Broome v. Biondi
| Decision Date | 04 November 1997 |
| Docket Number | No. 96 Civ. 2262(RLC).,No. 96 Civ. 0805(RLC).,96 Civ. 0805(RLC).,96 Civ. 2262(RLC). |
| Citation | 17 F.Supp.2d 211 |
| Parties | Gregory and Shannon BROOME, Plaintiffs-Counterclaim Defendants, v. Nicholas BIONDI, Richard Appleby, Katherine Cundey, Michael Silverman, Michael Weiner, and Beekman Hill House Apt. Corporation, Defendants-Counterclaim Plaintiffs. Nicholas BIONDI, Richard Appleby, Katherine Cundey, Michael Silverman, Lawrence Weiner, and Beekman Hill House Apt. Corporation, Third-Party Plaintiffs, v. Simone DEMOU, Third-Party Defendant. Nicholas BIONDI, Plaintiff, v. Simone DEMOU, Defendant. |
| Court | U.S. District Court — Southern District of New York |
Skadden, Arps, Slate, Meagher & Flom LLP, New York City (Scott D. Musoff, Joseph N. Sacca, Mark W. Smith, of counsel), for Plaintiffs.
Epstein, Becker & Green, P.C., New York City (Ronald M. Green, Patricia A. Murphy, Claudia M. Cohen, of counsel), for Defendants.
Latham & Watkins, New York City (Michael K. Hertz, John T. Brennan, Eric A. Richardson, of counsel), for Third-Party Defendant in No. 96 Civ. 0805, Defendant in No. 96 Civ. 2262.
Following a verdict in favor of plaintiffs Gregory and Shannon Broome ("the Broomes") and third-party defendant Simone Demou ("Demou") on various federal, state, and common law claims, the defendants/third-party plaintiffs ("the Beekman defendants") move for judgment as a matter of law, pursuant to Rule 50, F.R. Civ. P.; new trial, pursuant to Rule 59, F.R. Civ. P.; or, in the alternative, remittitur.
This case arose from the Beekman defendants' rejection of the Broomes' application to sublet apartment 7A at the Beekman Hill House, a cooperative apartment building located at 425 East 51st Street in New York City. On February 2, 1996, the Broomes commenced this action against the Beekman defendants, including the Beekman Hill House Apartment Corporation and every member of the Beekman Board of Directors in their individual and official capacities.1 The Broomes filed claims for racial discrimination and civil rights violations under the Federal Fair Housing Act, 42 U.S.C. § 3601 et seq.; 42 U.S.C. § 1981; 42 U.S.C. § 1982, the New York Human Rights Law, N.Y. Exec. L. § 296(5), and for intentional infliction of emotional distress under common law. The Beekman defendants counterclaimed against the Broomes for defamation.
Demou was a shareholder of the Beekman Hill House Apartment Corporation and the lessee of apartment 7A at the time when the Broomes' application was considered. Demou became involved in this litigation on January 30, 1996, when Nicholas Biondi, president of the Beekman Board of Directors, sued her in New York State Supreme Court for defamation, and on March 26, 1996, when the Beekman defendants brought a third-party action against Demou in this court alleging injurious falsehood based on statements made by Demou to the Broomes. Demou removed Nicholas Biondi's defamation claim to the court on March 29, 1996, and counterclaimed against the Beekman defendants claiming that their rejection of the Broomes' application, issuance of a Notice of Default, and filing of two lawsuits constituted retaliation against her for supporting the Broomes' application. Demou filed her retaliation counterclaims under the Federal Fair Housing Act, 42 U.S.C. § 3617; the New York Human Rights Law, N.Y. Exec. Law §§ 296(5), (7); and the New York City Administrative Code §§ 8-107(5), (7). Demou also asserted counterclaims for breach of fiduciary duty, breach of contract, and tortious interference with the performance of a contract.
On April 23, 1997, the case went to trial before a jury. At the close of evidence at trial, the court dismissed the claims for defamation, injurious falsehood, retaliation under the New York City Administrative Code, and breach of contract against the individual Beekman defendants. (Tr. at 995-1000, 1021)2. On May 6, 1997, after a seven-day jury trial and one day of deliberations, the jury returned a verdict. The jury awarded the Broomes $230,000 in compensatory damages and $410,000 in punitive damages on their discrimination claims under the Federal Fair Housing Act, 42 U.S.C. §§ 1981 and 1982, and the New York Human Rights Law § 296(5).3 The Beekman defendants were found not liable on the Broomes' state law claim for intentional infliction of emotional distress. Demou was awarded $100,000 in compensatory damages and $47,000 in punitive damages on her Federal Fair Housing Act and New York Human Rights Law retaliation claims; $5,000 in compensatory damages on her breach of contract claim, $1,000 in compensatory damages and $5,000 in punitive damages on her breach of fiduciary claim; and $1,000 in compensatory damages and $5,000 in punitive damages on her claim for tortious interference with the performance of a contract.4
The Beekman defendants move for judgment as a matter of law, pursuant to Rule 50, F.R. Civ. P., with respect to the Broomes' discrimination claims and all of Demou's claims that were presented to the jury. A motion for judgment as a matter of law, pursuant to Rule 50(b), F.R. Civ. P., may be granted when "`(1) there is such a complete absence of evidence supporting the verdict that the jury's findings could only have been the result of sheer surmise and conjecture, or (2) there is such an overwhelming amount of evidence in favor of the movant that reasonable and fair minded men could not arrive at a verdict against him.'" Haskell v. Kaman Corp., 743 F.2d 113, 120 (2d Cir.1984) (quoting Mattivi v. South African Marine Corp., 618 F.2d 163, 168 (2d Cir.1980)); Nembhard v. Memorial Sloan-Kettering Cancer Ctr., 918 F.Supp. 784, 788 (S.D.N.Y.) (Chin, J.), aff'd, 104 F.3d 353, 1996 WL 680756 (2d Cir.1996). In considering the Rule 50(b) motion, "[t]he district court is required to consider the evidence in the light most favorable to the party against whom the motion was made and to give that party the benefit of all reasonable inferences that the jury might have drawn in his favor from the evidence." Maguire Co., Inc. v. Herbert Constr. Co., 945 F.Supp. 72, 74 (S.D.N.Y.1996) (Carter, J.). "`[T]he trial court cannot assess the weight of conflicting evidence, pass on the credibility of the witnesses, or substitute its judgment for that of the jury.'" Katara v. D.E. Jones Commodities, Inc., 835 F.2d 966, 970 (2d Cir.1987) (quoting Mattivi, 618 F.2d at 167-68).
The Broomes asserted discrimination claims against the Beekman defendants under the Federal Fair Housing Act, 42 U.S.C. § 3601 et seq.; 42 U.S.C. §§ 1981 and 1982; and the New York Human Rights Law, N.Y. Exec. L. § 296(5). Each of these laws required the Broomes to make a prima facie case of housing discrimination. See Cabrera v. Jakabovitz, 24 F.3d 372 (2d Cir.), cert. denied, 513 U.S. 876, 115 S.Ct. 205, 130 L.Ed.2d 135 (1994); Leslie v. BancTec Serv. Corp., 928 F.Supp. 341, 350 (S.D.N.Y.1996) (Batts, J.). In order to establish a prima facie case of housing discrimination, a plaintiff must show that: (1) he is a member of the class protected by the statute, (2) he applied for and was qualified to rent the housing, (3) he was denied the opportunity to rent the housing, and (4) the housing opportunity remained available thereafter. See Cabrera, 24 F.3d at 381.
The Beekman defendants maintain that they are entitled to judgment as a matter of law on the discrimination claims because the Broomes did not show that they were qualified to sublet the apartment in question. Specifically, the Beekman defendants argue that the Broomes failed to prove that they could "live peacefully and harmoniously with other members of the Beekman Hill House `community.'" (Defs.' Mem. of Law at 12-13). In this circuit, however, the Broomes need not make this showing to establish that they are qualified subtenants. The courts have found a plaintiff to be "qualified" for housing if he is financially able to rent or buy such housing. See, e.g. Robinson v. 12 Lofts Realty, Inc., 610 F.2d 1032, 1038 (2d Cir.1979) (); Jiminez v. Southridge Co-op., Sec. I, Inc., 626 F.Supp. 732, 734-35 (E.D.N.Y. 1985) (); see also Crawford v. Metropolitan Impex, Inc., No. 84 Civ. 3495, 1985 WL 3043, at *4, n. 1 (S.D.N.Y. Oct.7, 1985) (Conner, J.), aff'd, 800 F.2d 1127 (2d Cir.), cert. denied, 476 U.S. 1174, 106 S.Ct. 2901, 90 L.Ed.2d 987 (1986). The record contains evidence from which the jury could rationally conclude that the Broomes were qualified to sublease apartment 7A. At trial, the Beekman defendants stated that the Broomes "[e]ach earn[ed] a great deal of money" and conceded that "as far as financially, they would make excellent tenants." (Tr. at 438, 1068). Therefore, the court finds that the jury's verdict must be sustained on this issue.
The Beekman defendants also assert that the Broomes did not prove their discrimination claims because they did not show proof of circumstances giving rise to an inference of discrimination as part of their prima facie case. (Defs.' Mem. of Law at 13). In this circuit, a housing discrimination plaintiff raises an inference of discrimination when he establishes a prima facie case. See United States v. Town Hall Terrace Assoc., No. 95-CV-0533E(H), 1997 WL 128353, at *3 (W.D.N.Y. Mar.14, 1997). The proof shows that the Broomes are members of a protected class, they were qualified to sublease apartment 7A, their sublease application was denied, and the apartment remained available thereafter. (Tr. at 438, 790-91, 1068). Nothing more need be shown to establish a prima facie case. See ...
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