Tenant Claims Attorney Wasn't Authorized to Sign Settlement Agreement

October 22, 2018

LVT Number: #28673

Landlord sued to evict tenant for nonpayment of rent. Landlord and tenant signed a settlement agreement in court. Tenant later asked the court to vacate the agreement and judgment of possession in landlord's favor, claiming that his attorney wasn't authorized to sign the settlement agreement. The court ruled against tenant, who appealed and lost. The appeals court found that, even if the attorney lacked the actual authority to do so, he had apparent authority to sign the agreement, which landlord reasonably relied on in court.

Landlord sued to evict tenant for nonpayment of rent. Landlord and tenant signed a settlement agreement in court. Tenant later asked the court to vacate the agreement and judgment of possession in landlord's favor, claiming that his attorney wasn't authorized to sign the settlement agreement. The court ruled against tenant, who appealed and lost. The appeals court found that, even if the attorney lacked the actual authority to do so, he had apparent authority to sign the agreement, which landlord reasonably relied on in court. There also was no apparent fraud, mutual mistake, or any other basis to void the settlement agreement.

Roxborough Apartments Corp. v. Hussein: 61 Misc.3d 127(A), 2018 NY Slip Op 51336(U) (App. T. 1 Dept.; 9/21/18; Shulman, PJ, Cooper, Edmead, JJ)

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