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NY A03348

Bill

Status

Introduced

1/27/2025

Primary Sponsor

Jeffrey Dinowitz

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Origin

Assembly

2025-2026 General Assembly

AI Summary

  • Allows individuals injured by violations of mortgage servicing rules (including 3 NYCRR 419) to bring lawsuits, assert counterclaims, or file third-party claims against mortgagees and/or mortgage servicers

  • Establishes statutory damages of $1,000 per violation, plus the option to recover treble (triple) actual damages

  • Awards successful plaintiffs costs, expenses, and reasonable attorneys' fees when they obtain damages or injunctive relief

  • Makes mortgagees and mortgage servicers jointly and severally liable for damages to injured borrowers

  • Requires material compliance with superintendent-promulgated mortgage servicing rules as a condition precedent to commencing foreclosure actions, with non-compliance serving as a defense even if servicing has transferred to a different servicer

Legislative Description

Provides that any person who has been injured by reason of any violation of any such rules, regulations or policies as the superintendent may promulgate may bring an action in such person's own name; assert a counterclaim; or, if an action is commenced by the mortgagee or anyone acting on its behalf, bring a third party claim, against either the mortgagee and/or the mortgage servicer to enjoin any violations thereof; authorizes damages; makes related provisions.

Last Action

referred to banks

1/7/2026

Committee Referrals

Banks1/27/2025

Full Bill Text

No bill text available