Effective Oct. 16, 2025, a new provision of New York’s Real Property Law (RPL) prohibits residential landlords from charging tenants a fee for a dishonored rent check in excess of the actual costs or fees incurred by the landlord as a result of the check being dishonored for insufficient funds. 

RPL Section 238-a(2-a) also states that a landlord may not demand a dishonored check fee unless such payment, fee, or charge is provided for in the parties’ lease or rental agreement. The new law also applies to sublessors in connection with subtenant rent payments.