Trial Must Determine If Landlord Can Maintain Eviction Proceeding

Landlord, a cooperative corporation, sued to evict tenant shareholder after terminating tenant's proprietary lease based on nonpayment of maintenance. Landlord also was a housing development fund corporation incorporated under the Public Housing Finance Law of New York. Landlord claimed that it was entitled to evict tenant under the business judgment rule and that no trial was needed. The court ruled against landlord. Tenant argued that landlord had sold and resold the building without the knowledge or consent of the DHCR. Tenant also claimed that landlord's status as an HDFC was questionable. Tenant said that landlord's board of directors was organized illegally and that the current board members should be disqualified. Landlord didn't present enough proof to avoid questions of fact. The issues raised in the case required a trial.

Imani Housing HDFC v. Wilson: NYLJ, 6/27/07, p. 18, col. 1 (Civ. Ct. Kings; Fiorella, J)