New York § 778-AAA - 778-AAADefinitions

§ 778-AAA. 778-AAADefinitions

§ 778-aaa. Definitions. As used in this article, the following terms, unless the context requires otherwise, shall have the following meanings: 1. "Person" means a natural person, partnership, association, cooperative, corporation, trust, or other legal entity. 2. "Real estate service agreement" means a written contract under which a person agrees to provide services in connection with the maintenance of or purchase or sale of residential real estate. 3. "Recording" means presenting a document to a recording officer, whether the county clerk of the county or the register of the county, consistent with the real property law. 4. "Residential real estate" means real property located in this state which is used primarily for personal, family, or household purposes and is improved by one to four dwelling units, including condominium units. 5. "Service provider" means an individual or entity that provides services to a person. 6. (a) "Unfair real estate service agreement" means any real estate service agreement that is not to be performed within two years after the time it is entered into and either: (i) purports to run with the land or to be binding on future owners of interests in the real property; or (ii) allows for assignment of the right to provide service without notice to and consent of the owner of residential real estate; or (iii) purports to create a lien, encumbrance, or other real property security interest, other than a mechanics lien properly issued pursuant to the provisions of the lien law; or (iv) is a real estate listing agreement as defined in paragraph e of subdivision one of section four hundred forty-three of the real property law. (b) Notwithstanding the foregoing, an agreement shall not be considered an unfair real estate service agreement if it is a valid: (i) home warranty or similar product that covers the cost of maintenance of a major home system for a fixed period; (ii) insurance contract; (iii) option or right of refusal to purchase the residential real estate; (iv) declaration created in the formation of a common interest community or an amendment thereto; (v) maintenance or repair agreement entered by a homeowners' association in a common interest community; (vi) mortgage loan or a commitment to make or receive a mortgage loan; (vii) security agreement under the uniform commercial code relating to the sale or rental of personal property or fixtures; (viii) contract with a water, sewer, electrical, telephone, cable, or other regulated utility service provider; or (ix) contract, restrictive declaration, regulatory agreement or other instrument, which is mandated by a governmental entity or to which a governmental entity is a party.