Effective January 1, 2025, NYC implemented the Fair Chance Housing Law

NYC Housing Providers Required to Conduct Bifurcated Screening for Criminal Background Checks on Prospective Tenants

NYC Housing Providers Required to Conduct Bifurcated Screening for Criminal Background Checks on Prospective Tenants

Effective January 1, 2025, NYC implemented the Fair Chance Housing Law, which requires a bifurcated screening process for applicants when the landlord wants to conduct a criminal background check.

Housing providers must follow the legal process for screening tenant applications:

  • First, all pre-lease screening must be done before the criminal background check including, reference checking, credit, etc.
  • Provided the applicant passes the pre-screening checks, the landlord must provide an offer of housing conditioned only on the satisfactory completion of the criminal background check.
  • Once the conditional offer is conveyed, the terms may not be altered based on the criminal background check.
  • Before the background check can be done, the landlord must provide the NYC Fair Chance Housing Notice to the prospective tenant. In addition, what is considered “reviewable criminal history” is limited.

Withdrawing Rental and Sales Offers

If a landlord wants to withdraw its offer after conducting a criminal background check, they must follow what the law calls the “Fair Chance Housing Process.” The landlord must provide the applicant with all information the landlord reviewed in the background check and provide written reasons as to why the lease was revoked and relate it to a legitimate business interest.

More information on the NYC Fair Chance Housing Notice: Criminal Records can be found here. https://www.nyc.gov/site/cchr/media/fair-housing-campaign.page

Source: JDSupra, written by Tarter Krinsky & Drogin LLP

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