No Room at the Inn – New York Closes the Door on Illegal Hotels

On July 23, 2010, Governor David Patterson signed into law, legislation that amends the New York State Multiple Dwelling Law to define permanent and transient occupancy. The new illegal hotel law forbids most residential apartment units to be rented out for stays less than 30 days. This legislation may be a reaction to City of New York v. 330 Continental LLC, a 2009 Appellate Division – First Department holding, which relied on the fact that the critical terms “transient” and “permanent” are not defined in either the Multiple Dwelling Law or the New York City Zoning Resolution.