Decisions of Interest
Access.1 Communications Corp.-NY v. Mitchell C. Shelowitz & Shelowitz & Associates PLLC
Index No. 107939/10
In this Supreme Court case, we obtained a $312,308.74 money judgment on behalf of our client, a commercial prime tenant, who had sublet a commercial space located a 11 Penn Plaza to a subtenant that had vacated fifteen (15) months prior to the expiration the sublease. The money judgment represented all rent and additional rent owed through the expiration date of the sublease, and was rendered four (4) months prior to the actual expiration of the sublease.
After commencement of this Supreme Court proceeding, Defendant Mitchell C. Shelowitz sought to dismiss the proceeding against him individually and Plaintiff-Tenant cross-moved for a summary judgment. After argument on the motions, Justice Saliann Scarpulla granted Defendant Mitchell C. Shelowitz' motion to dismiss the proceeding against him individually, a decision our firm intends to appeal to the Appellate Division: First Department.
Thereafter, Justice Scarpulla granted Plaintiff-Tenant summary judgment against Defendant-Subtenant in the sum of $312,308.74, as all rent and additional rent through the end of the sublease term, on the theory that a commercial lessor is not under a duty to mitigate damages and may recover the full rental amount through the expiration of the lease agreement. Justice Salianna Scarpulla further held that Plaintiff-Tenant was entitled to attorneys' fee against Defendant-Subtenant in both the Housing and Supreme Court proceedings. A hearing is pending before the Supreme Court to determine the amount of attorneys' fees recoverable. A copy of the Decision & Order can be found here.