Court Dismisses Illegal Sublet Claim Against Daughter Claiming Pass-On Rights

Landlord sued to evict rent-stabilized tenant's estate and her daughter after tenant died and the daughter advised landlord that she was claiming succession rights. Landlord claimed illegal sublet against the estate administrators and the daughter. Landlord asked the court for permission to conduct pre-trial questioning concerning the two-year period prior to tenant's death. The court ruled for landlord in part, and granted discovery only for one year prior to tenant's death. 

Landlord appealed, and the appeals court dismissed the case. The court pointed out that a succession rights claim isn't a valid defense to an illegal sublet proceeding, which must be decided based solely on the issue of whether there has been an illegal sublet. So, the lower court shouldn't have permitted discovery relating to the daughter's succession rights claim. In addition, when a person other than the tenant is in possession of an apartment, the law will presume the existence of an assignment or sublet and proof of such agreement isn't required. However, that presumption doesn't apply when the person occupying the apartment is a close family member of tenant, and the permissible occupancy of family members doesn't provide a grounds for an illegal sublet claim. To make an illegal sublet claim against tenant's daughter, landlord was required to claim facts tending to show that the occupancy rose to the level of an illegal sublet. Landlord's court papers failed to do so, so the case must be dismissed.

901 Bklyn Realty LLC v. Bklyn Realty, LLC: 65 Misc.3d 158(A), 2019 NY Slip Op 51976(U) (App. T. 2 Dept.; 12/6/19; Aliotta, JP, Pesce, Elliot, JJ)