A “good guy guaranty” is generally understood to be a limited personal guaranty for a lease obligation – an obligation that applies only to the time the entity tenant remains in occupancy prior to the return of the leased premises to the owner/landlord, at which point the personal obligation/liability ends.
“Good guy” and other guaranties are often the subject of contentious litigation. Six recent in Supreme Court, New York County, examples follow:
ET 46 Main St. LLC v. Lord & Guy, LLC, 2016 NY Slip Op 31473(U) (Sup. Ct. N.Y. Co., Kern, J.) [decided on July 27, 2016] Continue reading
I periodically review and update appellate and trial court cases relating to so-called “Yellowstone” proceedings – where the tenant under a commercial lease brings an action in Supreme Court to toll the time to remedy a default asserted by a landlord in a notice to cure and to enjoin the filing of a summary proceeding for eviction in Civil Court (see posts on July 11, 2011, June 21, 2012 and September 1, 2014). In recent months, our Courts have issued numerous decisions relating to “Yellowstone” proceedings. Continue reading
It was bound to happen: Internet commerce colliding with arguably conflicting statutory restrictions: Two recent actions in Supreme Court and Civil Court, New York County, pitted Airbnb against the Rent Control Law – and the law won.
Brookford, LLC v. Penraat, 2014 NY Slip Op 24399 (Sup. Ct. N.Y. Co.) [decided on December 19, 2014] (Edmead, J.)
The Court summarized the facts:
Defendant Noelle Penraat (“defendant”), resides in four-bedroom, rent-controlled duplex apartment on Central Park West (the “Apartment”). Over the past two years, defendant has had 135 short-term rentals, some as short as for three nights, but none exceeding 21 days, facilitated by the use of the website Airbnb (www.Airbnb.com).
Defendant’s landlord, Brookfield, LLC (“plaintiff” or “Building Owner”), now moves by order to show cause for a preliminary injunction enjoining defendant from, inter alia, advertising and renting the Apartment to tourists and other visitors for stays of less than 30 days, in violation of [various sections of the] Rent Control Law (“RCL”)… Multiple Dwelling Law (“MDL”) New York Housing Maintenance Code (“HMC” or “Housing Maintenance Code”); New York City Building Code (“Building Code”)…and Building certificate of occupancy (“COO”).