Lease Silence on Subletting Prevents Landlord from Collecting Rent on Tenant's Sublet

LVT Number: #33167

Tenant sued landlord in 2018, claiming that he was rent stabilized, that landlord falsely represented to him that his apartment was deregulated, that he had been overcharged, and that landlord engaged in an unlawful scheme to hide the apartment's rent-stabilized status. In 2024, landlord asked the court for permission to amend its answer, to add a defense that tenant's claim for damages should be barred or offset and reduced to the extent that tenant profited by subletting the apartment.

Tenant sued landlord in 2018, claiming that he was rent stabilized, that landlord falsely represented to him that his apartment was deregulated, that he had been overcharged, and that landlord engaged in an unlawful scheme to hide the apartment's rent-stabilized status. In 2024, landlord asked the court for permission to amend its answer, to add a defense that tenant's claim for damages should be barred or offset and reduced to the extent that tenant profited by subletting the apartment. The court ruled against landlord, finding that nothing in the lease governed the amount of sub-rent tenant may be charged or landlord's entitlement to any part of the sub-rent. 

Badesch v. Fort 710 Associates, LP: Index No. 160639/2018, NYLJ No. 1709206141 (Sup. Ct. NY; 2/27/24; Schumacher, J)