Landlord Can't Avoid $87,000 Fine for Tenant's Short-Term Rentals

LVT Number: #30715

Landlord sued DOB, seeking removal of fines, penalties, and violations issued by DOB since December 2017 based on illegal short-term apartment rentals. Landlord had been fined a total of $87,000 since that time. Landlord argued that it didn't know that the tenant of two apartments on separate floors engaged in Airbnb rentals of the units. The court ruled against landlord. The fact that tenant, not landlord, may have operated the illegal short-term rentals wasn't a defense to DOB violations issued to landlord.

Landlord sued DOB, seeking removal of fines, penalties, and violations issued by DOB since December 2017 based on illegal short-term apartment rentals. Landlord had been fined a total of $87,000 since that time. Landlord argued that it didn't know that the tenant of two apartments on separate floors engaged in Airbnb rentals of the units. The court ruled against landlord. The fact that tenant, not landlord, may have operated the illegal short-term rentals wasn't a defense to DOB violations issued to landlord. And landlord was required to pay penalties imposed on it by the OATH before appealing, but it submitted no proof of payment or any waiver from OATH. Since landlord didn't perfect an appeal of OATH's decision, it therefore couldn't sue DOB separately in this proceeding.

Richard Breslaw Family LP v. DOB: 2020 NY Slip Op 30440(U), NYLJ No. 1582358090 (Sup. Ct. NY; 2/14/20; Love, J)