New York enacts law to combat the blight of “zombie homes"

New York State officials have enacted legislation to prevent foreclosures and curb the threat posed to communities by “zombie properties.”

The bill was passed as part of the 2016 Legislative Session and signed into law Thursday (June 23).

The new law imposes a pre-foreclosure duty on the banks to maintain vacant and abandoned properties.

Previously, a bank or mortgagee had the responsibility of maintaining a vacant property once a judgment of foreclosure and sale was obtained, creating zombie properties and blight in communities. Reports indicate that these blighted homes have cost millions of dollars in lost property values.

The new legislation places the maintenance obligation on a mortgagee when the mortgagee becomes or should have become aware of the vacancy. Under the law, a bank has a duty to maintain and secure a residential real property where there is a reasonable basis to believe it is vacant and abandoned, and faces civil penalties up to $500 per violation, per property, per day for failing to do so.

The law also requires a foreclosing party to move to auction within 90 days of obtaining a foreclosure judgment. In addition, a foreclosing party would be required to take action to ensure that the property is reoccupied within 180 days of taking title.

Finally, the law will promote communication between local governments and mortgagees responsible for property maintenance.

The legislation takes effect immediately.

For more on the new law click here.

New York releases top ten consumer frauds of 2015

New York State officials have released a list of the top ten consumer fraud complaints received by the Attorney General’s Office in 2015 to mark National Consumer Protection Week.

The following is the 2015 list of the top ten consumer complaints by category:

1. Internet (privacy issues; spyware; consumer frauds)
2. Automobile (buying, leasing, repair, service contracts, rentals)
3. Consumer-Related Services (security systems; restaurant/catering services; tech repairs)
4. Landlord/Tenant Disputes (Security deposit releases, tenant-harassment)
5. Credit(debt collection; credit card billing; debt settlement; payday loans; credit repair; credit reporting agencies; identity theft)
6. Utilities (Wireless and Residential Phones; Energy Servicers & Suppliers; Cable and Satellite)
7. Home Repair/Construction (home improvement services not delivered or done poorly)
8. Retail Sales (any sale of goods: food, clothing, rent-to-own)
9. Mortgage (mortgage modifications; mortgage and loan broker fraud (foreclosures)
10. Mail Order (purchases made online or from a catalog).

If you feel you have been the victim of a scam, you can file complaints by completing and submitting a Consumer Bureau Online Complaint Form or calling the New York State consumer frauds line at 1-800-771-7755.

For more on the top ten scams and a list of tips consumers should use to protect themselves and their families, click here.

Consumer alert issued for Black Friday, Cyber Monday

In advance of the Christmas and holiday shopping season, New York State officials have the following tips for consumers shopping on Black Friday and Cyber Monday:

• Beware of misleading bargains and added fees.
• Compare warranty terms.
• Know the terms of a layaway plan.

• Check return and refund policies.
• Beware of restricted gift cards.
• Shop only on secure Internet connections.
• Do not be tricked by confusingly similar website and domain names.
• Protect yourself by using credit cards.
• Be wary of too-good-to-be-true contests and prize promotions.
• Read the fine print.

More on each of these tips can be found at the link above.

Beware of cold weather scams

Government officials in New York State have issued a consumer alert, advising the public, especially seniors, how to avoid potential scams that may occur with the onset of colder weather.

Consumers should protect themselves when hiring contractors to perform winter-related services by considering the following:

• Shop around. Get at least three estimates from reputable contractors that include specific information about the materials and services to be provided for the job. • Get it in writing. Insist on a written contract that includes the price and description of the work needed. • Do not pay unreasonable advance sums. Negotiate a payment schedule tied to the completion of specific stages of the job. Never pay the full price up front. • Get references. Check with the Better Business Bureau, banks, suppliers, and neighbors. Always contact references provided to you. • Know your rights. You have three days to cancel after signing a contract for home improvements. All cancellations must be in writing.

Persons who believe they were the victim of a scam can contact the New York State Consumer Frauds Bureau by calling 1-800-771-7755.

For more information, click here.

“Big legal burden” about to hit small businesses

Washington Post:

American consumers are beginning to receive in the mail new credit cards that add a security chip to the traditional magnetic strip that processes their payments. The hope is the new cards cut down on credit card fraud but many small businesses do not appear ready for the change….

Businesses will need to install new card readers (by October 1) to process the information on the chips. Those that do not have the new technology in place by then will be on the hook for any security lapses or fraudulent transactions, instead of payment-processing firms.

[M]ore than 28 percent of small business owners who process payment cards are not even aware of the new technology or how it affects their business.

Robocall Scam Targets New York Seniors

There's a new robocall scam that attempts to lure older New Yorkers into providing their personal information over the phone.

According to New York State officials, a voice on the robocall identifies itself as the New York State Office for the Aging and asks the individual answering the phone to press a button if someone in the home is over 65 and would be interested in receiving a free Medic Alert pin and $3000 in coupons for food or other items.

"This is a scam. The New York State Office for the Aging does not give away items, money or coupons and will never solicit personal information over the phone."

If you receive a similar call, you should hang up immediately.

Reports of financial scams should be reported to the Consumer Protection Division at 1-800-771-7755, the NYS Department of Financial Services at 1-800-697-1220 or the NYS Department of State (518) 474-8583.

For more information, click here.

Presentation: avoiding online consumer headaches

Cornell Cooperative Extension will be hosting a Consumer Issues program on Thursday, December 12 at 11:00 am.

The topic will be Avoiding Consumer Problems on the Internet. Speakers will explore ways for consumers to protect their identity, financial accounts, and personal information, and what to do to resolve problems if they occur.

Cornell Cooperative Extension is located at 615 Willow Avenue, Ithaca, New York. The program is free and open to the public; no registration is necessary.

For more information, click here or call the Consumer HelpLine at 607-272-2292 weekdays between 10:00 am and 2:00 pm.

Beware holiday shopping scams

Each year, financial crimes investigators and consumer groups see a spike in scams targeting holiday shoppers looking for extra cash and quick deals.

New York State officials have issued a number of tips to avoid getting ripped off during the holidays. They include:

Educate yourself about the pricing of the products you want, to help insure that the “sale” price was not marked up before it was marked down, nullifying the impact of the sale.

Be aware of added fees, such as hidden delivery charges and/or other added costs.

Compare warranty terms to learn what protections you get and the duration of those protections.

Know the terms of a layaway plan, including all charges and the consequences of missing payments.

Check return and refund policies, including whether the store charges a hefty restocking fee for returned items.

Beware of restricted gift cards.

Use caution when taking advantage of social network promotions and be mindful of the websites you visit to avoid malware and phishing sites.

Christmas is one of the most expensive times of year. Don’t let it cost you more than it has to.

Legal links of interest for the week ending March 15, 2013

Some of the stories about courts, the law and lawyers in the news this past week:

Open meetings laws force public agencies to share more materials: The new requirement, an amendment to the state open meetings law, mandates that all public agencies make their agendas available to the public in advance of their meetings, as well as supplemental meeting materials such as resolutions or department reports.

Wife of millionaire LI real-estate mogul gets judge to ripup her prenup: Longtime divorce lawyer Raoul Felder, who has never overturned a prenup in his three-decade career and has no involvement in the Petrakis case, called the decision “really rare” and precedent setting.

Will FDA Use Obamacare to Tax Americans’ Smartphones and Tablets: Leaders of the House Energy and Commerce Committee are concerned that FDA may subject more smartphones and mobile apps to regulation as medical devices, which could result in their being taxed under Obamacare and harm the innovation and economic benefits of the U.S. mobile marketplace.

Attorney wants to exclude Jews from Abdel Hameed Shehadeh’supcoming terror trial: Lawyer Frederick Cohn will ask a judge to bar Jews from the jury hearing the case against Abdel Hameed Shehadeh, who’s accused of lying about trying to join jihadists in Pakistan.

Can lawyers ethically blog about their cases? According to the decision issued by the Virginia Supreme Court, not only can Virginia lawyers ethically blog about their cases, they can even list the names of their clients when doing so, as long as their blog includes an appropriate disclaimer.

N.Y. Schools See Decrease in U.S. News Rankings: Bob Morse, director of data research at U.S. News, attributed much of the churn to a revised methodology involving the weight given to schools' success at landing their graduates in jobs.

Judge halts mayor's soda ban, calls it 'arbitrary and capricious': Judge Tingling said New York City Mayor Michael Bloomberg and the Board of Health overstepped their bounds, to enforce rules that should be established by the legislative bodies.

 For more on each of these stories, click the links above.

Legal links of interest for the week ending January 25, 2013

Some of the stories about courts, the law and lawyers in the news this past week:

• Court strikes down Obama recess appointments: The DC Circuit Court of Appeals has ruled that President Obama’s appointment of three NLRB members was unconstitutional because Obama claimed them as recess appointments when the Senate was not in recess.
• Debt collectors posing as Facebook friends: Some collectors masquerade as friendly personalities to catch an alleged debtor’s attention.
• Sheriffs raise concerns about NY’s new gun law: Some sheriffs said the law takes positive steps to address mental health issues and access to illegal guns, but they said it also infringes on Second Amendment rights,
• Important IRS deadline for small businesses is just daysaway:  If your business paid any individual $600 or more in 2012, the IRS wants to know about it.
• Two sue Subway for 'short' footlong subs: Plaintiffs' lawyer says the company should either make their sandwiches 12 inches long or stop advertising them as footlongs.
• Reid, McConnell reach Senate filibuster deal: The agreement focuses on limiting the ability to stall action at the very beginning of debate and after a bill has passed the Senate and before negotiations begin with the House.
• Foes of New York City soda size limit doubt racial fairness:  The NAACP and the Hispanic Federation, a network of 100 northeastern groups, say minority-owned delis and corner stores will end up at a disadvantage compared to grocery chains. 
• Facebook $20 million “sponsored stories” class-action settlement could mean $10 for users:
  The lawsuit alleges that Facebook “unlawfully used the names, profile pictures, photographs, likenesses, and identities of Facebook users in the United States to advertise or sell products and services through Sponsored Stories without obtaining those users’ consent.”

For more on each of these stories, click the links above.

New York law limits when businesses can demand your Social Security number

The Post-Standard (Syracuse, New York):

On Dec. 12, a new state law limiting the rights of businesses to ask consumers for their Social Security number takes effect.

Companies, as well as individuals, will be barred from requiring individuals to disclose their Social Security account numbers except under certain circumstances. They also will be prohibited from refusing to provide any service based on a person’s refusal to disclose his Social Security number....

The exceptions include situations in which the use of a Social Security number is required by federal, state or local law or regulation, or the number is needed for internal verification, fraud investigations, banking and credit-related activities, or in connection with employment, insurance or tax purposes.

More on the new law can be found here.

Legal guide for New York property owners: recovery and rebuilding from Hurricane Sandy

The New York State Attorney General’s office  has issued a guide to New Yorkers recovering from Hurricane Sandy.  The guide includes tips on “how to avoid scams as they restore and rebuild their homes and businesses.”

The tips offered in the guide include information on hiring a reputable contractor for property clean-up and repair, as well as how to avoid and report illegal price gouging.

For more information, click here.

Legal Links of Interest for the week ending October 12, 2012

Some of the stories about the law and lawyers in the news this past week:

·         One Million Motorists Skipped Out On $35M InUnpaid Thruway Tolls: Records reviewed through a Freedom of Information request show that the New York State Thruway Authority's finances have been hurt by its inability to recoup tolls and fines from people who zip through EZ-Pass lanes scot-free.

·         New law expands farm distilleries' salesoptions:  Gov. Andrew Cuomo signed legislation last week to allow licensed farm distilleries to sell liquor at the New York State Fair, local fairs and farmers’ markets.

·         It could become illegal to resell your iPhone 4,car or family antiques: If the Supreme Court upholds an appellate court ruling, it would mean that the copyright holders of anything you own that has been made in another country would have to give you permission to sell it.

·         New York traffic cameras use short yellow lights to increase ticket revenue: AAA New York has found that New York City intersections with cameras have yellow lights that are shorter by as much as 15 percent compared to the city standard.

·         New York Court of Appeals mulls if gang memberis a terrorist: The state’s highest court will consider whether the street gangsters who crashed a Bronx christening party, starting a fight that left a 10-year-old bystander dead, are also terrorists who deserve longer prison time.

·         Obama vs. Romney on the Supreme Court: Control of the Supreme Court, perhaps for a generation, is very much up for grab in the coming presidential election.

National Consumer Protection Week: March 4 - 10, 2012

National Consumer Protection Week focuses attention on the importance of consumer information and provides people with free resources explaining their rights in the marketplace.

Among the topics covered this week are understanding loans and mortgages, money management and avoiding identity theft.

More information about National Consumer Protection Week can be found here.