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Governor Extends Prohibition against Commercial Evictions & Foreclosures on Commercial Mortgages

Governor Extends Prohibition against Commercial Evictions & Foreclosures on Commercial Mortgages

On Friday, December 11, 2020, Governor Cuomo issued Executive Order number Governor 202.82 extending until January 31, 2021 the current prohibition against starting any eviction, or enforcing any warrant of eviction, against commercial tenants based on the nonpayment of rent.  The Executive Order also extends to January 21st the prohibition on foreclosing any commercial mortgage for nonpayment.

 

These prohibitions only apply to commercial, not residential, evictions or foreclosures based on nonpayment.  Proceedings premised upon lease or mortgage violations other than nonpayment may be permitted.  Such violations may include, for example, using a commercial premises for criminal purposes or maintaining such premises in an unsanitary fashion.

 

Given that this prohibition has already been extended several times by executive action, it is certainly possible it will be again in the New Year. 

 

This post is intended to be used for informational purposes only.  Legal advice is neither implied by the author nor should be inferred by the reader.  If you have specific legal questions, you should consult with your attorney.

 

Jeffrey Sculley is an attorney and counselor at law focusing his practice on representing landlords; providing backroom human resource and employment support to businesses and not-for-profits; representing clients in appealing adverse trial-court and administrative decisions; and representing clients in all types of administrative, regulatory and compliance matters, before governmental agencies and administrative hearing officers and law judges.

 

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