Settlement Agreement Vacated Based on FDCPA Violation

LVT Number: 13282

Landlord sued to evict tenant for nonpayment of rent. Landlord and tenant signed a court-ordered settlement agreement in which a judgment was awarded to landlord, and the eviction warrant was delayed to give tenant a chance to pay back rent. Tenant later asked the court to vacate the agreement because landlord's three-day rent demand notice violated the Federal Debt Collection Practices Act. The court ruled for tenant.

Landlord sued to evict tenant for nonpayment of rent. Landlord and tenant signed a court-ordered settlement agreement in which a judgment was awarded to landlord, and the eviction warrant was delayed to give tenant a chance to pay back rent. Tenant later asked the court to vacate the agreement because landlord's three-day rent demand notice violated the Federal Debt Collection Practices Act. The court ruled for tenant. Although tenant admittedly owed more than $6,000 in back rent since June 1998, the federal law requires 30 days' notice rather than three days' notice when the rent demand is signed by landlord's attorney. The federal law must be applied even though there was an agreement and judgment.

Giaio v. Greco: NYLJ, p. 32, col. 4 (5/5/99) (Civ. Ct. Kings; Callender, J)