BREAKING NEWS CORONAVIRUS UPDATE
Governor Cuomo Announces Executive Order Imposing
90-day Moratorium on Mortgage Payments and Mortgage Foreclosures
Governor Cuomo announced at a press conference this afternoon that he plans to order a 90-day moratorium on all mortgage payments and mortgage foreclosures. Mortgage payments will be suspended for three months based on financial hardship, and mortgage foreclosures will be deferred or postponed for the same period.
The deferred payments would not be forgiven; rather, they would be added at the back end of the loan.
Numerous questions arise, such as whether the suspension applies to both residential and commercial mortgages; whether it applies only to principal and interest, or also includes escrow and reserve payments whether it applies to cooperatives and condominiums or only to “lending institutions”; and how “financial hardship” would be determined.
New York Landlords Can File For Evictions and Non-Payment
Despite Moratorium on Court Action.
Even though court proceedings for eviction and non-payment actions have been suspended, the statute of limitations for filing these proceedings has not been delayed. Therefore, landlord are continuing to file papers with the courts so as not to lose their rights. Co-ops, condos and other building owners need to decide whether to do the same.
Local 32BJ and Realty Advisory Board reach “Memorandum of Understanding” Regarding Staff Reductions
Among other things, the MOU provides:
1) The 30-day notice for reductions in force or in hours is suspended as long as it relates to COVID-19. The union must be notified of any such reduction.
2) If an employee must self-monitor or self-quarantine due to a workplace exposure, the employer must pay the employee two (2) weeks “paid time off” without affecting the employee’s other “pto” benefits. Otherwise employees can use their “pto” benefits.
3) Employee termination rights are suspended for 60 days, and the rights of senior employees to replace junior employees in the event of a force reduction is suspended for 30 days.
We will keep all readers informed as we learn more.