Trial Needed on Whether Tenant Forfeits Security Deposit

May 16, 2014

LVT Number: #25489

Former tenant sued landlord in small claims court to recover his security deposit. The court ruled against tenant and dismissed the case. Tenant appealed, and the case was reopened. Landlord and tenant had signed an early termination agreement, by which tenant was permitted to move out between Sept. 30, 2010, and Oct. 2, 2010. Tenant moved out two days early, on Sept. 28, left the unit in broom-clean condition, and had paid rent through September. The fact that tenant committed a technical breach by moving out early didn't trigger a forfeiture of tenant's security deposit.

Former tenant sued landlord in small claims court to recover his security deposit. The court ruled against tenant and dismissed the case. Tenant appealed, and the case was reopened. Landlord and tenant had signed an early termination agreement, by which tenant was permitted to move out between Sept. 30, 2010, and Oct. 2, 2010. Tenant moved out two days early, on Sept. 28, left the unit in broom-clean condition, and had paid rent through September. The fact that tenant committed a technical breach by moving out early didn't trigger a forfeiture of tenant's security deposit. But a new trial was needed on whether there was damage done to the apartment by tenant and his co-tenant, who wasn't a party to the small claims action.

Wong v. Pan Am Equities, Inc.: 43 Misc.3d 137(A), 2014 NY Slip Op 50699(U) (App. T. 1 Dept.; 4/30/14; Lowe III, PJ, Schoenfeld, Ling-Cohan, JJ)

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