2020 New York Laws
GBS - General Business
Article 37 - Deposits on Construction of New Homes
783 - Disposition of Security.
§ 783. Disposition of security. 1. Upon transfer of title of the home to the vendee the bond posted pursuant to this article shall be released, and any funds held in escrow pursuant to the provisions of this article, together with interest accumulated thereon shall become the property of the vendor, unless otherwise agreed between the vendor and vendee.
2. Upon default by the vendor, the vendee may demand return of his deposit or deposits from the vendor. If the vendor has placed the deposit or deposits in an escrow account pursuant to the provisions of this article, he shall physically transfer the account to the vendee, or pay the balance of said account to the vendee within fourteen business days after the day on which the demand was made. If the vendor has posted a bond pursuant to the provisions of this article, the vendee may initiate action for payment thereon if his deposit or deposits have not been paid to such vendee by the vendor within fourteen business days after the day in which said demand was made.
