Unauthorized Sublet Wasn't Illusory Tenancy

January 1, 2011

LVT Number: #23083

Landlord sued to evict rent-stabilized tenant for unauthorized subletting. Subtenant claimed that tenant was illusory and that he was therefore entitled to a lease in his own name. The court ruled against subtenant, who appealed and lost. At trial, landlord proved that subtenant participated with tenant, his former roommate and long-time friend, in a scheme to prevent landlord from finding out that tenant had moved out. After tenant vacated, subtenant continued to pay rent with money orders made out in tenant's name, and tenant continued to sign renewal leases.

Landlord sued to evict rent-stabilized tenant for unauthorized subletting. Subtenant claimed that tenant was illusory and that he was therefore entitled to a lease in his own name. The court ruled against subtenant, who appealed and lost. At trial, landlord proved that subtenant participated with tenant, his former roommate and long-time friend, in a scheme to prevent landlord from finding out that tenant had moved out. After tenant vacated, subtenant continued to pay rent with money orders made out in tenant's name, and tenant continued to sign renewal leases. Also, there was no profiteering since tenant collected no rent from subtenant. At most, tenant may have held on to the lease while hoping that the building might someday convert to cooperative ownership. There was no illusory tenancy.

Square Block Associates v. Fernandez: NYLJ, 12/3/10, p. 26, col. 2 (App. T. 1 Dept.; Shulman, JP, McKeon, Schoenfeld, JJ)

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