Son Claims Pass-On Rights to Mitchell-Lama Apartments

Landlord, a Mitchell-Lama housing project, sued to evict occupants after tenant died. Occupants claimed they were tenant's son and daughter-in-law and had lived with tenant for more than two years before tenant died. Landlord claimed the issue had been settled in landlord's favor at a prior HPD hearing. And tenant's article 78 petition to appeal the HPD decision was denied. Because of this, landlord asked the court to rule in its favor without a trial. The court ruled against landlord on this issue. Under new HPD regulations, no formal hearing had been held before denying occupants pass-on rights. The HPD proceedings didn't give occupants a full and fair opportunity to be heard. Under HPD's rules the decision to deny the request for pass-on rights was made by landlord, which isn't impartial. So the prior ruling didn't bar the court from considering all the facts in a trial.

Chinatown Apartments, Inc. v. Lee: NYLJ, p. 33, col. 3 (12/6/95) (Civ. Ct. NY; Madden, J)