N.Y. General Business Law 781 – Security to be furnished by vendor
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§ 781. Security to be furnished by vendor. When a vendor undertakes to build or construct a home for a vendee, and such vendee is required to pay a deposit to such vendor, the vendor shall post with the chief fiscal officer of the municipality wherein such home is to be erected or constructed, a bond in the amount of such deposit or deposits. Such bond shall be posted within five business days after receipt of said deposit or deposits, by the vendor, and shall secure the payment of said deposit to the vendee upon the vendor's default. Such bond shall be in such form as required by the superintendent of financial services.
Terms Used In N.Y. General Business Law 781
- Deposit: means any moneys given as down payment by the vendee to the vendor as required by the vendor prior to the commencement of the work to be performed pursuant to an agreement between the vendor and vendee wherein vendor undertook to build or construct a home for the vendee. See N.Y. General Business Law 780
- Home: means a new one or two family dwelling intended to be used primarily as a residence. See N.Y. General Business Law 780
- Municipality: means any town, village or city. See N.Y. General Business Law 780
- Vendee: means any individual or individuals who have contracted with a vendor for construction of a home on land not owned at the time of such agreement by such individual or individuals. See N.Y. General Business Law 780
- Vendor: means any person, firm, corporation, or association engaged in the business of erecting or constructing homes. See N.Y. General Business Law 780