Lower Court Improperly Reduced Rent to $1

Landlord sued to evict rent-stabilized tenant for nonpayment of rent. Landlord and tenant stipulated in court that landlord would make certain repairs. When landlord didn't do so, the court reduced the monthly rent for tenant's nine-room apartment from $1,150 to $1. Landlord appealed. The appeals court ruled for landlord and reopened the case. Tenant didn't ask the court to reduce his rent so drastically, and the court had no authority to do so. Besides, there were factual questions that required a hearing. It was unclear whether landlord didn't make repairs as required by the stipulation and whether tenant provided access to the apartment. If landlord didn't comply with the stipulation, the proper remedy is a trial on tenant's claims of breach of the warranty of habitability.

Graham Court Owners Corp. v. Washington: NYLJ, p. 25, col. 5 (1/12/96) (App. T. 1 Dept.; Parness, JP, McCooe, Freedman, JJ)