New York Codes, Rules and Regulations › Title 19 - DEPARTMENT OF STATE › Chapter V - Division Of Corporations And State Records › Subchapter G - Apartment Information Vendors › Part 190 - General Provisions › Section 190.2 - Escrow agreement required for advanced fee

Current through Register Vol. 46, No. 28, July 10, 2024
(a) No apartment information vendor or
				  employee thereof shall collect a fee prior to a customer obtaining an apartment
				  as a result of the information supplied by the apartment information vendor
				  unless said vendor shall deliver to the customer a fully executed contract as
				  described in section
				  190.1 of this Part and a fully
				  executed separate escrow agreement as described in subdivision (d) of this
				  section.
(b) Any advance fee
				  collected by an apartment information vendor or employee thereof shall be
				  deposited in the vendor's escrow account no later than the business day
				  following the day on which it is received.
(c) The provisions of this section shall not
				  apply to an apartment information vendor who deals solely with apartments to
				  share.
(d) The form of the standard
				  apartment information vendor escrow agreement shall be as follows:
No.______
(
enter sequential number
)
APARTMENT INFORMATION VENDOR STANDARD ESCROW
					 AGREEMENT
Agreement between (vendor)
					 ..................................................................................................
[
print name and address of apartment information
					 vendor
]
and (customer)
					 ..................................................................................................
[
customer's name and address
]
entered into on ______
(date).
(1) Vendor acknowledges receipt this day of
				  an advance fee from the customer, in the amount of ____.
(2) In consideration of customer's payment of
				  such fee before an apartment has been obtained, and in accordance with the
				  provisions of article 12-C of the Real Property Law, vendor agrees to deposit
				  such fee in escrow, less ____
(not more than $15)
(Fee for
				  administrative expenses).
(3) The
				  vendor shall deposit the advance fee in:
..................................................................................................
..................................................................................................
..................................................................................................
(
print name and address of bank, and account number
					 where escrow will be deposited
)
AMOUNT OF THE ADVANCE FEE
(4) The vendor may not receive an advance fee
				  which is greater than one month's rent for any of the apartments on the list
				  supplied to the customer.
(5) If
				  the monthly rental of the apartment rented or leased by the customer through
				  information supplied by the vendor, is less than the advance fee, the customer
				  shall receive a refund equal to that portion of the advance fee that is in
				  excess of the amount of the monthly rental. This refund shall be made within 10
				  days of the date on which customer makes a written request for said refund.
PROCEDURE FOR OBTAINING A
					 REFUND
(6) It is
				  understood and agreed that the customer has an absolute right to receive a
				  refund of the full advance fee if he or she follows the following directions:
(a) The customer will receive a refund when
				  the vendor is notified that the customer has not leased or rented and does not
				  intend to rent or lease an apartment, or other residence, through information
				  supplied by the vendor.
(b) The
				  notice must be in writing signed by the customer.
(c) The notice may be delivered to the vendor
				  either in person or by first class mail to the vendor's address set forth
				  above.
(7) The vendor
				  shall refund the advance fee, less the fee for administrative expenses set
				  forth in paragraph (2) above, within 10 days of receipt of the notice; and the
				  customer shall NOT be required to present evidence that he or she actively
				  pursued the information supplied by the vendor to be eligible for a
				  refund.
(8) The vendor agrees to be
				  personally responsible and liable for carrying out the terms of this escrow
				  agreement.
(9) This document has
				  been filled out and signed by:
..................................................................................................
..................................................................................................
(
Print full name and address of authorized
					 agent
)
..................................................................................................
..................................................................................................
(Signature of Customer)
..
Date
..................................................................................................
..................................................................................................
(Signature of Vendor,
or his duly authorized agent)
..
Date
..................................................................................................
Date Delivered to Customer:
ANY COMPLAINTS ARISING FROM THIS AGREEMENT MAY BE MADE
					 TO:
New York State
Department of State
Division of Licensing Services
270 Broadway
New York, N.Y. 10007
OR
You may contact any local
office of the New York State
Department of State.