N.Y. Real Property Tax Law § 956: Additional liabilities of mortgage investing institutions

§ 956. Additional liabilities of mortgage investing institutions. 1.

In addition to any other remedies permitted by law, a mortgagor whose

taxes are to be paid by means of a real property tax escrow account

pursuant to this title may bring an action against the mortgage

investing institution maintaining such account for the mortgagor under

the provisions of this section if payments for real property taxes have

not been made for one hundred eighty days after the date such taxes have

become due and payable. If a court shall find, after considering the

circumstances of the failure of a mortgage investing institution to pay

the real property taxes of a mortgagor pursuant to an escrow agreement,

that such failure was due to the negligence or intentional acts of the

mortgage investing institution, its agent, or both, the court may award

the mortgagor injunctive relief and liquidated damages in an amount

equal to three times the tax not paid within such one hundred eighty day

period but in no event greater than six thousand dollars.

2. In addition to any other violations provided by law, if a mortgage

investing institution through negligence or intentional acts fails to

pay real property taxes for more than one hundred eighty days after the

date such taxes become due and payable, it shall constitute a separate

violation of this title.