Hoffman v. Ryan

101 Misc. 2d 845, 422 N.Y.S.2d 288, 1979 N.Y. Misc. LEXIS 2775
CourtCivil Court of the City of New York
DecidedOctober 12, 1979
StatusPublished
Cited by5 cases

This text of 101 Misc. 2d 845 (Hoffman v. Ryan) is published on Counsel Stack Legal Research, covering Civil Court of the City of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hoffman v. Ryan, 101 Misc. 2d 845, 422 N.Y.S.2d 288, 1979 N.Y. Misc. LEXIS 2775 (N.Y. Super. Ct. 1979).

Opinion

OPINION OF THE COURT

Myriam J. Altman, J.

When Harold Hoffman, a young attorney, called the number listed in a New York Times apartment ad, he was unaware that he had dialed a brief nightmare in which he would be defrauded of $100 and assaulted. To redress the wrong, he has instituted two small claims actions, one for fraud and breach of contract and the other for assault and battery and negligence. The fraud action is against Albert Ryan, doing business as Total Apartments, Albert Ryan individually, and Nancy Lesser, Ryan’s employee. The assault action is against Albert Ryan, doing business as Total Apartments, and Albert Ryan individually. Total Apartments (Total) is an apartment referral agency, licensed to operate by the New York Department of State.

The events giving rise to both suits occurred on April 27, 1979, when claimant responded to an advertisement in that day’s New York Times for the lease of a three-room (or one-bedroom) apartment in a brownstone building. Mr. Hoffman called the telephone number listed in the newspaper and was asked by the answering party to leave his number, which he did. Defendant Lesser returned the call. She explained to claimant that he would have to pay $100 in order to utilize the referral service. Mr. Hoffman replied that he only wanted to see the advertised apartment but would nevertheless pay the fee. He then asked if the apartment was still available; Ms. Lesser answered that it was.

Following this conversation, claimant went to the offices of [848]*848Total Apartments, where he and Ms. Lesser continued their negotiations. Mr. Hoffman was asked to pay the $100 fee and sign a contract. The claimant insisted upon an additional description of the premises before he paid the fee. Defendant Lesser’s description, based upon her personal observations, was in accordance with the advertisement.

Once the paperwork was completed and Mr. Hoffman had paid his money, he went to look at the apartment. It was a studio and was not located in a brownstone building.

Despite testimony to the contrary, I also find as follows. Claimant returned to Total Apartments after seeing the apartment and explained the discrepancy between the advertisement and the actual premises to Ms. Lesser. She responded that, as an office policy, fees were not refunded. Ms. Lesser also refused claimant’s suggestion that she refund his fee after subtracting an amount appropriate to compensate her for her assistance.

As the conversation between Mr. Hoffman and Ms. Lesser ended, claimant turned to leave and noticed a prospective client speaking with Michael Starrett, another employee of Ryan. Mr. Hoffman told the other client that he had just been "cheated”, whereupon Mr. Starrett threatened to "break [claimant’s] f-— neck.” Mr. Starrett then grabbed claimant, "bounced” him off a wall, and "threw” him out of the office. Mr. Ryan was not present when any of the foregoing events occurred. Mr. Hoffman testified that his back and shoulder hurt for a week following this incident.

Claimant’s first action seeks to recover for breach of contract and fraud. Inasmuch as Total Apartments represented to Mr. Hoffman that for $100 he could see an apartment with specific characteristics and claimant paid the fee, the referral to an apartment which was not as described amounts to breach of contract (see Briefstein v Rotondo Constr. Co., 8 AD2d 349).

Claimant has also made out his claim of fraud. For fraud to exist: "There must be a representation of fact, which is either untrue and known to be untrue or recklessly made, and which is offered to deceive the other party and to induce them to act upon it, causing injury” (Jo Ann Homes at Bellmore v Dworetz, 25 NY2d 112, 119).

Ms. Lesser’s incorrect description of the apartment, supposedly based upon personal knowledge, was consciously made. Furthermore, Ms. Lesser knew that claimant was only inter[849]*849ested in that particular apartment and that, if the apartment was not available or was not as described, he would not have done business with Total Apartments. Mr. Hoffman consequently paid $100 to see an apartment which obviously did not suit his needs.

Apartment referral agencies are regulated by the New York State Department of State, which derives its authority from article 12-C of the Real Property Law. The Secretary of State has promulgated eight regulations (19 NYCRR 190.1 et seq.) pursuant to such authority (see Real Property Law, § 446-i) and I find that, in addition to having breached their contract and having committed fraud, defendants violated six of those eight regulations. Those violations began with the very newspaper advertisement which set in motion the events in question.

Section 190.8 (a) of title 19 of the Official Compilation of Codes, Rules and Regulations of the State of New York requires that "[a]ll advertisements placed by an apartment referral agent * * * indicate that the advertiser is an apartment referral agent or give the name of the apartment referral agent and his telephone number.” The advertisement which claimant answered, however, merely read, "80’s (Park) Quiet Brnstn 3 $379 NR TRANS 744-5732.”

A contract between an apartment referral agent and a client must contain, among other things (19 NYCRR 190.2):

"(c) The list of apartments to which the prospective tenant is being referred, which shall include as to each apartment listed:

"(1) The address of the apartment.

"(2) Number of rooms.

"(3) Monthly rental.

"(4) Utilities included in rental.

"(5) Floor location.

"(6) Availability of elevator service.

"(7) Date the apartment is available for occupancy.”

On the back of the parties’ contract is hand written "show w/ keys, 126 E. 83 Street, Imm Occ, Apt 2B, 1 Bd, $379 w/ui.” This description, in addition to not stating whether elevator service was available, states that the apartment was a one bedroom apartment when in fact it was a studio.

Defendant also violated 19 NYCRR 190.1 which di[850]*850rects, in pertinent part, that the agent shall not collect its fee until the client is advised whether the advertised apartment is available. The three-room, or one-bedroom, apartment in a brownstone building either did. not exist or was not made available to claimant. Therefore, a representation that such premises were available was false. For the same reason, this behavior violates the spirit of 19 NYCRR 190.5, which requires that the service confirm daily with the appropriate landlord that each apartment is still on the market.

A third violation arises from the incorrect description. Section 190.6 of title 19 of the Official Compilation of Codes, Rules and Regulations of the State of New York provides that "[n]o apartment referral agent or employee thereof shall refer a respective tenant to an apartment unless * * * the apartment meets the specifications of said tenant as set forth in the contract or receipt.”

Although he has not done so, Mr. Ryan could not argue that the Total Apartments employees were disobeying his instructions.

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

Related

Lennon v. Philip Morris Companies
189 Misc. 2d 577 (New York Supreme Court, 2001)
Dowling v. Dowling
138 A.D.2d 345 (Appellate Division of the Supreme Court of New York, 1988)
International Fidelity Insurance v. Wilson
443 N.E.2d 1308 (Massachusetts Supreme Judicial Court, 1983)
Galaxy Rental Service, Inc. v. State
108 Misc. 2d 237 (New York Supreme Court, 1981)
Gonsalves v. Roma Furniture Co.
107 Misc. 2d 186 (Civil Court of the City of New York, 1980)

Cite This Page — Counsel Stack

Bluebook (online)
101 Misc. 2d 845, 422 N.Y.S.2d 288, 1979 N.Y. Misc. LEXIS 2775, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hoffman-v-ryan-nycivct-1979.