Under new NYC law, charging an illegal broker fee could result in $750 fine

Photo by Daryan Shamkhali on Unsplash

When a new city law banning forced broker fees takes effect this June, landlords and brokers who charge tenants a fee could face fines starting at $750. As first reported by Crain’s, the Department of Consumer and Worker Protection (DCWP) on Monday proposed penalties for violating the Fairness in Apartment Rental Expenses (FARE) Act, which was passed by the City Council last year and shifts the payment of broker fees to the party who hired the real estate agent. The law is set to take effect June 14, unless a lawsuit by a real estate lobbying group blocks implementation.

Under the new law, brokers and landlords could be fined $750 for a first violation, $1,800 for a second, and $2,000 for third and subsequent offenses…

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