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Adam Leitman Bailey, P.C. Spring 2020 Newsletter

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Adam Leitman Bailey, P.C. Spring 2020 Newsletter

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Adam Leitman Bailey, P.C. Spring 2020 Newsletter

  1. 1. NEW YORK REAL ESTATE ATTORNEYS (212) 825-0365 ADAM LEITMAN BAILEY, P.C. WWW.ALBLAWFIRM.COM The passage of the Housing Stability and Tenant Protection Act of 2019 (HSTPA) on June 14, 2019, fundamentally altered the landscape of landlord-tenant proceedings by enacting “sweeping changes to the rent laws and adding greater protections for tenants throughout the State.” Dugan v. London Terrace Gardens, L.P., 177 A.D.3d 1, 8 (1st Dept. 2019). While the economic impact of the HSTPA on New York City real estate remains hotly debated, it cannot be disputed that the practical effect and legislative intent of the new law prolongs the eviction process. One aspect of housing law that has not changed, however, is that tenants in nonpay- ment proceedings are required to show “good cause” pursuant to RPAPL §749(3) to stay the execution of a warrant of eviction. But the legislature also amended RPAPL §753(1), and in doing so, may have afforded an additional remedy to the tenant in a nonpayment proceed- ing based upon a showing of, among other things, “extreme hardship.” This article reviews the “good cause” standard under RPAPL §749(3) and examines the possible role in nonpayment proceedings of the newly minted RPAPL §753, as we enter the coming era of landlord-tenant litigation. THE TRADITIONAL ‘GOOD CAUSE’ STANDARD IN NONPAYMENT PROCEEDINGS. The vast majority of summary proceedings commenced in the Housing Part are for nonpay- ment of rent commenced pursuant to RPAPL §711(2). Although every case is different and stands on its own facts, as one appellate court has noted, the “garden variety” nonpayment proceeding is often resolved by a stipulation of settlement involving a payment plan where- by the landlord is granted a final judgment of possession for the amount of the arrears to NYC NONPAYMENT PROCEEDINGS POST-HSTPA: FROM 'GOOD CAUSE' TO 'EXTREME HARDSHIP' Read more online at alblawfirm.com/nonpayment- proceedings-post-hstpa/ INTRODUCTION In the United States of America, the number of natural disasters has gradually increased. Most of the costliest disasters have resulted from hurricanes and terrorist attacks. Other major casualties have resulted from earth- quakes, monsoons, tsunamis, and wildfires. The damage to business and property from these events substantially affects the lives and livelihoods of millions of Americans who look to their attorneys to protect them from the collat- eral effects of these disasters that occur on an irreparable scale. Inherent within the operation and management of a business and building comes the risk of unexpected and unprevent- able outside elements. Nevertheless, informed businesses and building owners can save their businesses or properties from the financial and physical ruin attendant on any catastrophic disaster and also be better prepared to protect themselves in lease negotiations, as well as understand the scope of available insurance liability coverages and equally important but less-known insurance strategies. IT TAKES MORE THAN AN INFORMED BUILDING OWNER TO SAVE THE NATION ON A LARGER SCALE Not discussed extensively in this article are some observations that need to be given seri- ous consideration by policy makers. First, the worst disasters occur where the existing struc- tures are not built with the ability to withstand a major storm or other disaster. This is why some towns and cities can recover faster than others. The manner and way the real estate is built, combined with the sewage systems, roads, and overall urban structure and planning, sepa- rate the impact of the damage. One concrete PREPARING PRACTITIONERS FOR THE NEXT DISASTERS example stems from information collected after Hurricane Irma in Florida. Almost 80 percent of the homes subjected to and able to sustain Irma’s highest winds were built after the adop- tion of Florida’s new building code (which was put in place after Floridians had experienced Hurricane Andrew’s wrath).[1] On the other hand, take, for example, Ocracoke, an Outer Banks island village located twenty-six miles off of the mainland coast of North Carolina. This island, which averages out at five feet above sea level, was overwhelmed by the wrath and feroc- ity of Hurricane Dorian’s previously unheard of seven-foot storm surge.[2] The omnipresent lack of protective infrastructure and flood-pre- ventative measures throughout the sun-kissed, beautiful community of Ocracoke... Read more online at alblawfirm. com/ preparing- practitioners/ date and a warrant of eviction; however, the execution of the warrant is stayed based upon tenant’s compliance with the payment plan. Dkegg Holdings v. Dalnoky, 18 Misc.3d 141(A) (App Term, 1st Dept. 2008); see, e.g., Hotel Cameron v. Purcell, 35 A.D.3d 153 (1st Dept. 2006); Chelsea 19 Assoc. v. James, 67 A.D.3d 601 (1st Dept. 2009); see also 1029 Sixth v. Riniv, 9 A.D.3d 142, 150 (2004), appeals dismissed 4 N.Y.3d 795 (2005). In many instances, the tenant subsequent- ly returns to court by way of an Order to Show Cause (OSC) seeking to stay execution of the warrant. Prior to the passage of the HSTPA, the only basis for such relief was... REAL ESTATE LITIGATION SPRING 2020 NEWSLETTER LANDLORD - TENANT REPRESENTATION Hon. John Zhuo Wang & Massimo F. D' Angelo Adam Leitman Bailey, Dov Treiman & John Desiderio
  2. 2. 2 SPRING 2020 (212) 825-0365 ADAM LEITMAN BAILEY, P.C. ALBPC PROTECTS LOAN SERVICER FROM RICO CONSPIRACY & FRAUD Borrowers in foreclosure can be highly creative in bringing claims they think will help protect their homes. In one recent case, after foreclosure counsel had obtained a fore- closure judgment against a borrower in state Supreme Court, the borrower filed a federal action against the current loan servicer, the original lender, and several other parties hoping to disrupt the foreclosure sale. Adam Leitman Bailey, P.C. was brought in to defend the loan servicer in the federal case. The borrower, sought to void his mort- gage, vacate the foreclosure judgment, and obtain treble damages. He alleged that the loan servicer, in conjunction with many partic- ipants in the sub-prime loan industry, were in a conspiracy to defraud him in violation of Read more online at alblawfirm. com/ synagogue- title- foreclosure/ After a three year diligent search and many disappointments, the board and building committee of a young, vibrant and growing synagogue located in Queens, New York final- ly secured a property that would house their future synagogue building. The synagogue is currently renting space in a temporary loca- tion and due to a steady growth in member- ship a larger space has become a necessary commodity. Both the location and price were exactly what they had been searching for. The property was well-maintained, large, and appro- priately zoned to allow for ground-up renova- tion of their synagogue. The building commit- tee members had purchased the property at a foreclosure auction after synagogue members quickly pooled together funds for the purchase. Unbeknown to the synagogue members, on the morning of the foreclosure sale, the prior owner of the property filed an emergency appli- cation seeking to stop the sale, but the judge denied the motion and allowed the sale to move forward. However, the prior owner was not done filing motions. Subsequent to the foreclosure sale, the prior owner again moved by order to show cause to cancel the sale retroactively. The prior owner claimed he that he had the funds to payoff the mortgage on the date of the sale for which he was in default. The prior owner also collaterally attacked the foreclosure sale, moving by separate motion and order to show cause to vacate default judgment against him and seeking to re-open the case and interpose an answer with counterclaims.... With the passage in June, 2019 of the Housing Stability and Tenant Protection Act of 2019 (HSTPA), owners are desperate- ly seeking ways out of rent regulation in an attempt to recapture the profitability their build- ings had on the eve of HSTPA’s passage. Two such exit strategies are “substantial rehabili- tation,” available only to deteriorated buildings and “demolition,” generally available to rent stabilized buildings regardless of their condi- tion. Since the HSTPA enables municipalities throughout New York State to bring their hous- ing stock under a form a rent stabilization, these questions are not only of renewed importance in New York City and its suburbs, but potentially statewide, under the administration of the New York State Division of Housing and Community Renewal (DHCR). ADMINISTERING RENT REGULATION Governing the demolition process is DHCR’s Operational Bulletin 2009-1. This bulletin deals LANDLORD REPRESENTATION IMPROVING RENTAL BUILDINGS' PROFITABILITY THROUGH DEMOLITION Read more online at alblawfirm.com/ improving-rental-buildings-profitability/ Read more online at alblawfirm. com/case- studies/rico- consipracy/ Adam Leitman Bailey, P.C. is a full service real estate and litigation law firm. For more information about the firm or for a complete copy of any of the decisions and articles mentioned, please contact Adam Leitman Bailey at 212-825-0365 or email him at info@alblawfirm.com. FORECLOSURE LITIGATION the federal Racketeer Influenced and Corrupt Organizations Act (“RICO”) and state fraud law. The borrower based his claim on his discovery of a real estate tax assessment of his home, which was lower than the purchase price. This lead him to allege his loan was illegally inflated by the original lender on the borrower’s purchase of the property in 2008 – claiming it was a “liar’s loan.” Since the borrower’s complaint... with demolition applications for three scenari- os: rent control, rent stabilization, and non-New York City rent stabilization (The Emergency Tenant Protection Act of 1974 “ETPA”). The rules are radically stricter for rent-controlled apart- ments than for New York City rent stabilization and ETPA. In these matters, the courts grant extreme deference to the DHCR (Peckham v. DHCR, 12 NY3d 424 (2009). This includes when the DHCR decides it wants to reconsider matters on its own after a case has gone up for Article 78 review. Porter v. DHCR, 51 AD3d 417, 857 NYS2d 110 (1st Dept. 2008) Under its administration, the DHCR has worked without a specific definition of “demo- lition,” but “an intent to gut the interior of the building, while leaving the walls intact, has been held as sufficient,”... FORECLOSURE LITIGATION ALBPC SUCCESSFULLY DEFENDS SYNAGOGUE'S TITLEAdam Leitman Bailey & Dov Treiman
  3. 3. 3WE GET RESULTSWWW.ALBLAWFIRM.COM NEW YORK REAL ESTATE ATTORNEYS plan, and explaining how many of the condi- tions complained of by Plaintiffs were not, in fact, violations of the offering plan at all. The mediation memorandum also set forth, with supporting case law, how each of Plaintiffs’ additional causes of action were duplicative of their breach of contract claim and otherwise meritless. The mediator was impressed with ALBPC’s aggressive advocacy on behalf of its client. ALB PC’s argument that the Sponsor had satisfied all of its contractual obligations to Plaintiffs and that Plaintiffs had no viable causes... LANDLORD REPRESENTATION Read more online at alblawfirm.com/ relinquished-lease-rights/ In a February 2020 decision, the Appellate Term, First Department, affirmed the housing court’s February 2019 order after trial, which awarded possessory judgment to the landlord in a non-traditional family member succes- sion proceeding concerning a rent stabilized apartment. The Appellate Term Held in a unanimous decision: A FAIR INTERPRETATION OF THE EVIDENCE SUPPORTS THE TRIAL COURT’S FINDING THAT RESPONDENT . . . FAILED TO MEET HER AFFIRMATIVE OBLIGATION TO PROVE “EMOTIONAL AND FINANCIAL COMMIT- MENT, AND INTERDEPENDENCE BETWEEN [HERSELF] AND THE TENANT” SUCH AS WOULD ENTITLE HER TO SUCCEED TO THE SUBJECT RENT STABILIZED APARTMENT. The occupant moved into the apartment with the tenant years ago. There was no dispute that the pair co-resided together for at least the requisite two years. However, the occupant did not share a blood relationship with the tenant and the two were never married. She was decades younger than the tenant, and original- ly moved in as a roommate. She paid a portion of the rent and the utilities, and alleged that the pair shared other expenses. Adam Leitman Bailey, P.C., commenced a holdover proceeding against the occupant. Discovery revealed that the occupant did not share financial accounts with the tenant. Despite the tenant being extremely ill, the occu- pant was not the tenant’s health care proxy. She was also not named in his will and was not the beneficiary on his life insurance policy. Furthermore, the occupant lacked pictures of herself with the tenant. However, the occupant had a notarized affidavit from the tenant in which he asked for her to be added to the lease as a family member... Plaintiffs-unit owners at a Queens County condominium brought an action against the Sponsor, asserting the following causes of action against the Sponsor relating to the allegedly defective construction of Plaintiffs’ unit: (1) breach of contract; (2) breach of warranty; (3) negligence; and (4) fraud. In this case, however, the Sponsor had remediated all of the alleged defects in the subject unit prior to Plaintiffs’ commencement of the action. The case was chosen for the Court’s pilot program for automatic referral to mandatory mediation in the Alternative Dispute Resolution Program of the Court’s Commercial Division. As part of its mediation strategy, ALB PC prepared a detailed mediation memorandum, outlining each and every step the Sponsor had taken to meet its contractual obligations and remediate any alleged construction defects that violat- ed the terms of the Condominium’s offering CONDOMINIUM & COOPERATIVEAPELLATE LITIGATION Read more online at alblawfirm. com/ succession- claim- holdover/ Atrial court had denied plaintiffs’ motion to restore “settled action to the calendar,” to compel a defendant landlord’s adherence to a stipulation of settlement and for an award of continuing damages and legal fees. The Appellate Division affirmed. The plaintiffs were long-term tenants in a building that had been “severely damaged and rendered unsafe by a fire in February 2017.” They had commenced an action seeking, inter alia, “access to their personal property left in the apartment.” The plaintiffs and the landlord had entered into the settlement in 2017, pursu- ant to which the subject lease would be termi- nated, and the landlord agreed that it would not dispose of the plaintiffs’ personal proper- ty until the building had been “deemed safe and plaintiffs were allowed access to remove their belongings.” The settlement provided that a non-breaching party could seek injunc- tive relief and reasonable attorney fees in the event of a breach or a threatened breach of the settlement. The plaintiffs argued that a landlord’s letter “updating them on upcoming repairs and seek- ing their input concerning items that needed to be relocated or discarded in anticipation of the repairs, did not constitute a threatened breach of the settlement agreement.” The Appellate Division (court) rejected the plaintiffs’ argu- ment that such letter constituted a threatened breach of the settlement... The court found that the letter “merely sought a mutual understanding to determine which items in a portion of the unit needing repair were not salvageable due to fire, smoke, water or more damage…..” Comment: Adam Leitman Bailey of Adam Leitman Bailey, P.C., attorney for the landlord, explained that the landlord had “suffered a devastating fire in its building” and former tenants sought to not only recover their prop- erty from the unsafe building, but also sought what the landlord believed were “undeserved buyouts.” He stated that the landlord... ADAM LEITMAN BAILEY PREVAILS FOR LANDLORD AFTER TENANTS RELINQUISHED LEASE RIGHTS ADAM LEITMAN BAILEY, P.C. ACHIEVES FAVORABLE SETTLEMENT OF CONSTRUCTION DEFECTS CLAIMS AGAINST SPONSOR ALBPC WINS APPEAL AFFIRMING TRIAL VICTORY FOR LANDLORD Read more online at alblawfirm. com/ construction- defects- claims/
  4. 4. 4 SPRING 2020 (212) 825-0365 ADAM LEITMAN BAILEY, P.C. Recovery on a secured loan can be a difficult process without adequate knowledge of, and expertise in, all potential claims in law and equity; and restitution for challenged mortgage loans can be particularly problematic without proper representation. Recently, the lender of a mortgage loan on a home in Nassau County encountered precisely these issues when the borrower defaulted on payments and chal- lenged the validity of his signature on the mort- gage papers. After prior counsel was unable to foreclose on the mortgage based on the disputed signature, Adam Leitman Bailey, P.C.’s Colin Kaufman, Eric S. Askanase, and Vladimir Mironenko were engaged to represent the lender in securing its rights through litigation. The owner of the property secured a mort- gage loan from the client’s predecessor-in-in- terest and made payments on the mortgage for a number of years before abruptly ceas- ing all payments and defaulting on the loan. Through predecessor counsel, the client filed a single count complaint seeking foreclosure on the loan. The borrower challenged foreclosure, asserting that the signature on the mortgage “appeared not to be” his own. In light of this challenge to the validity of the mortgage, ALBPC was hired to develop a strategy to secure the lender’s right to foreclose despite the contest- ed signature. ALBPC began aggressive discov- ery and obtained valuable admissions during borrower’s deposition, including his admis- sion under oath that he both secured the loan from lender’s predecessor-in-interest and used proceeds from the loan to both pay off a prior mortgage and lien and to make improvements to the mortgaged property. ALBPC moved for summary judgment based on the mortgage documents and borrower’s admissions, which the court granted. Borrower appealed; and the Appellate Division reversed based on the purported factual dispute... FORECLOSURE LITIGATION When purchasing real property, an attorney will almost always advise a purchaser to buy title insurance. Although it is not legal- ly required, title insurance serves to protect the purchaser from a defect in title post clos- ing. A defect in title arises when someone that was given prior ownership rights seeks to assert those rights against the current owner. The owner’s policy will protect the purchaser against a dispute up to the purchase price of the property. The most common misconception is that there is only one form of title insurance avail- able for purchase. In fact, there are different levels of coverage offered by all title compa- nies. When sitting at a closing table, a purchas- er will be asked by the title company represen- tative if they would like to purchase additional coverage. In most cases, the purchaser’s attor- ney will advise the purchaser it is not needed, the waiver is quickly signed and the transaction moves on. However, it is important to know the additional coverage available to a purchaser. In New York, purchasers have the option to buy a “market value rider,” which is the highest level of title coverage a purchaser can obtain. The market value rider will cover the fair market value of the property instead of the original purchase price. This rider is important if it is believed there will be significant appreciation during the period of ownership. The rider does not increase coverage for a rise in value result- ing from renovations, capital improvements, or remodeling... MORTGAGE FINANCE Read more online at alblawfirm. com/market- value-rider/ Read more online at alblawfirm. com/ equitable- lien/ EXCERPT FROM ARTICLE: STUART: But I remember that period in 2007 we had a cover, I think it was in September 2007, which was when the subprime crisis happened. It was a funny period from a news point of view, because you saw when the stuff hits the fan, lawsuits start to proliferate. People need to read news [even] more. You know, we were writing about the Interstate Land Sales Full Disclosure Act, which was the most inge- nious thing. It was Adam Leitman Bailey, the lawyer, coming up with this obscure federal statute, which required [developers] to disclose something about swampland in Florida, but it was a federal statute. And none of the develop- ers here had added it to their projects’ disclo- sure forms. So he basically figured out a way to get all his condo buyers out of the projects or get price reductions by saying, you didn’t [adhere to] this [1968] law about swampland. AMIR: And I remember that Howard Lorber was just starting to invest with developers through his New Valley subsidiary, and he really didn’t want us to write that story because he thought other people are going to find out about [ILSA] and then pull out of their contracts [to buy new development condominiums]. And we still wrote the story, obviously, and people did pull out of their contracts. And that really damaged our relationship for several years. STUART: Luckily, we didn’t have to make any layoffs during that period [when the recession hit]. AMIR: In fact, we ended up hiring people. The [New York] Sun closed down, and we were able to get a lot of great journalists from there. TRD’S FOUNDERS SHARE WAR STORIES FROM OVER THE YEARS: RECOUNTING THE BIG BREAKS AND CONTROVERSIES THAT SHAPED THE REAL DEAL’S IDENTITY Read more online at alblawfirm.com/ press-mentions/real- deal-founders/ REAL ESTATE LITIGATION ALB FEATURED IN TRD'S 250TH ISSUE: 'WAR STORIES' ALBPC WINS FULL RESTITUTION IN FORECLOSURE ACTION THE MARKET VALUE RIDER MYSTERY - SOLVED!
  5. 5. 5WE GET RESULTSWWW.ALBLAWFIRM.COM NEW YORK REAL ESTATE ATTORNEYS Read more online at alblawfirm. com/costs- associated- with-buying- and-selling/ increases using the same formula discussed above. When purchasing a property located in the five towns of Eastern Long Island known as the Peconic Bay Region which include Southampton, Easthampton, Shelter Island, Southold and Riverhead purchasers will be expected to pay the Peconic Bay Region Community Preservation Fund Transfer Tax. In Southold and Riverhead the tax amount is 2% on the amount over $75,000.00 on the purchase price of unimproved land and 2% on the amount over $150,000.00 on the purchase price of improved land. In Southampton, East Hampton and Shelter Island the tax amount is 2% on the amount over $100,000.00 on the purchase price of unimproved land and 2% on the amount over $250,000.00 on the purchase price of improved land. If obtaining a mortgage, a purchaser is required to pay a mortgage tax based on the mortgage amount (not the purchase price). The mortgage tax rate varies based on the county In America, owning a home is one of the most significant achievements and investments one will make in adulthood. Most home buyers focus their attention on the purchase price and the interest rate on their mortgage, but what many do not consider are the various other costs associated with purchasing a home and the financial obligations connected with closing costs. Lets explore. TAXES There are several different taxes which may be anticipated in connection with the purchase of real property. One type of tax is called the mansion tax. A purchaser is responsible for paying mansion tax for transactions that have a purchase price above one million dollars. The mansion tax rate depends on the purchase price. For example, the mansion tax rate is 1% for a purchase price between $1,000,000.00 to $1,999,999.00 and increases to 1.25% for a purchase price between $2,000,000.00 to $2,999,999.00. The tax rate will increase 0.25% as the price THE COSTS ASSOCIATED WITH BUYING AND SELLING A HOME IN NEW YORK Read more online at alblawfirm.com/ government-meddling/ REAL ESTATE LITIGATION MORTGAGE FINANCE in which the property is located. For example, in New York City the mortgage tax is 1.8% on mortgages under $500,000.00 and 1.925% on mortgage amounts above $500,000.00. The lender pays 0.25% of the mortgage tax while the borrower is responsible for the rest. BANK FEES Every lender has their own required fees asso- ciated with obtaining a mortgage. Nevertheless, every borrower can expect to encounter an upfront nonrefundable appraisal fee which can range anywhere between $250.00 to $750.00 depending on the size and detail of the proper- ty they are purchasing. All other bank fees will usually be collected at the closing... Rent-regulated buildings in NYC aren’t built with seniors’ safety or comfort in mind, despite the fact that countless older adults rely on them for shelter. According to a New York City Rent Regulation Memo, the average age of at least one tenant in a rent-regulated household is over 67 years old. For many, the agility and stamina neces- sary to walk up the long stairs of a typical rent-regulated building fades roughly at this age, necessitating a move to more age-friendly accommodations. Previously, landlords had incentives to share with the current tenants, by way of buyouts, the profits they would realize from renting out apart- ments to new tenants. In many cases, tenants received large sums, enabling them to better their lives or move to more appropriate housing. In just one year in my community of real estate lawyers, landlords paid over $75 million in buyouts with at least five tenants receiving over $15 million each and at least 50 tenants receiving over a million. The tenants receiving smaller, but still highly significant, sums numbered in the thousands. Today, that safety net has disappeared for seniors. The Housing Stability And Tenant Protection Act of 2019 (HSTPA) also strikes against the construction industry both by heavily restricting the turnover of apartments and by eliminating landlords’ profits from upgrading apartments. The number of construction jobs thus abolished and the damage to NYC’s economy from the elimination of a large component of construction supply purchases is uncertain. But one thing if for sure — the damage includes stagnating housing redevelopment, excessively expensive free market housing, loss of thousands of jobs, and lost revenues to the city in tax collection as land values, incomes, and sales all fall. Now that the state legislature has almost completely eliminated deregulation — previ- ously effected by landlords hiring workers and spending money on improvements to apart- ments so as to raise their rents above the regu- lation thresholds — the landlord has neither reason nor incentive to offer any tenant any money needed to move to a more appropriate home... HOW LONG CAN RENTAL MARKETS SURVIVE GOVERNMENT MEDDLING? Rosemary Liuzzo & Carly Clinton Adam Leitman Bailey
  6. 6. 6 SPRING 2020 (212) 825-0365 ADAM LEITMAN BAILEY, P.C. “HIS STRATEGIC THINKING AND AMAZING COMMUNICATION SKILLS INSTILL CONFI- DENCE AND TRUST IN HIS CLIENTS.” “ADAM’S RESPONSE TIME IS FANTASTIC; HE MAKES SURE ALL MATTERS ARE DEALT WITH ACCORDINGLY.” Q: My sister lived in Co-Op City in the Bronx. She passed away in July 2017, and I became voluntary executor of her estate. She kept this apartment spotless, and did not make any changes, except adding a light shine-coat to the living room floor. When the inspector went to check apartment and we did the walk- through, he pointed out a few minor things, and said things were pretty good. After months of waiting and following up and asking about the refund of the deposit due to her, I finally received the check…and they took 50%, claiming repairs and other unexplained fees, such as $4,000 for a new floor. (They said the coating she used could not be taken off, so the complete floor was damaged. That is false, and I can prove it.) Is there a department that regulates what repair fees can be charged, and how much? If these repairs are legitimate, there should be a table with each cost, so everyone moving in knows what it will cost to move out — simple information. At this point, it seems someone simply decided to make some money off the people moving out; that is not right, and seems like simple abuse. A: Says attorney John Desiderio of Adam Leitman Bailey, P.C., a law firm in New York City: “The writer could submit a complaint to the NYC Department of Housing Preservation and Development (HPD), but HPD would not normally take any action with respect to repair expenses of this kind. This would be viewed as a matter dependent upon the terms of the lease between the landlord and the tenant. The writer’s best course of action would be to file a complaint in Small Claims Court.” Private townhouse owners in New York City encounter a number of unique challenges, not the least of which involve delicate negoti- ations with neighbors often separated by a thin party wall. Adam Leitman Bailey, P.C. was recently engaged to help resolve a challenging dispute between our clients, owners of a recent- ly gut-renovated single family townhouse on Manhattan’s Upper West Side, and their neigh- bors, a cooperative apartment whose base- ment abutted the townhouse’s. Our clients, had noticed a disturbing odor emanating from their basement over the course of a number of days this winter. On further inspection, our clients discovered that the area surrounding their basement water tank had been filling with a murky and foul smelling liquid that would reap- pear rapidly despite regu- lar drain- ing. After investigating CONDOMINIUM & COOPERATIVE Read more online at alblawfirm.com/ unexplained-repair-fees/ Recognized for his knowledge of real estate law and for providing the highest quality of advice Adam Leitman Bailey of Adam Leitman Bailey, P.C. was awarded the 2020 Client Choice Award for real estate. Adam Leitman Bailey has always put his clients first, aggressively pursu- ing their cases to bring to its clients the best that any law firm can offer, both in advocating on behalf of the client and in working with the client. Below are a couple of chosen quotes from clients that highlight Mr. Bailey’s advoca- cy and intellect in assisting clients in all real estate matters. “ADAM IS EXTREMELY KNOWLEDGEABLE OF REAL ESTATE LAW AND ALWAYS PROVIDES THE HIGHEST QUALITY OF ADVICE.” AWARD Read more online at alblawfirm.com/2020- client-choice/ REAL ESTATE LITIGATION various sources, our clients determined that the viscous liquid was most likely a sewage leak from the neighboring cooperative apartment building. Despite placing calls to 311 and a visit from the New York City Health Department of Health that confirmed the sewage appeared to be leaking from our client’s neighbor into the townhouse basement, the cooperative building refused to address the issue, fearing a costly remediation that might include replac- ing sewage pipes buried beneath its concrete basement floor. Adam Leitman Bailey, P.C. was hired to aggressively pursue remediation and commence litigation as needed to stop the dangerous sewage leak. Adam Leitman Bailey, P.C. quickly arranged site visits with our engi- neer at both the townhouse and cooperative building, reviewed all relevant DOB records, contacted 311 and the Health Department, and communicated repeatedly with the cooperate... Read more online at alblawfirm. com/ leaking- sewage-line ADAM LEITMAN BAILEY AWARDED 2020 CLIENT CHOICE AWARD UNEXPLAINED REPAIR FEES ADAM LEITMAN BAILEY, P.C. RESOLVES TOWNHOUSE OWNER'S DISPUTE OVER NEIGHBOR'S LEAKING SEWAGE LINE
  7. 7. 7WE GET RESULTSWWW.ALBLAWFIRM.COM NEW YORK REAL ESTATE ATTORNEYS read, ending with the students voting on their favorite home to live in. Each student was then presented with an autographed book person- alized by Mr. Bailey to each individual child, including their name and a greeting. ​As Mr. Bailey, left for his next assigned read- ing class, Enrico called out, “can you come back again?” Bailey held the door and turned his head back and said, “I hope so but I know that, that book and all of the books in this classroom and the library will have adventures in them to keep you excited for many years to come.” of the new rental over- charge laws that allow tenants to review the entire rental history for an apart- ment ad infinitum, which has essentially frozen the purchase and sale of rent-regulated buildings. In closing, the presenters fielded questions from the attendees and provided insight on some of the most important aspects of the HSTPA such as the newly minted RPAPL § 702 on attorney fees and RPAPL § 753 on staying execution on warrants of eviction, as well as the new security deposit laws. New York County Landlord/Tenant Bar Association, with the Honorable Jean T. Schneider, moderating, featured Adam Leitman Bailey, P.C.’s Massimo F. D’Angelo, speaking on the Housing Stability and Tenant Protection Act of 2019. Mr. D’Angelo opened the lecture with a discussion on the history of rent-regulation in the State of New York, which can be traced back to World War I, and explained, in detail, the two forms of rent-regulation: (i) rent-con- trol; and (ii) rent-stabilization. Specifically, Mr. D’Angelo illustrated the intrinsic regulatory scheme over the City’s housing stock imposed under Rent Stabilization Law (“RSL”), along with its oversight by the relevant City agencies, and how rent-regulated apartments were deregulat- ed under the prior laws. Next, the lecture centered around the HSTPA which was signed into law on June 14, 2019, and extended the sunset provisions over affordable housing protections. As Mr. D’Angelo explained, the HSTPA totally abolished both high-rent and high-income and high-rent luxury deregulation, and repealed vacancy increases and longevity bonuses. Beyond this, through the imposition of stringent caps, vast portion of the debates involved the HSTPA’s revamping with his pupils, the students, stampering and clamoring with every word. He understood the students and they understood him. He gave it his all and the students appreciated it. The teacher looked on this whirlwind of a Adam Leitman Bailey, P.C. One Battery Park Plaza Eighteenth Floor New York, New York 10004 Read more online at alblawfirm.com/long- island-cares/ COMMUNITY/HOME Read more online at alblawfirm.com/ landlord-tenant-bar-association/ SPEAKING ENGAGEMENTS COMMUNITY ADAM LEITMAN BAILEY BRINGS FUN TO LOCAL STUDENTS FOR RAAD LONG ISLAND CARES, INC. THANKS ALB FOR HIS SUPPORT Every year Adam Leitman Bailey travels to underserved schools to motivate, donate, read, and gift books. This year for Read Across America Day, Mr. Bailey could not refuse an invite from another school that reminded him of his own childhood. After presenting the school’s principal with a very generous dona- tion check, he was introduced to the first of two first grade classes he would be reading to, or more accurately what I would call entertaining. ​As soon as Mr. Bailey walked through the door he immediately lit up the room—the children sprang to their feet and I knew that Mr. Bailey was hopeful at least one of these students would fall in love with reading today. His book of choice—his own multi-award winning, Home, and he read that book like a sermon in a church Read more online at alblawfirm.com/raad/ MASSIMO D'ANGELO SPEAKS BEFORE ESTEEMED AUDIENCE AT NEW YORK COUNTY LANDLORD/TENANT BAR ASSOCIATION

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