Co-op Tenant Runs Daycare Center in Apartment

Landlord sued to evict cooperative shareholder tenant for operating a daycare business out of her apartment. Landlord claimed that this violated tenant's proprietary lease, which permitted residential use only. Tenant asked the court to dismiss the case without a trial. The court ruled for tenant. Using a residential apartment for licensed group family daycare under Social Services Law Section 290(1)(d) was permitted as a matter of public policy despite any restrictions in the governing cooperative documents. The proprietary lease requiring that tenant use the apartment solely for residential purposes therefore was unenforceable, and tenant could continue to operate the family daycare business.

Walden Gardens v. Burns: Index No. 71274/2011, NYLJ No. 1202661511876 (Civ. Ct. Bronx; 6/5/14; Elsner, J)