Landlord Can Discontinue Preferential Rent

July 31, 2006

LVT Number: 19030

Landlord sued to evict rent-stabilized tenant for nonpayment of rent. Tenant claimed that landlord's rent demand was incorrect because she had a preferential rent. The court ruled for tenant. Landlord appealed and won. Landlord and tenant didn't have a specific agreement that the preferential rent would continue throughout the tenancy. Landlord and tenant had signed a 1997 settlement agreement in court stating that tenant would have a rent concession for the current lease term and one additional renewal term. Landlord was free to discontinue the preferential rent after that.

Landlord sued to evict rent-stabilized tenant for nonpayment of rent. Tenant claimed that landlord's rent demand was incorrect because she had a preferential rent. The court ruled for tenant. Landlord appealed and won. Landlord and tenant didn't have a specific agreement that the preferential rent would continue throughout the tenancy. Landlord and tenant had signed a 1997 settlement agreement in court stating that tenant would have a rent concession for the current lease term and one additional renewal term. Landlord was free to discontinue the preferential rent after that.

Cromwell Assocs. v. Ortega: NYLJ, 7/24/06, p. 33, col. 3 (App. T. 1 Dept.; McCooe, JP, Gangel-Jacob, JJ)

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