Tenant with Overcharge Claim Can Vacate Settlement Agreement

March 19, 2014

LVT Number: #25365

Landlord sued to evict rent-stabilized tenant for nonpayment of rent. Landlord and tenant signed a settlement agreement in court. Tenant later obtained an attorney and asked the court to vacate the agreement and reopen the case. The court ruled for tenant. Landlord appealed and lost. Tenant's attorney had submitted documentary proof indicating that tenant had a meritorious rent overcharge claim. The lower court therefore properly exercised its discretion in vacating the stipulation so that tenant could defend on the merits.

Landlord sued to evict rent-stabilized tenant for nonpayment of rent. Landlord and tenant signed a settlement agreement in court. Tenant later obtained an attorney and asked the court to vacate the agreement and reopen the case. The court ruled for tenant. Landlord appealed and lost. Tenant's attorney had submitted documentary proof indicating that tenant had a meritorious rent overcharge claim. The lower court therefore properly exercised its discretion in vacating the stipulation so that tenant could defend on the merits.

Clermont York Associates LLC v. Zgodny: 42 Misc.3d 143(A), 2014 NY Slip Op 50257(U)

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