Settlement Agreement Vacated

Landlord sued to evict tenant. Landlord claimed that the building had five apartments, so it wasn’t rent stabilized. Landlord and tenant signed a settlement agreement in court in early 2009. Tenant agreed to move out in two years. Landlord waived $14,000 in use and occupancy fees for seven months at $2,000 per month, then agreed to charge tenant $1,600 per month until he moved out. Tenant later asked the court to vacate the settlement agreement. The court refused at first, but later reconsidered and granted tenant’s request. Landlord’s 2003 rent registration stated that tenant’s apartment was exempt. But rent registration records were filed by landlord and didn’t prove the actual legal status of the apartment. And based on prior DHCR registrations for the apartment through 2002, there were questions regarding the apartment’s rent-stabilization status and landlord’s right to maintain the eviction proceeding. So there was good cause to vacate the settlement agreement.

HLH Realty v. Wessel: NYLJ, 1/8/10, p. 27, col. 1 (Civ. Ct. Kings, Gonzales, J)