From The Real Property Law Section:

In early November, the Committee on Professional Ethics of the New York State Bar Association issued Opinion No. 817, regarding attorneys’ participation in purchases and sales closings of residential real estate, where the transaction includes a “seller’s concession” and a “grossed up” sale price.  Essentially, the opinion holds that an attorney may not participate in such transactions unless the “gross up” of the purchase price, and the concomitant seller’s concession are disclosed in transaction documents such as HUD-1s and closing statements, so as to avoid deception or misrepresentation.  A full copy of the Ethics Opinion is available online on the New York State Bar Association website.

                                                            --Gilbert M. Hoffman, Chair