirectly, or a financial interest between the owner and such person or real estate broker. Sec. 2525.2. EVASION. (a) The legal regulated rents and other requirements provided in this Code shall not be evaded, either directly or indirectly, in connection with the renting or leasing or the transfer of a lease for housing accommodations by requiring the tenant to pay, or obligate himself or herself for membership or other fees, or by modification of the practices relating to payment of commissions or other charges, or by modification of the services furnished or required to be furnished with the housing accommodations, or otherwise. (b) (1) Upon the receipt of rent in the form of cash or any instrument other than the personal check of the tenant, it shall be the duty of the owner to provide the tenant with a written receipt containing the following: (i) the date; (ii) the amount; (iii) the identity of the premises and period for which paid; and (iv) the signature and title of the person receiving the rent. (2) Where a tenant, in writing, requests that an owner provide a receipt for rent paid by personal check, it shall be the duty of the owner to provide the tenant with the receipt described in paragraph (1) of this subdivision for each such request made in writing. (3) The receipt provided pursuant to this subdivision shall state the name and New York City address of the managing agent or designee thereof, as required by section 27-2105 of the Administrative Code of the City of New York. A failure to comply with the provisions of this subdivision shall constitute an evasionary practice. Sec. 2525.3. CONDITIONAL RENTAL. (a) No owner or other person shall require a tenant or prospective tenant to purchase or lease, or agree to purchase or lease, furniture or any other personal property, including but not limited to shares to an apartment, prior to the acceptance for filing by the Attorney General of a plan of cooperative conversion, as a condition of renting housing accommodations. (b) No owner or other person shall require a tenant, prospective tenant or a prospective permanent tenant to represent or agree as a condition of renting a housing accommodation that the housing accommodation shall not be used as the tenant's or prospective tenant's primary residence, or the prospective permanent tenant's principal residence. (c) No owner or other person shall require a tenant or prospective tenant to sign a lease or other rental agreement in the name of a corporation or for professional or commercial use as a condition of renting a housing accommodation when the housing accommodation is to be used as the primary residence of the prospective tenant for residential purposes. (d) No owner or other person shall engage in any practice, including but not limited to illusory or collusive rental practices which deprive a tenant in possession of his or her rights under this Code. (e) The term "other person" as used in this section shall include an agent, or any other employee of an owner, or any other entity, acting with or without the authority of the owner. Sec. 2525.4. SECURITY DEPOSITS. Regardless of any contract, agreement, lease or other obligation heretofore or hereafter entered into, no owner, in addition to the authorized collection of rent, shall demand, receive or retain a security deposit or advance payment for or in connection with the use or occupancy of a housing accommodation which exceeds the rent for one month; provided, however, that where a greater security deposit was paid by the tenant in continuous occupancy since the date the housing accommodation became subject to the RSL, such deposit may continue in effect during the term of such lease and any renewals thereof with the same tenant. Such security deposit shall be subject to the following conditions: (a) the security deposit shall be deposited in an interest- bearing account in a banking organization in New York State; (b) the person depositing such security money shall be entitled to receive, as administrative expenses, a sum equivalent to one percent per annum upon the security money so deposited; (c) at the tenant's option, the balance of the interest paid by the banking organization shall be applied for the rental of the housing accommodation, or held in trust until repaid, or annually paid to the tenant; and (d) the owner otherwise complies with the provisions of article 7 of the General Obligations Law. Sec. 2525.5. HARASSMENT. It shall be unlawful for any owner or any person acting on his or her behalf, directly or indirectly, to engage in any course of conduct (including but not limited to interruption or discontinuance of required services, or unwarranted or base less court proceedings) which interferes with, or disturbs, or is intended to interfere with or disturb, the privacy, comfort, peace, repose or quiet enjoyment of the tenant in his or her use or occupancy of the housing accommodation, or is intended to cause the tenant to vacate such housing accommodation or waive any right afforded under this Code. Sec. 2525.6. SUBLETTING; ASSIGNMENT. (a) Housing accommodations subject to this Code rented by a tenant pursuant to an existing lease may be sublet in accordance with the provisions, and subject to the limitations, of section 226-b of the Real Property Law, provided that the additional provisions of this section are complied with and provided further that the tenant can establish that at all times he or she has maintained the housing accommodation as his or her primary residence and intends to occupy it as such at the expiration of the sublease. (b) The rental charged to the subtenant by the tenant shall not exceed the legal regulated rent plus no more than a 10- percent surcharge payable to the tenant if the housing accommodation is sublet fully furnished. Where a tenant violates the provisions of this subdivision, the subtenant shall be entitled to treble damages. (c) The tenant may not sublet a housing accommodation for more than a total of two years, including the term of the proposed sublease, out of the four-year period preceding the termination date of the proposed sublease. The term of proposed sublease may, if lawful under this section, extend beyond the term of the tenant's lease, and an owner may not refuse consent to a sublease solely because it extends beyond such term. A sublease which so extends shall be subject to the tenant's right to a renewal lease. (d) The tenant, rather than the subtenant, retains: (1) the right to a renewal lease, whether or not the term of the sublease extends beyond the term of the tenant's lease; and (2) the rights and status of a tenant in occupancy with respect to conversion to condominium or cooperative ownership. (e) Upon the consent of the owner to a sublet or an assignment of any lease, the legal regulated rent payable to the owner effective upon the date of subletting or assignment may be increased by the vacancy allowance, if any, provided in the Rent Guidelines Board Order in effect at the time of the commencement date of the lease, provided the lease is a renewal lease. Such increase in the case of an assignment shall remain part of the legal regulated rent for any subsequent renewal lease; however, in the case of a subletting, upon termination of the sublease, the legal regulated rent shall revert to the legal regulated rent without the sublet vacancy allowance. (f) An owner may terminate the tenancy of a tenant who sublets contrary to the terms of this section, or assigns without written consent of the owner, but no action or proceeding to terminate tenancy based upon the nonprimary residence of a tenant may be commenced prior to the expiration date of his or her lease. (g) (1) Notwithstanding the provisions of section 226-b of the Real Property Law, a not-for-profit hospital shall have the right to sublet any housing accommodation leased by it to its affiliated personnel without requiring the owner's consent to any such sublease and without being bound by the provisions of subdivisions (a), (c), (e) and (f) of this section. For the purposes of this section, where a housing accommodation is rented to a not-for-profit hospital for residential use, affiliated subtenants authorized to use such accommodations by such hospital shall be deemed to be tenants. (2) Whenever a not-for-profit hospital executes a renewal lease for a housing accommodation, the legal regulated rent shall be increased by a sum equal to 15 percent of the previous lease rental for such housing accommodation, hereinafter referred to as a vacancy surcharge, unless the owner shall have received within the seven-year period prior to the commencement date of such renewal lease any vacancy increases or vacancy surcharges allocable to the said housing accommodation. In the event the owner shall have received any such vacancy increases or vacancy surcharges during such seven-year period, the vacancy surcharge shall be reduced by the amount received by any such vacancy increase or vacancy surcharges. (h) For housing accommodations which are first made subject to this Code solely by reason of article 7-C of the MDL, nothing herein shall be deemed to prevent or limit the rights of tenants to sell improvements pursuant to MDL section 286(6).


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