Attorneys Sanctioned for Failure to Conduct Reasonable Inquiry into the Facts of the Case

Landlord sued to evict rent-stabilized tenant with a Section 8 rent subsidy, claiming that she was a licensee/squatter. Tenant was the single mother of a severely autistic adult son and was the last remaining rent-stabilized tenant in the building. Tenant wasn't represented by an attorney and signed a settlement stipulation with landlord's attorney in court by which she agreed to move out within two months. The court refused to approve the stipulation when it allocuted the agreement with the tenant and discovered that the facts were not as represented by landlord's attorneys. The court also held landlord's attorneys responsible for failing to conduct a reasonable inquiry into the facts of the case, communicating ex parte with the court, and making inflammatory comments against the court. The court sanctioned the attorneys, ordering one to pay $1,500 and the other $3,000 to the NY State Lawyers' Fund for Client Protection.

1334 B LLC v. Pritchard: Index No. LT-313720/23, 2024 NY Slip Op 33899(U), NYLJ No. 172902688720 (Civ. Ct. Kings; 10/11/24; Bacdayan, J)