Trial Must Determine If Tenant Engaged in Profiteering

Landlord sued to evict rent-stabilized tenant for profiteering by renting space in her apartment for short-term transient occupancy. Landlord asked the court to rule in its favor without a trial. The court ruled against landlord, finding that a trial was needed to determine the facts. Landlord appealed and lost. The record before the court raised mixed questions of law and fact, including whether the nature and frequency of tenant's rental of space in her apartment on a short-term basis to transients constituted commercialization of the apartment and profiteering. Tenant also appealed, claiming that landlord should have sent a notice to cure before starting the eviction proceeding. But since profiteering, if proved, was incurable, the court ruled that no notice to cure was required before landlord started the eviction proceeding. The case was sent back to the housing court for trial.

498 West End Avenue LLC v. Reynolds: Index No. 570861/18, 2018 NY Slip Op 51943(U) (App. T. 1 Dept.; 12/28/18; Ling-Cohan, JP, Gonzalez, Cooper, JJ)