NY UCC § 9-611 (2021)
2021 New York Laws UCC - Uniform Commercial Code Article 9 - Secured Transactions Part 6 - Default Sub Part 1 - Default and Enforcement of Security Interest 9-611 - Notification Before Disposition of Collateral

Section 9--611. Notification Before Disposition of Collateral.  (a) "Notification  date."  In  this section, "notification date" means the earlier of the date on which:       (1) a secured party sends to the debtor and any secondary obligor            an authenticated notification of disposition; or       (2) the debtor and any  secondary  obligor  waive  the  right  to            notification.  (b) Notification of disposition required. Except as otherwise provided in  subsection  (d),  a  secured party that disposes of collateral under Section 9--610 shall send to the persons specified in subsection  (c)  a reasonable authenticated notification of disposition.  (c) Persons to be notified. To comply with subsection (b), the secured party shall send an authenticated notification of disposition to:       (1) the debtor;       (2) any secondary obligor; and       (3) if the collateral is other than consumer goods:           (A) any  other  person  from  which  the  secured  party  has                received, before the notification date, an  authenticated                notification of a claim of an interest in the collateral;           (B) any  other  secured  party  or  lienholder  that, 10 days                before the notification date, held a security interest in                or other lien on the collateral perfected by  the  filing                of a financing statement that:               (i) identified the collateral;               (ii) was indexed under the debtor's name as of that date;                     and               (iii) was  filed  in  the  office  in  which  to  file  a                      financing statement against the debtor covering the                      collateral as of that date; and           (C) any  other  secured  party  that,  10  days  before   the                notification  date,  held  a  security  interest  in  the                collateral  perfected  by  compliance  with  a   statute,                regulation, or treaty described in Section 9--311(a).  (d) Subsection  (b)  inapplicable:  perishable  collateral; recognized market. Subsection (b) does not apply if the collateral is perishable or threatens to decline speedily in value or is of a type customarily  sold on a recognized market.  (e) Compliance  with  subsection (c) (3) (B). A secured party complies with the requirement  for  notification  prescribed  by  subsection  (c) (3) (B) if:       (1) not later than twenty days or earlier than thirty days before            the  notification  date,  the  secured  party  requests, in a            commercially  reasonable   manner,   information   concerning            financing  statements  indexed under the debtor's name in the            office indicated in subsection (c) (3) (B); and       (2) before the notification date, the secured party:           (A)  did  not  receive  a  response  to   the   request   for                information; or           (B)  received  a  response to the request for information and                sent an authenticated notification of disposition to each                secured party or other lienholder named in that  response                whose financing statement covered the collateral.  (f) Additional pre-disposition notice for cooperative interests.  (1) In addition to such other notification as may be required pursuant to  subsection  (b) of this section and section 9-613 of this article, a secured party whose collateral consists  of  a  residential  cooperative interest  used  by  the  debtor  and  whose  security  interest  in such collateral secures an obligation incurred in connection  with  financing  or  refinancing  of the acquisition of such cooperative interest and who proposes to dispose of such collateral after a default with  respect  to such  obligation,  shall  send  to the debtor, not less than ninety days prior  to  the  date  of the disposition of the cooperative interest, an additional pre-disposition notice as provided herein.   * (1-a) Notwithstanding any other provision of law, with regard  to  a reverse cooperative apartment unit loan, at least forty-five days before a  secured  party,  as  defined under Section 9-102(a)(73), or its agent takes any steps to dispose of its collateral, as provided for in Section 9-610, the secured party or its agent shall give notice to the borrower, and separate notice to the borrower's designated third-party if one  has been  designated  in at least fourteen-point type except for the heading which shall be in at least sixteen-point type. The notice shall  include the following:   YOU COULD LOSE YOUR COOPERATIVE APARTMENT UNIT TO FORECLOSURE. PLEASE                   READ THE FOLLOWING NOTICE CAREFULLY. Date Borrower's address Loan Number: Property Address: Dear Borrower(s) {or heirs of Debtor?}: As  of  ___________,  your reverse cooperative apartment unit loan is in default. Under New York State Law, we are  required  to  send  you  this notice to inform you that you may be at risk of losing your home. Your  reverse  loan is in default because you have not complied with the following conditions of your loan: _____ You are not occupying your  cooperative  apartment  unit  as  your primary residence _____ You did not submit the required annual certificate of occupancy _____ The named borrower on the reverse loan has died _____  You  did  not  pay  maintenance  on  your unit to the cooperative corporation, and  {servicer}  paid  your  maintenance  for  you  on  the following           date(s)           in          the          following amount(s):________________________________ ____________________________________ _____ You did not make required repairs to your unit If the claim is  based  on  your  failure  to  pay  maintenance  to  the cooperative corporation, you can cure this default by making the payment of $____________ for the advances we made towards these payments on your behalf. You  have the right to dispute the claims listed above by contacting us, by calling ___________ or sending a letter to  __________________.  This may  include  proof  of  payments  made for water and sewer charges or a current declaration page from your insurance company, or any other proof to dispute the servicer's claim. OPTIONS MAY BE AVAILABLE FOR YOU TO CURE YOUR  DEFAULT.  SOME  OF  THESE OPTIONS  ARE  LISTED  BELOW.  YOU  MAY  CONTACT {SERVICER} AT {TOLL-FREE NUMBER} TO DISCUSS YOUR OPTIONS. If you are in default for failure to pay maintenance,  you  may  qualify for a re-payment plan to cure the default balance owed. Attached  to  this  notice  is  a  list  of  New  York  approved housing counseling agencies and legal services in your area which  provide  free counseling.   A  statewide  listing  by  county  is  also  available  at http://www.dfs.ny.gov/consumer/mortg nys np counseling agencies.htm. You may also call your local Department of Aging for a referral or call  311 if you live in New York City. Qualified  free help is available; watch out for companies or people who charge a fee for these services.  You may also contact  {SERVICER}  directly  at  __________  and  ask  to discuss  all  possible  options  to  allow  you to cure your default and prevent the foreclosure of your home. While  we  cannot  ensure  that  a resolution  is possible, we encourage you to take immediate steps to try to  achieve a resolution. The longer you wait, the fewer options you may have. If you have not taken any actions to resolve this matter  within  ninety days  from  the  date  this notice was mailed, we will have the right to take your cooperative shares from you. If you  need  further  information,  please  call  the  New  York  State Department  of Financial Services' toll-free helpline at 877-226-5697 or visit the Department's website at http://www.dfs.ny.gov. IMPORTANT: You have the right to remain in your unit until you receive a court order telling you to leave the property. If a  foreclosure  action is filed against you in court, you still have the right to remain in the unit  until a court orders you to leave. You legally remain the owner of your cooperative shares and are  responsible  for  the  unit  until  the shares  are  transferred  to  a new owner through a sale. However, there will be no court proceeding before the shares are transferred to  a  new owner. After the shares are transferred, the new owner may begin a court proceeding to evict you from the unit. This notice is not an eviction notice.   * NB Effective May 30, 2022  (2)  The  notice  required  by  this  subsection  shall  be  in  bold, fourteen-point type and shall be printed on colored paper that is  other than the color of the notice required by subsection (b) of this section, and  the  title  of  the notice shall be in bold, twenty-point type. The notice shall be on its own page.  (3) The notice required by this subsection shall appear as follows:                Help for Homeowners at Risk of Foreclosure New York State Law requires that we send you this information about  the foreclosure process. Please read it carefully. Notice   You  are  in  danger  of  losing your home. You are in default of your obligations under the loan secured by your rights  to  your  cooperative apartment.  It  is  important that you take action, if you wish to avoid losing your home. Sources of Information and Assistance   The State encourages you to become informed  about  your  options,  by seeking assistance from an attorney, a legal aid office, or a government agency  or non-profit organization that provides counseling with respect to home foreclosures.   To locate a housing counselor near you, you  may  call  the  toll-free helpline  maintained  by  the  New  York  State  Department of Financial Services at                enter number) or visit the  Department's website at            enter web address). One of these persons or organizations may be able to help you, including trying  to  work  with  your  lender  to modify the loan to make it more affordable. Foreclosure rescue scams   Be careful of people who approach you with offers to "save" your home. There are individuals who watch for notices of  foreclosure  actions  or collateral  sales  in  order  to  unfairly  profit  from  a  homeowner's distress. You should be extremely careful about any  such  promises  and any suggestions that you pay them a fee or sign any papers that transfer rights  of  any  kind  to your cooperative apartment. State law requires anyone offering such services for profit to enter into a contract  which fully  describes  the  services  they  will  perform  and fees they will  charge, and which prohibits them from taking any money  from  you  until they have completed all such promised services.  (4) The department of financial services shall prescribe the telephone number and web address to be included in the notice.  (5)  The department of financial services shall post on its website or otherwise make readily available the name  and  contact  information  of government  agencies  or  non-profit organizations that may be contacted for information about the foreclosure process, including  maintaining  a toll-free  helpline  to  disseminate  the  information  required by this subsection.