N.Y. Real Property Law Section 242
Disclosure prior to the sale of real property


1.

(a) Any person, firm, company, partnership or corporation offering to sell real property to which no utility electric service is provided shall provide written notice to the prospective purchaser or to the prospective purchaser’s agent, clearly indicating this fact. Such notice shall be provided prior to accepting a purchase offer.

(b)

Any prospective or actual purchaser who has suffered a loss due to a violation of this section is entitled to recover any actual damages incurred from the person offering to sell said real property.

(c)

The provisions of this subdivision shall not apply in instances where the real property being sold lies within the applicable free footage allowance or service lateral specified by the public service commission in rule, regulation or public utility tariff.

2.

Disclosure prior to the sale of real property to which utility surcharge payments attach.

(a)

Any person, firm, company, partnership or corporation offering to sell real property against which an electric, gas or water utility surcharge is assessed for the purpose of defraying the costs associated with an electric, gas or water line extension, or for the purpose of defraying the costs associated with related facilities, shall provide written notice to the prospective purchaser or the prospective purchaser’s agent, stating as follows: “This property is subject to an electric, gas and/or water utility surcharge”. In addition, such notice shall also state, the type and purpose of the surcharge, the amount of the surcharge and whether such surcharge is payable on a monthly, yearly or other basis. Such notice shall be provided by the seller prior to accepting a purchase offer.

(b)

Any prospective or actual purchaser who has suffered a loss due to a violation of this subdivision is entitled to recover any actual damages incurred from the person offering to sell or selling said real property.

3.

Any person, firm, company, partnership or corporation offering to sell real property on which uncapped natural gas wells are situated, and of which such person, firm, company, partnership or corporation has actual knowledge, shall inform any purchaser of the existence of these wells prior to entering into a contract for the sale/purchase of such property.

4.

Disclosure prior to the sale of real property to which a green jobs-green New York on-bill recovery charge applies.

(a)

Any person, firm, company, partnership or corporation offering to sell real property which is subject to a green jobs-green New York on-bill recovery charge pursuant to title nine-A of article eight of the public authorities law shall provide written notice to the prospective purchaser or the prospective purchaser’s agent, stating as follows: “This property is subject to a green jobs-green New York on-bill recovery charge”. Such notice shall also state the total amount of the original charge, the payment schedule and the approximate remaining balance, a description of the energy efficiency services performed, including improvements to the property, and an explanation of the benefit of the green jobs-green New York qualified energy efficiency services. Such notice shall be provided by the seller prior to accepting a purchase offer.

(b)

Any prospective or actual purchaser who has suffered a loss due to a violation of this subdivision is entitled to recover any actual damages incurred from the person offering to sell or selling said real property.

Source: Section 242 — Disclosure prior to the sale of real property, https://www.­nysenate.­gov/legislation/laws/RPP/242 (updated Sep. 22, 2014; accessed Jul. 13, 2024).

240
Definitions and use of terms
240‑B
Certain conveyances authorized
240‑C
Joint tenancy severance
241
Ancient conveyances abolished
242
Disclosure prior to the sale of real property
243
Grant of fee or freehold
244
When grant takes effect
245
Estate which passes by grant or devise
246
Certain deeds declared grants
247
Conveyance by tenant for life or years of greater estate than possessed
248
Effect of conveyance where property is leased
249
Covenants in mortgages
251
Covenants not implied
252
Lineal and collateral warranties abolished
253
Construction of covenants in grants of freehold interests
254
Construction of clauses and covenants in mortgages and bonds or notes
254‑A
Right of election of mortgagee in certain cases
254‑B
Limitation on late charges
254‑C
Right to a copy of real property appraisals and consumer reports in certain cases
254‑D
Fees by mortgagee for direct payment of real property taxes by mortgagor prohibited
255
Construction of grant of appurtenances and of all the rights and estate of grantor
256
Construction of grant in executor’s or trustee’s deed of appurtenances, and of the estate of testator and grantor
257
Covenants bind representatives of grantor and mortgagor and inure to the benefit of whom
258
Short forms of deeds and mortgages
259‑C
Provision in lease of real property for waiver of trial by jury in actions for personal injury or property damage
260
Lands adversely held may be conveyed or mortgaged
261
Maintenance of telegraph or other electric wires raises no presumption of grant
265
Fraudulent intent, question of fact
265‑A
Home equity theft prevention
265‑B
Distressed property consulting contracts
266
Rights of purchaser or incumbrancer for valuable consideration protected
267
Conveyances with power to revoke, determine or alter
268
Disaffirmance of fraudulent act by executor and others
269
When remainderman may pay interest owed by life tenant
270
Powers of courts of equity not abridged
271
Construction of covenants in mortgages on leases of real property and bonds or notes
272
Construction of grant of appurtenances, and all of the rights and estate of the mortgagor
273
What form of mortgage on lease of real property
274
Transfers and mortgages of interest in decedents’ estates
274‑A
Certificate of principal amount unpaid on mortgages of real property
275
Certificate of discharge of mortgage required
276
Effect of certain easements on the right to invest in mortgages
277
Modification and extension of mortgage investment
277‑A
Powers of fiduciaries and others holding guaranteed mortgages or mortgage investments
278
Exchange of mortgage investment
278‑A
Sale or exchange of certain real property or mortgage investments therein authorized
279
Graduated payment mortgage
280
Reverse mortgage loans for persons sixty years of age or older
280‑A
Reverse mortgage loans for persons seventy years of age or older
280‑B
Federal home equity conversion mortgage regulation
280‑D
Federal home equity conversion mortgage default and foreclosure regulation
281
Credit line mortgage
282
Mortgagor’s right to recover attorneys’ fees in actions or proceedings arising out of foreclosures of residential property

Accessed:
Jul. 13, 2024

Last modified:
Sep. 22, 2014

§ 242’s source at nysenate​.gov

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