Co-op Gets Attorney's Fees in Nonpayment Case

LVT Number: #24626

Landlord cooperative corporation sued in 2004 to evict tenant shareholder for nonpayment of maintenance.  The court ruled for landlord in 2006. While the case was pending the co-op also voted to terminate tenant's proprietary lease and cancel his shares. The co-op then brought an ejectment action against tenant, won the case, and sold his apartment for $4.2 million. The co-op held that portion of the proceeds applicable to the housing court judgment along with additional recoverable legal fees and expenses not included in that judgment.

Landlord cooperative corporation sued in 2004 to evict tenant shareholder for nonpayment of maintenance.  The court ruled for landlord in 2006. While the case was pending the co-op also voted to terminate tenant's proprietary lease and cancel his shares. The co-op then brought an ejectment action against tenant, won the case, and sold his apartment for $4.2 million. The co-op held that portion of the proceeds applicable to the housing court judgment along with additional recoverable legal fees and expenses not included in that judgment. Tenant, now living in Suffolk County, sued landlord over those monies. Landlord then asked the housing court for a judgment in the amount of $181,000 plus interest, representing additional attorney's fees incurred up to the time of this request but not yet reduced to a judgment.  The court ruled for landlord. The housing court had already found landlord to be the prevailing party in the nonpayment proceeding. Tenant filed a notice of appeal but never completed the appeal, so it was dismissed. Since tenant didn't challenge the attorney's fees claimed, no hearing was needed to determine whether they were reasonable. And only the housing court was entitled to rule on the question of attorney's fees related to the nonpayment proceeding. 

1050 Tenants Corp. v. Lapidus: Index No. 99547/04, NYLJ No. 1202585000185 (Civ. Ct. NY; 1/23/13; Bluth, J)