New Landlord Bought Building at Foreclosure

LVT Number: 15567

New landlord sued to evict unregulated tenant after buying a building in a foreclosure sale, even though tenant had a lease through 2006. Landlord claimed that tenant was a party to the prior foreclosure action and had notice that his rights were ended through the foreclosure sale. The court ruled for landlord, and tenant appealed. The appeals court ruled for tenant and sent the case back for a new trial. Tenant claimed that he never received notice of the foreclosure action. The lower court had wrongly set aside this defense.

New landlord sued to evict unregulated tenant after buying a building in a foreclosure sale, even though tenant had a lease through 2006. Landlord claimed that tenant was a party to the prior foreclosure action and had notice that his rights were ended through the foreclosure sale. The court ruled for landlord, and tenant appealed. The appeals court ruled for tenant and sent the case back for a new trial. Tenant claimed that he never received notice of the foreclosure action. The lower court had wrongly set aside this defense. There was a question of fact as to whether tenant was properly notified.

Zuk v. Budka: NYLJ, 1/24/02, p. 19, col. 5 (App. T.1 Dept.; Parness, PJ, Gangel-Jacob, Suarez, JJ)