Settlement Agreement with Mentally Disabled Tenant Vacated

November 1, 2004

LVT Number: 17676

Landlord sued to evict two apartment occupants after rent-controlled tenant moved out. Landlord and occupants signed a settlement agreement in court. One of the occupants, who was tenant's son, later got an attorney and asked the court to vacate the settlement agreement. The court ruled for occupant. Landlord appealed and lost. Occupant was mentally disabled, and a guardian should have been appointed to represent him in the court case. Occupant had a possible pass-on claim and received no benefit for waiving such claim in the settlement agreement.

Landlord sued to evict two apartment occupants after rent-controlled tenant moved out. Landlord and occupants signed a settlement agreement in court. One of the occupants, who was tenant's son, later got an attorney and asked the court to vacate the settlement agreement. The court ruled for occupant. Landlord appealed and lost. Occupant was mentally disabled, and a guardian should have been appointed to represent him in the court case. Occupant had a possible pass-on claim and received no benefit for waiving such claim in the settlement agreement. Although an attorney represented both occupants in court, the attorney hadn't met or actually been retained by tenant's son. After a hearing, the lower court had properly found that tenant's son didn't fully understand the situation.

Genesis Holding, LLC v. Watson: NYLJ, 10/21/04, p. 28, col. 4 (App. T. 1 Dept.; McCooe, JP, Davis, Gangel-Jacob, JJ)

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