N.Y. Real Property Law 446-B – License required
§ 446-b. License required. 1. It is unlawful for any person to act or engage in the business as an apartment information vendor in this state without first having obtained a license from the secretary of state. No person shall be granted a license until he has established that he is trustworthy and bears a reputation for good and fair dealing.
Terms Used In N.Y. Real Property Law 446-B
- Apartment information vendor: means any person who engages in the business of claiming, demanding, charging, receiving, collecting, or contracting for the collection of, a fee from a customer for furnishing information concerning the location and availability of real property, including apartment housing, which may be leased, rented, shared or sublet as a private dwelling, abode, or place of residence. See N.Y. Real Property Law 446-A
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- Person: means any natural person, corporation, limited liability company, partnership, firm, or association. See N.Y. Real Property Law 446-A
- Trust account: A general term that covers all types of accounts in a trust department, such as estates, guardianships, and agencies. Source: OCC
2. The application for such license shall be filed in the office of the secretary of state on such forms as the secretary may prescribe.
3. When the apartment information vendor maintains more than one place of business, he shall apply for a supplemental license for each branch office so maintained. Supplemental licenses shall be conspicuously displayed in each branch office. The display of an expired license by any person, firm, partnership or corporation is a violation of the provisions of this article.
4. From and after the date when this subdivision shall take effect, the term for which a license shall be issued or reissued under this article shall be a period of one year beginning the first day of November in any year and ending the thirty-first day of October one year later. A license which takes effect on a day other than the first day of November in any year shall extend for a term expiring on the thirty-first day of October following the date on which the license takes effect.
5. Any license granted under the provisions hereof may be renewed for one year by the secretary upon application therefor by the holder, in such form as the secretary may prescribe. The secretary may dispense with the requirement for the filing of such statements as was contained in the original application for license.
6. Every applicant for a license under the provisions of this section, shall establish and maintain a special interest bearing trust account in the minimum amount of five thousand dollars in a branch of a national or state chartered banking institution having a place of business within the state, plus twenty-five hundred dollars for each additional licensed office, except that any applicant whose business is limited exclusively to acting as an apartment sharing agent shall be required to establish and maintain an account of only twenty-five hundred dollars plus twelve hundred fifty dollars for each additional licensed office. No license shall be issued unless a copy of a certificate of deposit showing the minimum balance in said special interest bearing trust account has been filed with the secretary simultaneously with the filing of the license application. Moneys may be withdrawn, from such account only upon the certification of the secretary.
7. No license shall be granted to a person under the age of eighteen or a corporation, limited liability company, partnership or association whose principal shareholder, member or partner is under such age.