Case Type

Overcharge

Housing Type

Rent Stabilized

Court

Appellate Division, First Department

County

New York County (Manhattan)

L&T / Index / Case / Docket / Clerk's Number

160560/22

Slip Opinion Number

2024 NY Slip Op 06149

Petitioner

Jairo Barros et al.

Respondent

Bokonos 243, LLC

Judge

Adams, Suzanne J.

Decision/Order Date

2024-12-10

Posture

Pre-answer Motion by Landlord

Disposition

Motion Granted for Tenant

Winner

Tenant Substantially Won

Synopsis

Tenant alleged fraudulent deregulation of their apartments by landlord’s predecessor through false claims of individual apartment improvements (IAIs) in 2007 and 2008, resulting in unlawful rent increases. The court held that these allegations, if proven, established a fraudulent scheme under precedent. Landlord's argument of no liability due to pre-purchase due diligence was deemed a fact-laden defense unsuitable for resolution at the pleading stage. The motion to dismiss was denied, with costs awarded to the tenant.

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