Landlord Improperly Restrained Tenant's Bank Account

LVT Number: 6713

Landlord sued former tenants (husband and wife) in small claims court for back rent. The court awarded landlord a $1,700 judgment. Landlord then executed the judgment by restraining a custodial bank account the wife held for her children. Tenant asked the court to vacate the restraining notice and asked to be reimbursed for damages based on wrongful execution. The court found that under New York law, a custodial account isn't subject to execution in order to satisfy a judgment against the custodian. Title to the account belongs to the children.

Landlord sued former tenants (husband and wife) in small claims court for back rent. The court awarded landlord a $1,700 judgment. Landlord then executed the judgment by restraining a custodial bank account the wife held for her children. Tenant asked the court to vacate the restraining notice and asked to be reimbursed for damages based on wrongful execution. The court found that under New York law, a custodial account isn't subject to execution in order to satisfy a judgment against the custodian. Title to the account belongs to the children. The restraint and execution were vacated; no damages were awarded to tenant.

[Friedman v. Mayerhoff: NYLJ, p. 26, col. 4 (1/11/93) (Civ. Ct. Kings; Friedman, J)].