914 North Colony, LLC v. 99 West, LLC

226 Conn. App. 720
CourtConnecticut Appellate Court
DecidedJuly 16, 2024
DocketAC46943
StatusPublished

This text of 226 Conn. App. 720 (914 North Colony, LLC v. 99 West, LLC) is published on Counsel Stack Legal Research, covering Connecticut Appellate Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
914 North Colony, LLC v. 99 West, LLC, 226 Conn. App. 720 (Colo. Ct. App. 2024).

Opinion

************************************************ The “officially released” date that appears near the beginning of an opinion is the date the opinion will be published in the Connecticut Law Journal or the date it is released as a slip opinion. The operative date for the beginning of all time periods for the filing of postopin- ion motions and petitions for certification is the “offi- cially released” date appearing in the opinion. All opinions are subject to modification and technical correction prior to official publication in the Connecti- cut Law Journal and subsequently in the Connecticut Reports or Connecticut Appellate Reports. In the event of discrepancies between the advance release version of an opinion and the version appearing in the Connecti- cut Law Journal and subsequently in the Connecticut Reports or Connecticut Appellate Reports, the latest version is to be considered authoritative. The syllabus and procedural history accompanying an opinion that appear in the Connecticut Law Jour- nal and subsequently in the Connecticut Reports or Connecticut Appellate Reports are copyrighted by the Secretary of the State, State of Connecticut, and may not be reproduced or distributed without the express written permission of the Commission on Official Legal Publications, Judicial Branch, State of Connecticut. ************************************************ Page 0 CONNECTICUT LAW JOURNAL 0, 0

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914 NORTH COLONY, LLC v. 99 WEST, LLC (AC 46943) Bright, C. J., and Cradle and Seeley, Js.

Syllabus

The plaintiff landlord and the defendant tenant entered into a lease agree- ment that required the defendant to pay base rent on a monthly basis, as well as charges for real estate taxes and water and sewer assessments. After the defendant failed to make its rent payment in April, 2020, the plaintiff served the defendant with a notice to quit for nonpayment of rent, which included a disclaimer stating that any payments tendered after the service of the notice to quit would be accepted as use and occupancy only. One day before the quit date on the notice, the defendant tendered payment for the April and May, 2020, base rent. Shortly there- after and for the next few months, the parties’ representatives had discussions regarding the defendant’s tenancy at the premises. The plain- tiff commenced the present action seeking to recover possession of the premises in October, 2020, when it became apparent that the defendant would not agree to a new lease. During the months when discussions were taking place between the parties’ representatives, as well as after the underlying action was commenced, the plaintiff continued to send invoices to the defendant itemizing charges accruing under the lease, including rent, attorney’s fees, real estate taxes, and late fees, while at times also requesting use and occupancy payments. The defendant made payments in response to each invoice. Following the plaintiff’s case-in- chief at trial, the defendant’s counsel made an oral motion to dismiss on the basis that the court lacked subject matter jurisdiction. The court granted the motion to dismiss, finding that the plaintiff’s conduct after service of the notice to quit had rendered the notice to quit equivocal. On the plaintiff’s appeal to this court, held that the trial court properly found that it lacked subject matter jurisdiction over the summary process action: the plaintiff’s inconsistent characterization of what the lease referred to as base rent, its requests for payment including additional charges that were purportedly due under the terms of the lease, and the delay in initiating the summary process action undermined the effec- tiveness of the use and occupancy disclaimer; moreover, the plaintiff’s actions created reasonable doubt in the mind of a reasonable tenant as to whether the lease, in fact, remained terminated, and the trial court therefore properly concluded that the notice to quit was rendered equivo- cal by the plaintiff’s conduct.

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0 Conn. App. 1 ,0 3 914 North Colony, LLC v. 99 West, LLC

Procedural History

Summary process action, brought to the Superior Court in the judicial district of New Haven, Housing Session, and tried to the court, Spader, J.; thereafter, the court, Spader, J., granted the defendant’s motion to dismiss and rendered judgment thereon, from which the plaintiff appealed to this court. Affirmed. John A. Farnsworth, with whom, on the brief, was Robert L. Rispoli, for the appellant (plaintiff). Jonathan A. Kaplan, with whom was Sean M. McAu- liffe, for the appellee (defendant). Opinion

BRIGHT, C. J. The plaintiff, 914 North Colony, LLC, appeals from the judgment of the trial court dismissing its summary process action against the defendant, 99 West, LLC. On appeal, the plaintiff claims that the court improperly concluded that the plaintiff had reinstated the tenancy by accepting the defendant’s tendered pay- ments after service of the notice to quit, despite the fact that the notice to quit included a use and occupancy disclaimer. We disagree with the plaintiff’s characteriza- tion of the court’s judgment and conclude that the court properly found that the plaintiff’s actions rendered the notice to quit equivocal, thereby depriving the court of subject matter jurisdiction over the summary process action. Accordingly, we affirm the judgment of the trial court. The following undisputed facts are relevant to our analysis.1 On December 1, 2017, the plaintiff purchased a parcel of land located at 914 North Colony Road in Wallingford and consented to the assignment and assumption of a preexisting lease agreement (lease) 1 Prior to trial, the parties submitted a ‘‘joint statement of undisputed material facts’’ for the court’s consideration. Page 2 CONNECTICUT LAW JOURNAL 0, 0

4 ,0 0 Conn. App. 1 914 North Colony, LLC v. 99 West, LLC

with the defendant, which operates a restaurant on the premises.2 The initial term of the lease began on April 19, 1999, and expired on April 18, 2019, but the lease allowed the defendant to exercise a series of four options to extend the lease for additional five year terms, and the defendant had exercised the first of these four options to extend the lease until 2024. Under the lease, the defendant is responsible for payment of the base rent on the nineteenth day of each month and a 5 percent late fee for any late payments. The base rent amount is subject to an increase at the start of each five year term extension of the lease; throughout the events at issue in this appeal, the monthly base rent was $8078.34. The lease also requires the defendant to pay charges for real estate taxes as ‘‘additional rent’’ and water and sewer assessments. Customarily, the defendant pays the base rent on the first of each month and pays the other charges when billed by the plaintiff. On March 10, 2020, Governor Ned Lamont declared a state of emergency because of the COVID-19 pandemic. Following this declaration, Governor Lamont issued Executive Order No. 7D, which prohibited restaurants from serving food or drink for on premises consump- tion. Following this restriction, the defendant started to offer takeout food but still suffered financially. On March 27, 2020, the defendant’s corporate affiliate, 99 Restaurants, LLC, sent a letter to the plaintiff stating that, due to the financial impact of the pandemic and related restrictions, the defendant was excused from performance under the lease and would ‘‘not be paying the rent and other amounts due under the lease for the month of April, 2020.’’ The plaintiff did not reply to this 2 The plaintiff and the defendant are successors in interest to the original parties to the lease, which was executed on or about October 6, 1998.

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Bluebook (online)
226 Conn. App. 720, Counsel Stack Legal Research, https://law.counselstack.com/opinion/914-north-colony-llc-v-99-west-llc-connappct-2024.