Subtenants Moved in After Deregulation

LVT Number: #23452

Subtenants sued landlord and prime tenant, claiming that they were entitled to a rent-stabilized lease for the apartment. The court ruled against subtenants, who appealed and lost. It was undisputed that, when subtenants moved into the apartment in 2004, the legal monthly rent was more than $2,000. So, when the registered rent-stabilized tenant moved out, subtenants were entitled only to receive a deregulated lease. The subtenants were not the lawful tenants of record and were not subject to rent stabilization.

Subtenants sued landlord and prime tenant, claiming that they were entitled to a rent-stabilized lease for the apartment. The court ruled against subtenants, who appealed and lost. It was undisputed that, when subtenants moved into the apartment in 2004, the legal monthly rent was more than $2,000. So, when the registered rent-stabilized tenant moved out, subtenants were entitled only to receive a deregulated lease. The subtenants were not the lawful tenants of record and were not subject to rent stabilization.

Tennant v. Manhattan Skyline Management Corporation: NYLJ, 6/20/11, p. 20, col. 6 (App. Div. 1 Dept.; Andrias, JP, Friedman, Sweeny, Renwick, Roman, JJ)