Bayswater Health Related Facility v. Karagheuzoff

335 N.E.2d 282, 37 N.Y.2d 408, 373 N.Y.S.2d 49, 1975 N.Y. LEXIS 2041
New York Court of Appeals·Decided July 2, 1975·Published·Cited by 34 cases

Opinions

Fuchsberg, J.

These two article 78 proceedings are very close on their facts and raise the same legal questions. In each the petitioner is an owner of real property in the City of New York who seeks to alter and convert it for use as a domiciliary care facility for adults pursuant to the New York State Hospital Code. Both applied for and were granted building permits from the city for the necessary alterations. After each had expended or undertaken large obligations for the necessary work so authorized, the permits were suspended by the city’s Department of Buildings’ Borough Superintendent, presumably on the basis of the adoption by the city’s Board of Estimate of a so-called "stop-gap” resolution which directed the suspension of all such permits. The "stop-gap” resolution was the one later to be ruled invalid in Matter of Temkin v Karagheuzoif (34 NY2d 324).

In the Bayswater case, Special Term’s judgment directed the reinstatement of the building permit nunc pro tunc and granted petitioner 28 days of construction time in which to vest its rights, that period being arrived at on the basis of the time elapsed between the date of revocation and the date of a later valid (not the "stop-gap”) resolution controlling construction of health-related facilities. The judgment was unanimously affirmed by order of the Appellate Division, Second Judicial Department (45 AD2d 955).

In the Lee case, after Special Term had dismissed the petition on its merits, the Appellate Division, First Judicial Department (45 AD2d 836), unanimously reversed and ordered the entry of judgment reinstating the permit "for a period of time equal to that during which [it] was unlawfully revoked” "in order that they may complete such construction as may be necessary to satisfy the zoning ordinance of New York City as it existed immediately prior” to the enactment of the valid resolution.

The city now appeals from both orders. Lee cross-appeals because the Appellate Division did not order the immediate vesting of its rights. For the reasons which follow, we believe the order óf each Appellate Division should be affirmed. As to the cross appeal, since the Appellate Division granted Lee the [413] full relief sought in his petition, he is not a party aggrieved and may not appeal (CPLR 5511).

The zoning uses for which the permits were granted were for "health related facilities as defined in the New York State Hospital Code, and domiciliary care facilities for adults under the jurisdiction of the New York State Board of Social Welfare each of which have secured certification by the appropriate governmental agency”. (New York City Zoning Resolution, § 22-13, as amd March 8,1973.) Bayswater’s permit was issued on November 7, 1973, Lee’s on November 20, 1973. At the time each was issued, and earlier when it had been applied for, the city knew that certifications by "the appropriate [State] agency” (the State Department of Health in Bayswater; the State Board of Social Welfare in Lee) had not yet been secured. However, in Bayswater’s case, written approval was in fact granted formally by the State on November 29, 1973, the very date the city permit was revoked, and in Lee’s case written State approval was transmitted on March 8, 1974, a date before this proceeding was heard at Special Term. A number of factors give strong support to our view that failure to receive prior certification was a mere irregularity subsequently cured as to each of these permitees.*

Initially it is clear from its legislative history that the reference to certification in the amendment to section 22-13 was not of great moment. It was entirely absent from the City Planning Commission’s report on legislative purpose which accompanied its enactment. The stated purpose was to more precisely distinguish among health care facilities, domiciliary care facilities for adults, and nursing homes, all of which had previously been lumped together as uses permitted "as of right” in residential areas. The incorporation of the language referring to State certification appears to have been purely incidental to draftsmanship.

This also accords with Zoning Resolution 22-13’s practical construction by those charged with its enforcement, both before and after the amendment. And, consistently with the uniform practice of his department, the city’s Superintendent of Buildings in charge of Queens, the borough where the Lee facility was to be located, on August 23, 1973 expressly [414] advised Lee that no other governmental approval was required as a condition precedent to obtaining a valid city permit. Petitioners’ reliance on that official assurance, and on the practice which it accurately described, accorded with the principle that "the use of contemporary and practical interpretation makes for certainty in the law and justifies reliance upon the conduct of public officials”. (2A Sutherland, Statutes and Statutory Construction [Sands 4th ed], § 49.03, p 233; see McKinney’s Cons Laws of NY, Book 1, Statutes, § 128, p 265.)

Indeed, though it is unnecessary for us to reach that question here, the practicalities hardly leave us free from doubt whether it would be correct to construe the State certification phrase as a condition precedent altogether. This is especially so since zoning ordinances, being in derogation of common-law rights, are to be read narrowly and their ambiguities resolved in favor of property owners. (Matter of Glenel Realty Corp. v Worthington, 4 AD2d 702; cf. People v Ryan, 274 NY 149; Matter of H. P. V. T. Corp. v McGuire, 58 Misc 2d 159.)

The State certification was for the use rather than the construction of the facility. Permission for the latter would not necessarily mandate the former. Normally a building permit precedes the start of an alteration; the issuance of a local certificate of occupancy, attesting to its satisfactory completion, would ordinarily come after the work was done. Only then would the health care facility be in condition to meet the requirements for State certification. Also, a builder who applied for an alteration permit did not necessarily have to be the operator of the contemplated domiciliary facility. So it was possible, in fact made sense, for a builder to withhold closing his contemplated purchase of the property and the leasing thereof to a contemplated operator until a permit had issued. That is not hypothetical; it is what Lee actually did without any State problem. The proposed operator, not the owner, would then be the one to file an application with the appropriate agency for the State certification. Under these circumstances, it is not surprising that in actual practice the expected order of things had been to obtain a building permit first and State certification thereafter.

Free access — add to your briefcase to read the full text and ask questions with AI

Bayswater Health Related Facility v. Karagheuzoff, 335 N.E.2d 282, 37 N.Y.2d 408, 373 N.Y.S.2d 49, 1975 N.Y. LEXIS 2041 (N.Y. 1975).

335 N.E.2d 282 (Bayswater Health Related Facility v. Karagheuzoff) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Snyder v. Fish
N.D. New York, 2022
Federal Natl. Mtge. Assn. v. Lautman
2020 NY Slip Op 04921 (Appellate Division of the Supreme Court of New York, 2020)
Jimerson v. State of New York
2018 NY Slip Op 1014 (Appellate Division of the Supreme Court of New York, 2018)
Stuck v. Hickmott
2018 NY Slip Op 1013 (Appellate Division of the Supreme Court of New York, 2018)
Mapfre Ins. Co. of N.Y. v. Manoo
140 A.D.3d 468 (Appellate Division of the Supreme Court of New York, 2016)
Mixon v. TBV, Inc.
76 A.D.2d 144 (Appellate Division of the Supreme Court of New York, 2010)
Vecce v. Town of Babylon
32 A.D.3d 1038 (Appellate Division of the Supreme Court of New York, 2006)
In re the Guardianship of Chantel Nicole R.
34 A.D.3d 99 (Appellate Division of the Supreme Court of New York, 2006)
Pekelnaya v. Allyn
25 A.D.3d 111 (Appellate Division of the Supreme Court of New York, 2005)
New York State Crime Victims Board v. T.J.M. Productions, Inc.
265 A.D.2d 38 (Appellate Division of the Supreme Court of New York, 2000)
State v. Philip Morris, Inc.
179 Misc. 2d 435 (New York Supreme Court, 1998)
T.D. v. New York State Office of Mental Health
690 N.E.2d 1259 (New York Court of Appeals, 1997)
Oden v. Chemung County Industrial Development Agency
661 N.E.2d 142 (New York Court of Appeals, 1995)
Town of Orangetown v. Magee
215 A.D.2d 469 (Appellate Division of the Supreme Court of New York, 1995)
Chrysler Realty Corp. v. Orneck
196 A.D.2d 631 (Appellate Division of the Supreme Court of New York, 1993)
Town of Orangetown v. Magee
156 Misc. 2d 881 (New York Supreme Court, 1992)
Cymbidium Development Corp. v. Smith
133 A.D.2d 605 (Appellate Division of the Supreme Court of New York, 1987)
Kel Management Corp. v. Rogers & Wells
102 A.D.2d 702 (Appellate Division of the Supreme Court of New York, 1984)
Twenty First Point Co. v. Town of Guilderland
101 A.D.2d 407 (Appellate Division of the Supreme Court of New York, 1984)
Perrotta v. City of New York
122 Misc. 2d 683 (New York Supreme Court, 1984)