As every licensee is well aware by now, the New York State Department of State (DOS) issued a Guidance Statement in February which required real estate brokerage firms to collect a commission from the landlord and not the tenant if the firm was representing the landlord. This manner of payment did not affect collecting the commission from the tenant if representing only the tenant. Both the New York State Association of Realtors (NYSAR) and the Real Estate Board of New York (REBNY) in conjunction with twelve brokerage firms filed a petition in the Supreme Court of the State of New York, Albany County, seeking to overturn the Guidance Statement and a temporary injunction was issued pending the court hearing on March 13th.
On Friday, March 13, 2020 the New York State Attorney General requested an extension of the time to file its opposition to the petition and a new court date has been set for June 12th. All licensees should be advised that the temporary restraining order has now been extended to June 12, 2020 which means that rental commissions can continue to be collected from the tenants even if the firm represents the landlord.