West Gate House, Inc. v. 860-870 Realty LLC, 3694N.

• Decision Date: 20 May 2004
• Docket Number: 3694N.
• Citation: 2004 NY Slip Op 04086,776 N.Y.S.2d 482,7 A.D.3d 412
• Parties: WEST GATE HOUSE, INC., ET AL., Respondents, v. 860-870 REALTY LLC, Formerly Known as 860 REALTY CO./870 REALTY CO., Appellant.
• Court: New York Supreme Court — Appellate Division

7 A.D.3d 412

776 N.Y.S.2d 482

2004 NY Slip Op 04086

WEST GATE HOUSE, INC., ET AL., Respondents, v. 860-870 REALTY LLC, Formerly Known as 860 REALTY CO./870 REALTY CO., Appellant.

3694N.

Appellate Division of the Supreme Court of the State of New York, First Department.

May 20, 2004.

Order, Supreme Court, New York County (Carol Edmead, J.), entered on or about September 21, 2003, which, in an action by a residential cooperative against its sponsor's successor seeking to compel the latter to sell unsold shares, denied defendant's motion for a preliminary injunction prohibiting plaintiffs from terminating certain proprietary leases held by defendant, unanimously affirmed, with costs.

As the motion court held, in view of recent authority holding a sponsor liable in contract to a cooperative for not undertaking in good faith to timely sell so many shares in the building as necessary to create a fully viable cooperative (511 W. 232nd Owners Corp. v Jennifer Realty Co., 98 NY2d 144, 152, 154 [2002]), defendant fails to show a likelihood of success on the merits. We note that the cooperative's notice objects only to defendant's re-letting of apartments that are not subject to rent regulation. We have considered defendant's other arguments and find them unavailing.

Concur — Buckley, P.J., Andrias, Saxe, Lerner and Friedman, JJ.