New York Laws
Article 46 - Continuing Care Retirement Communities
4621 - Priority Reservation Agreements; Prior to Obtaining a Certificate of Authority.

(i) the applicant has satisfied the requirements of this section and
any applicable regulations; and
(ii) the applicant has demonstrated the capability to conduct a market
analysis of the demand for the proposed continuing care retirement
community and can be expected to meet its obligations in accordance with
this section and in accordance with its priority reservation agreements
with prospective residents.
b. If the commissioner approves an application, the commissioner shall
issue a written authorization to the applicant authorizing the applicant
to enter into cancelable priority reservation agreements and collect
refundable priority reservation fees from prospective residents
concerning the proposed continuing care retirement community.
c. The commissioner's authorization shall remain in effect for a
period not to exceed eighteen months from the date of the commissioner's
authorization the commencement of said period to be specifically stated
in such authorization subject to the following:
(i) the commissioner may rescind the authorization, including any
extension thereof, at any time for just cause, including any material
misstatement of fact or misrepresentation in any of the application
materials or any materials subsequently disseminated;
(ii) the authorization may be extended upon written application to and
approval of the commissioner for the duration of time specified in the
commissioner's written approval;
(iii) unless already expired, the authorization shall be extended
automatically if an application for a certificate of authority is
submitted pursuant to this article, and such authorization shall remain
in effect as long as the application for a certificate of authority
remains active; and
(iv) unless already expired, the authorization shall be extended
automatically if a certificate of authority is obtained by the applicant
pursuant to this article, and such authorization shall remain in effect
as long as the certificate of authority remains in effect.
d. The applicant shall provide written notice to all parties who have
entered into cancelable priority reservation agreements of the
following:
(i) notice of the commissioner's recision of authorization to enter
into cancelable priority reservation agreements;
(ii) notice of the commissioner's extension of authorization to enter
into cancelable priority reservation agreements including the new
expiration date and the reason for such extension; and
(iii) notice upon issuance of a certificate of authority pursuant to
this article that the party to the agreement has the option on a
priority basis to apply the priority reservation fee to an actual
entrance fee or a deposit on an entrance fee.
e. The commissioner shall provide written notice to the escrow agent
of the commissioner's recision of authorization to enter into cancelable
priority reservation agreements, including instructions to release funds
held in escrow to the persons who have paid refundable priority
reservation fees.