Includes within the definition of "improvement" the furnishing or delivery of fuel oil or kerosene.
TITLE OF BILL: An act to amend the lien law, in relation to including in the definition of "improvement" the furnishing or delivery of fuel oil or kerosene
PURPOSE: The bill would permit heating oil dealers to seek recovery of monies owed to them for the delivery of heating fuel or kerosene to commercial properties or large apartment buildings through the filing of a lien to collect for past delivered fuel oil.
SUMMARY OF PROVISIONS: Section 1: Amends Lien Law section 2(4) to add to the definition of "improvement" the delivery of fuel oil or kerosene to a commercial real property or a large residential building. This provision would permit oil dealers to file a lien to collect for oil delivered to a commercial property or a residential building with 4 or more units. This "B" Print amendment clarified the provisions of this bill so that it will clearly only apply to commercial properties or large multi-unit residential properties.
JUSTIFICATION: The Lien Law is intended to protect the value of services rendered to real property. Heating oil dealers provide a crucial service to commercial buildings and apartment buildings that use heating oil or kerosene as a-source of heat, hot water, or for forms of energy or power. Frequently, heating oil dealers are unable to collect monies owed from commercial buildings for delivered heating oil either as a result of the transfer of ownership of a building or because the costs of recovery amounts owed through court proceedings outweigh the value of the monies owed. As a result, heating oil dealers are often denied remuneration for that fuel that they provide to nonpaying buildings. The shortfalls experienced by heating oil dealers, as a result of nonpayment, can lead to higher heating costs for customers that do pay for their fuel oil bills. By allowing heating oil dealers to file a lien for oil delivered the legislation would correct the inequity created by the nonpayment by commercial building owners. Further, it will give oil dealers the ability to collect old past due oil bills particularly when the building is sold to a new owner.
PRIOR LEGISLATIVE HISTORY: 2010 - S.5079B- PASSED JUDICIARY; A.7810B - Judiciary
FISCAL IMPLICATIONS: None.
EFFECTIVE DATE: This act shall take effect January 1 of the year next Succeeding the date in which it was signed into law.
STATE OF NEW YORK ________________________________________________________________________ 3303 2011-2012 Regular Sessions IN SENATE February 15, 2011 ___________Introduced by Sen. KLEIN -- read twice and ordered printed, and when printed to be committed to the Committee on Judiciary AN ACT to amend the lien law, in relation to including in the definition of "improvement" the furnishing or delivery of fuel oil or kerosene THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivision 4 of section 2 of the lien law, as amended by chapter 925 of the laws of 1982, is amended to read as follows: 4. Improvement. The term "improvement," when used in this chapter, includes the demolition, erection, alteration or repair of any structure upon, connected with, or beneath the surface of, any real property and any work done upon such property or materials furnished for its perma- nent improvement, and shall also include any work done or materials furnished in equipping any such structure with any chandeliers, brackets or other fixtures or apparatus for supplying gas or electric light and shall also include the drawing by any architect or engineer or surveyor, of any plans or specifications or survey, which are prepared for or used in connection with such improvement and shall also include the value of materials actually manufactured for but not delivered to the real prop- erty, and shall also include the reasonable rental value for the period of actual use of machinery, tools and equipment and the value of compressed gases furnished for welding or cutting in connection with the demolition, erection, alteration or repair of any real property, and the value of fuel and lubricants consumed by machinery operating on the improvement, or by motor vehicles owned, operated or controlled by the owner, or a contractor or subcontractor while engaged exclusively in the transportation of materials to or from the improvement for the purposes thereof and shall also include the performance of real estate brokerage services in obtaining a lessee for a term of more than three years of all or any part of real property to be used for other than residential purposes pursuant to a written contract of brokerage employment orEXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD09076-01-1 S. 3303 2
compensation, AND SHALL ALSO INCLUDE THE FURNISHING OR DELIVERY OF FUEL OIL OR KEROSENE USED TO PRODUCE HEAT, HOT WATER, OR OTHER FORMS OF ENER- GY OR POWER TO THE REAL PROPERTY, PROVIDED THAT SUCH REAL PROPERTY SHALL INCLUDE ONLY RESIDENTIAL BUILDINGS THAT CONTAIN FOUR OR MORE RESIDENTIAL UNITS AND ALL COMMERCIAL REAL PROPERTY INCLUDING, BUT NOT LIMITED TO, OFFICE BUILDINGS, INDUSTRIAL FACILITIES, RETAIL SHOPS AND LODGING ESTAB- LISHMENTS. S 2. This act shall take effect on the first of January next succeed- ing the date on which it shall have become a law.