Rent Due Discharged in Bankruptcy

LVT Number: 12351

Landlord sued to evict tenant for nonpayment of rent. Landlord claimed that tenant owed back rent for two-and-a-half years. Tenant's court-appointed guardian claimed that any back rent had been discharged in a bankruptcy case filed on tenant's behalf. Landlord conceded that, as a result of the bankruptcy case, it couldn't collect the back rent. But landlord argued that it could still get a judgment of possession. The court ruled against landlord. Landlord sent tenant a rent demand before starting the nonpayment case.

Landlord sued to evict tenant for nonpayment of rent. Landlord claimed that tenant owed back rent for two-and-a-half years. Tenant's court-appointed guardian claimed that any back rent had been discharged in a bankruptcy case filed on tenant's behalf. Landlord conceded that, as a result of the bankruptcy case, it couldn't collect the back rent. But landlord argued that it could still get a judgment of possession. The court ruled against landlord. Landlord sent tenant a rent demand before starting the nonpayment case. The rent demand was invalid since the back rent had already been discharged in bankruptcy, and so landlord was no longer legally entitled to collect it. In addition, landlord couldn't start a nonpayment case solely to get a judgment of possession since, by its very nature, a nonpayment case must give tenant the chance to pay. It would be different if the discharge in bankruptcy had occurred after landlord had started the nonpayment case.

Stahl Broadway Co. v. Haskins: NYLJ, p. 27, col. 3 (5/20/98) (Civ. Ct. NY; Friedman, J)