Section 441-C - Revocation and suspension of licenses1. Powers of department. (a) The department of state may revoke the license of a real estate broker or salesperson or suspend the same, for such period as the department may deem proper, or in lieu thereof may impose a fine not exceeding two thousand dollars payable to the department of state, provided that fifty percent of all moneys received by the department of state for such fines shall be payable to the anti-discrimination in housing fund established pursuant to section eighty-a of the state finance law, or a reprimand upon conviction of the licensee of a violation of any provision of this article, or for a violation of subdivision four of section four hundred forty-two-h of this article, or for a material misstatement in the application for such license, or if such licensee has been guilty of fraud or fraudulent practices, or for dishonest or misleading advertising, or has demonstrated untrustworthiness or incompetency to act as a real estate broker or salesperson, or for a violation of article fifteen of the executive law committed in their capacity as a real estate broker or salesperson, as the case may be. In the case of a real estate broker engaged in the business of a tenant relocator, untrustworthiness or incompetency shall include engaging in any course of conduct including, but not limited to, the interruption or discontinuance of essential building service, that interferes with or disturbs the peace, comfort, repose and quiet enjoyment of a tenant. (b)(i) The provisions of this paragraph shall apply in all cases of licensed broker or licensed salesperson who have failed, after receiving appropriate notice, to comply with a summons, subpoena or warrant relating to a paternity or child support proceeding or is in arrears in payment of child support or combined child and spousal support referred to the department by a court pursuant to the requirements of section two hundred forty-four-c of the domestic relations law or pursuant to section four hundred fifty-eight-b or five hundred forty-eight-b of the family court act.(ii) Upon receipt of an order from the court pursuant to one of the foregoing provisions of law based on arrears in payment of child support or combined child and spousal support, the department, if it finds such person to be so licensed, shall within thirty days of receipt of such order from the court, provide notice to the licensee of, and initiate, a hearing which shall be held by it at least twenty days and no more than thirty days after the sending of such notice to the licensee. The hearing shall be held solely for the purpose of determining whether there exists as of the date of the hearing proof that full payment of all arrears of support established by the order of the court to be due from the licensee have been paid. Proof of such payment shall be a certified check showing full payment of established arrears or a notice issued by the court, or the support collection unit where the order is payable to the support collection unit designated by the appropriate social services district. Such notice shall state that full payment of all arrears of support established by the order of the court to be due have been paid. The licensee shall be given full opportunity to present such proof of payment from the court or support collection unit at the hearing in person or by counsel. The only issue to be determined by the department as a result of the hearing is whether the arrears have been paid. No evidence with respect to the appropriateness of the court order or ability of the respondent party in arrears to comply with such order shall be received or considered by the department.(iii) Upon receipt of an order from the court based on failure to comply with a summons, subpoena, or warrant relating to a paternity or child support proceeding, the department, if it finds such person to be so licensed, shall within thirty days of receipt of such order from the court, provide notice to the licensee that his or her license shall be suspended within sixty days unless the conditions in subparagraph (v) of this section are met.(iv) Notwithstanding any inconsistent provision of this article or of any other provision of law to the contrary, the license of a real estate broker or salesperson shall be suspended if at the hearing, provided for by subparagraph (ii) of this paragraph, the licensee fails to present proof of payment as required by such subdivision. Such suspension shall not be lifted unless the court or the support collection unit, where the court order is payable to the support collection unit designated by the appropriate social services district, issues notice to the department that full payment of all arrears of support established by the order of the court to be due have been paid. (v) Notwithstanding any inconsistent provision of this article or of any other provision of law to the contrary, the license of a real estate broker or a salesperson shall be suspended in accordance with the provisions of subparagraph (iii) of this paragraph unless the court terminates its order to commence suspension proceedings. Such suspension shall not be lifted unless the court issues an order to the department terminating its order to commence suspension proceedings.(vi) The department shall inform the court of all actions taken hereunder as required by law.(vii) This paragraph applies to paternity and child support proceedings commenced under, and support obligations paid pursuant to any order of child support or child and spousal support issued under provisions of section two hundred thirty-six or two hundred forty of the domestic relations law, or article four, five, five-A or five-B of the family court act.(viii) Notwithstanding any inconsistent provision of this article or of any other provision of law to the contrary, the provisions of this paragraph shall apply to the exclusion of any other requirements of this article and to the exclusion of any other requirement of law to the contrary.2. Determination of department. In the event that the department shall revoke or suspend any such license, or impose any fine or reprimand on the holder thereof, its determination shall be in writing and officially signed. The original of such determination, when so signed, shall be filed in the office of the department and copies thereof shall be served personally or by registered mail upon the broker or salesperson and addressed to the principal place of business of such broker or salesperson, and to the complainant. All brokers' and salespersons' licenses and pocket cards shall be returned to the department of state within five days after the receipt of notice of a revocation or suspension, or in lieu thereof, the broker or salesperson whose license has been revoked or suspended shall make and file an affidavit in form prescribed by the department of state, showing that the failure to return such license and pocket card is due either to loss or destruction thereof.3. The display of a real estate broker's license after the revocation or suspension thereof is prohibited.4. Whenever the license of a real estate broker or real estate salesperson is revoked by the department, such real estate broker or real estate salesperson shall be ineligible to be relicensed either as a real estate broker or real estate salesperson until after the expiration of a period of one year from the date of such revocation.N.Y. Real Prop. Law § 441-C
Amended by New York Laws 2022, ch. 529,Sec. 11, eff. 8/17/2022.Amended by New York Laws 2022, ch. 153,Sec. 2, eff. 3/18/2022.Amended by New York Laws 2022, ch. 89,Sec. 2, eff. 1/20/2022.Amended by New York Laws 2021, ch. 696,Sec. 2, eff. 12/21/2021.Amended by New York Laws 2021, ch. 687,Sec. 1, eff. 2/19/2022.Amended by New York Laws 2020, ch. 131,Sec. 1, eff. 8/3/2020.