Court Appoints 7A Administrator Despite New Landlord's Objection

LVT Number: #31822

Tenants asked the housing court to appoint an Article 7A Administrator for their building, after settling an HP proceeding with prior landlord and HPD. The settlement included prior landlord's consent to the appointment with a provision for some delay to see if landlord corrected violations. Tenants later showed that violations hadn't been corrected, triggering a reason for appointment of the Administrator. The court ruled for tenants and appointed a 7A Administrator, finding that the settlement agreement was enforceable against a new landlord, who now opposed the appointment.

Tenants asked the housing court to appoint an Article 7A Administrator for their building, after settling an HP proceeding with prior landlord and HPD. The settlement included prior landlord's consent to the appointment with a provision for some delay to see if landlord corrected violations. Tenants later showed that violations hadn't been corrected, triggering a reason for appointment of the Administrator. The court ruled for tenants and appointed a 7A Administrator, finding that the settlement agreement was enforceable against a new landlord, who now opposed the appointment. The court found that landlord had actual knowledge of its obligations prior to purchasing the building, including the settlement agreement provision binding any of landlord's successors to the agreement. Landlord also failed to show any disputed fact that would prove a defense to tenants' request and that would require a hearing. The settlement agreement required that, if landlord wanted to raise a defense against appointment of the 7A Administrator, it had to serve a notice to cure claiming access was denied by a tenant. No such notice to cure was attached to landlord's opposition papers. 

Matter of Galicia: 73 Misc.3d 1230(A), 2021 NY Slip Op 51185(U), NYLJ No. 1640029335 (Civ. Ct. Kings; 12/13/21; Stoller, J)