Arkansas Leasing Co. v. Gabriel

Because I disagree with the majority’s decision to permit the tenant to assert a Martin Act defense, I respectfully dissent.

In 1993, after the subject premises converted to a cooperative apartment, the landlord, Arkansas Leasing Co., commenced an illegal sublet holdover proceeding against the then tenants of record, and George and Shadia Gabriel, their undertenants. On July 23, 1993, the proceeding was settled by stipulation, which provided that the previous tenants would surrender possession and terminate their rent stabilization, and that the Gabriels would be the new tenants with a lease…