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Int 1058-2026

Attorneys’ fees provisions in commercial leases.

IntroductionIn CommitteeCommittee on Small Businessintroduced 2026-09-10

In committee — awaiting review.

Official record · Legistar

Agenda: 2026-09-10

Summary

This bill would require that when a commercial lease contains a provision allowing landlords to recover attorneys’ fees in a legal proceeding against a tenant for a tenant’s default on lease obligations, there be a presumption that tenants can recover attorneys’ fees for a landlord’s default on lease obligations and in the successful defense of a legal proceeding commenced under the lease by the landlord against the tenant. The tenant would be able to recover attorneys’ fees through a legal proceeding commenced against the landlord or through a counterclaim in any legal proceeding commenced by the landlord against the tenant. This bill would apply to contracts entered into or renewed after the bill’s effective date.

Committee on Small BusinessDepartment of Small Business Services and matters relating to retail business and emerging industries.

Outlook

40% of similar bills passed

20 passed · 30 died

This bill: 12 days in committee

Similar bills: median 445 days · 97 days when passed

Sponsors (1)

Lifecycle

IntroducedIntroduced by Council
2026-09-10 · City Council
ActionReferred to Comm by Council
2026-09-10 · City Council

Heard at (1)

City Council · 2026-09-10 · 1:30 PM · Council Chambers - City Hall

Attachments (5)

Full text
Int. No. 1058 By Council Member Santosuosso A Local Law to amend the administrative code of the city of New York, in relation to attorneys’ fees provisions in commercial leases Be it enacted by the Council as follows: Section 1. Title 22 of the administrative code of the city of New York is amended by adding a new chapter 9-A to read as follows: CHAPTER 9-A ATTORNEYS’ FEES IN COMMERCIAL LEASES § 22-911 Provision to recover attorneys’ fees in commercial leases. a. Where a commercial lease provides that in a legal proceeding the landlord may recover attorneys’ fees incurred by the landlord as the result of the failure of the tenant to perform any covenant or agreement contained in such lease, there shall be implied in such lease: 1. A covenant by the landlord to pay to the tenant attorneys’ fees incurred by the tenant as the result of the failure of the landlord to perform any covenant or agreement contained in such lease and in the successful defense of any legal proceeding commenced by the landlord against the tenant arising out of such lease; and 2. An agreement that the tenant may recover attorneys’ fees under paragraph 1 of this subdivision in a legal proceeding commenced against the landlord or by way of counterclaim in any legal proceeding commenced by the landlord against the tenant. b. Any waiver of this section is unenforceable and void as against public policy. § 2. This local law takes effect immediately, provided that where the provisions of section 22-911 of the administrative code of the city of New York, as added by section one of this local law, cannot be applied consistently with currently applicable contracts, such provisions only apply with respect to contracts entered into or renewed after the effective date of this local law. EH LSR #23164 7/31/2026 10:30 AM