UPDATE 12/6/21: The eviction moratorium for commercial and residential tenants has been extended to January 15, 2022. The information and resources below reflect this change.
For informational purposes only. This page does not constitute legal advice and does not create an attorney-client relationship.
Is your NY small business struggling to pay rent because of COVID-19?
** You may be entitled to protections under New York law. **
On March 9, 2021, Gov. Cuomo signed the COVID-19 Emergency Protect Our Small Businesses Act of 2021, which may temporarily protect your business from eviction[1].
IF:
- Your business:
- Is a commercial tenant;
- Has under 50 employees;
- Is located in New York;
- Is independently owned and operated; and
- Is not dominant in its field.
- Your business suffered losses during the pandemic and cannot pay rent due. AND
- Your landlord wants to sue for eviction because of non-payment of rent or you remain in your space after the termination or expiration of your lease.
THEN:
Your landlord MUST send you a Hardship Declaration Form and their mailing or email address together with any notice to you that is required prior to the filing of an eviction proceeding[2]. You can find a copy here.
WHAT ARE MY RIGHTS?
- If you return a completed form, your landlord MAY NOT begin an eviction proceeding before August 31, 2021.
- If your landlord started an eviction proceeding against you any time before April 8, 2021, the court will pause the proceeding for at least 60 days or enough time to send the Hardship Declaration Form to you[3].
- Generally, landlords MAY NOT conduct self-help evictions without a court order before August 31, 2021.
- Even if you submit a Hardship Declaration Form, you likely still owe any unpaid rent due under your lease.
NOTE: Landlords may still seek to evict tenants who cause a nuisance in the building or a substantial safety hazard. There are, however, strict rules for how landlords can currently obtain an eviction in this case.
NOTE: The law provides small commercial landlords who own 10 or fewer commercial units with similar protections from having their property foreclosed on by their lender for not paying their mortgage.
For more information on free legal help for commercial tenants:
• Call our Hotline at (347) 521-5729
• Email us at lease@volsprobono.org
[1] The purpose of this law is to “hit the pause button on eviction […] proceedings for small businesses that are struggling, giving them a shot at survival, and giving them the opportunity to get back on their feet without the looming threat of being closed down for good just because they’ve fallen behind during the pandemic.” NYS Legislature
[2] Your landlord must show the court proof of sending you the hardship declaration form and that you did not return it before starting an eviction proceeding. If the court determines your landlord failed to comply, it will pause the proceeding for at least 10 days and send you a hardship declaration form.
[3] Even if an eviction warrant or judgment of possession has already been issued against you but has not been executed before March 9, 2021, the judgement will not be enforced until the court has conducted a status conference between you and your landlord to determine if you are suffering financial hardship.
For informational purposes only. This page does not constitute legal advice and does not create an attorney-client relationship.