Mortgages in New York are associated with which statute?

• A. New York Real Property Law
• B. New York General Obligations Law
• C. New York Insurance Law
• D. Civil Practice Law and Rules

Answer: (B)

Mortgages in New York are tied to how contracts are formed and enforced. The General Obligations Law contains the Statute of Frauds provisions that govern the enforceability of written contracts, including mortgages and their notes. Because a mortgage is a written instrument that creates an obligation secured by real property, its validity and enforceability hinge on the writing requirements and related rules found in the General Obligations Law. While real property law deals with the property interests themselves and procedures for actions like foreclosures fall under the Civil Practice Law and Rules, the statute most closely associated with the creation and enforceability of mortgage obligations is the General Obligations Law. Insurance Law isn’t involved in this area.