Landlord Must Answer Pre-Trial Questioning on Tenant's Improper Deregulation Claim

Landlord sued to evict unregulated tenant, who claimed in response that her apartment was improperly deregulated and that she had been overcharged. The parties stipulated without a court order that landlord would provide certain documents and answers to pretrial questioning. Tenant later asked the court to compel landlord's compliance with discovery demands or preclude it from proceeding. Landlord, in turn, asked the court to dismiss tenant's rent overcharge and improper deregulation defenses.

The court ruled for tenant in part. Tenant made no showing of any willful failure to comply with discovery that would warrant preclusion. But the court directed landlord to provide complete responses to tenant's notice to produce and interrogatories, with specific objections if any were made. The court ruled against landlord, and wouldn't dismiss tenant's claims. Tenant put forth sufficient facts fitting the legal theory of improper deregulation. Tenant claimed that there was no proof of individual apartment improvements (IAIs) that landlord claimed were made. And any claim by tenant of a fraudulent scheme to deregulate was subject to a "totality of the circumstances" standard. 

204th Street Assocs. Inc. v. Medina: Index No. L&T 310318/22, 2025 NY Slip Op 31249(U)(Civ. Ct. NY; 3/25/25; Blinova, J)