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April 2013 Archives

Tenant Entitled to Recover Attorney's Fees in Succession Case

In the case of 354 East 66th Street v. Curry, the son of the deceased rent stabilized tenant proved to the Housing Court that he had the right to succeed to his mother's tenancy. The Housing Court awarded Mr. Curry his attorneys' fees, and the landlord appealed. On appeal, the Appellate Term, First Department, ruled that Mr. Curry was entitled to his attorneys' fees based upon the terms of his mother's original lease dating from 1972. That lease contained a clause stating that the landlord could recover attorneys' fees in the event of a default by the tenant. Under the law (Real Property Law 234), where a lease allows a landlord to recover attorneys' fees, the tenant has an equal right to recover attorneys' fees if the tenant is the prevailing party in a court dispute. The lease also stated that its terms were binding upon successors-in-interest. Therefore, the Appellate Term stated, Mr. Curry was entitled to recover his attorneys' fees. This case is especially significant because there had been some previous court decisions interpreting provisions of old leases, such as the one in this case, in a manner unfavorable to tenants. This case appears to have settled the law, such that old lease provisions like the one in this case will allow for tenants, and their successors, to recover attorneys' fees when they prevail in court.

HDFC Cooperative Barred From Asserting that Tenant is Not Owner Despite Lack of Stock Certificate and Executed Proprietary Lease & Ordered to Issue Shares and Lease

Recently, after a non-jury trial, the Court in Terry v 241 West 111th Street, HDFC, NYLJ April 8, 2013 (Sup, NY Engoron, J, April 1, 2013):