Appellate Division Denies Stay on Rent Guidelines Lawsuit
MONDAY, APRIL 19, 2010

In January, in a major victory for New York City's rent stabilized tenants, New York State Supreme Court Justice Emily Jane Goodman struck down the minimum rent provisions in the 2008 and 2009 rent guideline board orders. When the City appealed, Corporation Counsel claimed that the decision was stayed pending appeal. However, last week the Appellate Division ruled that there was no automatic stay and denied the City's motion for a stay.

What this decision from the Appellate Division means is that the Rent Guidelines Board orders are no longer in effect and tenants who were in their apartments more than six years with rents under $1,000 will see their rents reduced effective immediately. This impacted the poorest tenants in New York City.

The 2008 supplemental adjustment imposed by the RGB has been characterized as a "poor tax" against low-income tenants who have lived in an apartment for more than six years and pay less than $1,000 a month in rent.

The case is handled by Judith Goldiner, Supervising Attorney in the Civil Practice's Law Reform Unit, and Ellen Davidson and Afus Atta-Mensah, staff attorneys in the unit.