Loft Tenants Should Be Joined as Parties to Article 78 Proceeding

LVT Number: #22599

Loft tenants complained to the Loft Board of a rent overcharge. The ALJ ruled for tenants but, on appeal, the Loft Board reduced or dismissed individual overcharge findings. Landlord filed an Article 78 petition to appeal the Loft Board decision. The court dismissed the case. Landlord appealed. The appeals court reopened the appeal and found that tenants of the loft units specifically addressed in the Loft Board’s order should be added as parties to the case because their rights may be directly and unfairly affected by a court decision.

Loft tenants complained to the Loft Board of a rent overcharge. The ALJ ruled for tenants but, on appeal, the Loft Board reduced or dismissed individual overcharge findings. Landlord filed an Article 78 petition to appeal the Loft Board decision. The court dismissed the case. Landlord appealed. The appeals court reopened the appeal and found that tenants of the loft units specifically addressed in the Loft Board’s order should be added as parties to the case because their rights may be directly and unfairly affected by a court decision.

37 West Realty Company v. New York City Loft Board: NYLJ, 4/5/10, p. 28, col. 5 (App. Div. 1 Dept.; Gonzalez, PJ, Tom, Friedman, McGuire, Abdus-Salaam, JJ)