Appellate Term, First Department: February 27, 2024

Decision and Orders & Orders on motions filed on:February 23, 2024

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Decision & Orders signed on: February 23, 2024 By: Hagler, P.J., Brigantti, Perez, JJ.

23-074. WEST SIDE MARQUIS LLC, pet-land-app v. RONALD MORET, JR., res-tent-res — Order (Daniele Chinea, J.), dated May 15, 2023, reversed, with $10 costs, tenant’s motion for summary judgment denied, petition reinstated, and the matter remanded to Civil Court for further proceedings. In 2006, as the subject building exited the Mitchell Lama program, DHCR issued an order incorporating a settlement agreement made under DHCR supervision (WSM Agreement), setting the legal regulated rent for the apartments at the premises and approving a lower (preferential) annual collectible rent (ACR) for certain tenants and their qualifying denominated successors. All other successors would pay the legal regulated rent. Respondent-tenant’s father, the then-tenant of apartment 16A, was a party to and signed the WSM, but did not designate respondent as a successor. Respondent’s father died on May 26, 2017. Respondent then requested a lease in his own name, as successor tenant, that would entitle him to pay the preferential ACR paid by his father. Petitioner denied the request. Pursuant to the arbitration provision in the WSM, petitioner then demanded arbitration as to whether respondent was entitled to pay the rent paid by his father, the ACR of approximately $901.45, or the legal regulated rent for the apartment which was $2,604.28. The arbitration panel held that respondent is not entitled to pay the ACR paid by his father and that any renewal lease offered to respondent be set at the legal regulated rent. This award was confirmed in a CPLR article 75 proceeding commenced in Supreme Court, New York County.

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