2701 Grand Assn. LLC v Morel

[*1] 2701 Grand Assn. LLC v Morel 2016 NY Slip Op 50163(U) Decided on February 17, 2016 Appellate Term, First Department Published by New York State Law Reporting Bureau pursuant to Judiciary Law § 431. This opinion is uncorrected and will not be published in the printed Official Reports.

Decided on February 17, 2016
SUPREME COURT, APPELLATE TERM, FIRST DEPARTMENT
PRESENT: Lowe, III, P.J., Schoenfeld, Shulman, JJ.
570985/15

2701 Grand Association LLC, Petitioner-Landlord-

against

Evangelista Morel and Jessica Romental, Respondents-Tenants-Appellants.

Tenants, as limited by their briefs, appeal from 1) so much of an order of the Civil Court of the City of New York, Bronx County (Laurie Marin, J.), dated May 4, 2015, as denied the motion of tenant Morel to vacate a stipulation and for leave to interpose an amended answer in a nonpayment summary proceeding, and 2) an order (same court and Judge) dated July 10, 2015, which denied tenant Romental's motion to vacate a default judgment and for leave to file an answer.

Per Curiam.

Orders (Laurie Marin, J.), dated, respectively, May 4, 2015 and July 10, 2015, reversed, with one bill of $10 costs, motions granted, stipulation and default judgment vacated, and matter remanded for further proceedings.

Landlord was awarded a final judgment against tenant Morel pursuant to a stipulation of settlement, whereby Morel, while unrepresented, acknowledged that she owed the rent arrears demanded by landlord in the nonpayment petition. Landlord was also awarded a default final judgment against co-tenant Romental, Morel's daughter, who did not answer because she believed her mother could appear on her behalf.

Tenants, now represented by counsel, have submitted documentary evidence showing the existence of an arguably meritorious rent overcharge claim. This evidence shows thatlandlord increased the rent from $1,008.90 in 2013, when the prior tenant vacated the apartment, to $1,900, when tenants commenced occupancy in July 2014, an 88% increase. Under these circumstances, we exercise our discretion to grant tenant Morel's motion to vacate the stipulation (see Tabak Assoc., LLC v Vargas, 48 Misc 3d 143[A], 2015 NY Slip Op 51314[U] [App Term, 1st Dept 2015]; Berco Realty LLC v Thombiano, 45 Misc 3d 129 [A], 2014 NY Slip Op 51564[U] [App Term, 1st Dept 2014]) and to submit an amended answer, and to grant tenant Romental's motion to vacate the default judgment and submit an answer.

Tenants also demonstrated ample need for limited discovery relating to the apartment improvements that were the basis of the $891 rent increase.

THIS CONSTITUTES THE DECISION AND ORDER OF THE COURT.

I concur I concur I concur
Decision Date: February 17, 2016