A new law passed in New York in April 2024, known as the Good Cause Eviction Law, makes it more challenging for problem tenants to be removed from rental properties. Homeowners screening potential tenants must be aware of local, state, and federal housing laws to avoid legal trouble, as new legislation across the country is often in favor of tenants rather than homeowners. The law states that fair market tenants who are not rent-controlled or rent-stabilized can only be removed under certain circumstances, including proving “good cause” for eviction.
The Good Cause Eviction Law came into effect on April 20, 2024, with certain provisions taking effect later on August 18, 2024. Landlords who own 10 units or fewer, tenants returning to a property after subletting it, and homes provided due to employment but left after the job ended are exempt from this law. Other exemptions include homes built after January 1, 2009, homes subject to federal, state, or local rent regulations, and homes under government-regulated programs with rent restrictions. Seasonal homes, mobile homes, hotel rooms, and homes with rent exceeding 245% of the fair market rent are also excluded.
There are several grounds for eviction considered “good cause” under the new law, including failure to pay rent, being a nuisance, and other reasons listed within the legislation. Landlords who do not fall into either the exempt category or have grounds for removal will find it difficult to evict problematic tenants. The law also caps yearly rent increases at 8.82%, providing additional protection to tenants. While the law may not directly address squatter situations, it reflects a broader trend of protecting tenants, sometimes at the expense of landlords.
Daniel Phillips, a real estate litigation partner, explains that the law aims to protect tenants who may not necessarily be considered bad enough for immediate eviction but still cause issues for landlords. This protection makes it challenging for landlords to remove troublesome tenants, even when their lease expires. The law’s focus on protecting tenants is in line with the legal rights often granted to squatters in housing disputes, where lengthy legal battles can play out in court. Phillips predicts that the law will make it harder for landlords to remove problematic tenants, potentially leading to prolonged disputes in the future.
Overall, the Good Cause Eviction Law in New York presents challenges for landlords seeking to remove problem tenants from their properties. By establishing strict guidelines for eviction and exempting certain properties from the law, it aims to protect tenants who may not meet the criteria for immediate removal but still cause issues for landlords. This legislation reflects a broader trend of prioritizing tenant rights in housing disputes, similar to the protections often granted to squatters in court cases. For homeowners screening potential tenants, understanding the complexities of housing laws at various levels of government is crucial to avoid legal trouble in an increasingly tenant-friendly environment.