January 9, 2015

The recovery of attorneys' fees in a landlord-tenant suit.

Practice point:  Under Real Property Law § 234, when a residential lease provides for a landlord's recovery of attorneys' fees resulting from a tenant's failure to perform a lease covenant, a reciprocal covenant is implied requiring the landlord to pay the tenant's attorneys' fees incurred as a result of the tenant's successful defense of an action or summary proceeding commenced by the landlord arising out of the lease.

Student note:  To support the award of fees, the tenant must be the prevailing party, that is, the result must be substantially favorable to the tenant.

Case:  Matter of 251 CPW Hous. LLC v. Pastreich, NY Slip Op 00208 (1st Dept. 2015)

Here is the decision.

Monday's issue: An employer's liability for an employee's bad acts.