President & Directors of Manhattan Co. v. Nieberg

164 Misc. 618, 298 N.Y.S. 539, 1936 N.Y. Misc. LEXIS 1684
CourtCity of New York Municipal Court
DecidedOctober 27, 1936
StatusPublished
Cited by3 cases

This text of 164 Misc. 618 (President & Directors of Manhattan Co. v. Nieberg) is published on Counsel Stack Legal Research, covering City of New York Municipal Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
President & Directors of Manhattan Co. v. Nieberg, 164 Misc. 618, 298 N.Y.S. 539, 1936 N.Y. Misc. LEXIS 1684 (N.Y. Super. Ct. 1936).

Opinion

Whalen, J.

This is a summary proceeding in which the President and Directors of the Manhattan Company, as assignee of rents in possession, as landlord, seek to recover possession of a certain apartment from Benjamin Nieberg, as tenant. The defense set up by the tenant is that there is no jurisdiction of the proceeding because the alleged landlord has failed to prove the existence of the conventional relationship of landlord and tenant between the parties.

The facts are as follows: The apartment building was constructed by the B & C Nieberg Realty Company, a corporation controlled by Benjamin Nieberg, apparently in 1928. Title, was taken in the name of Central Manhattan Construction Corporation. Since the organization of the Central Manhattan Construction Corporation, Benjamin Nieberg has been the president and treasurer thereof and his son Charles Nieberg has been the secretary. Benjamin Nieberg owns ninety per cent of the stock and Charles Nieberg owns ten per cent. In 1929 or 1930 Benjamin Nieberg moved into apartment 2-C in the premises in question, No. 85 Fairview avenue, and has lived there with his wife ever since. On January 30, 1932, the Central Manhattan Construction Corporation executed an assignment of rents with the right of possession to the Prudence Company, Inc., holder of a first mortgage on the building, its successors and assigns. On May 14, 1936, the said written assignment was transferred to the Bank of the Manhattan Company, which has taken possession of the premises and has been collecting the rents and operating the property ever since. On or about August 13, 1936, the Bank of the Manhattan Company served upon Benjamin Nieberg a thirty-day notice purporting to terminate his tenancy of apartment 2-C on September 30, 1936. The landlord maintains that under the circumstances above set forth Benjamin Nieberg was a tenant at will of the Central Manhattan Construction Corporation. There is no evidence of any express agreement between the corporation and Benjamin Nieberg as to the terms under which he was to occupy his apartment. No rent has ever been paid and there has been no outward manifestation of any landlord and tenant [620]*620relationship except the fact that the apartment house is owned by the Central Manhattan Construction Corporation and this particular apartment has been occupied since 1929 continuously by Benjamin Nieberg and his wife. Nieberg testified that in addition to residing in the apartment he also uses it as an office for the owner, the Central Manhattan Construction Corporation, and keeps its books there.

The reported cases abound in statements that no summary proceeding to dispossess a tenant under the statute and no action for rent or for use and occupation may be brought by a landlord against a tenant unless it is made to appear that the conventional relationship of landlord and tenant exists. (Benjamin v. Benjamin, 5 N. Y. 383, 385; People ex rel. Mitchell v. Simpson, 28 id. 55; People ex rel. Ainslee v. Howlett, 76 id. 574; Preston v. Hawley, 101 id. 586.)

The word “ conventional ” means by agreement of the parties and not by operation of law. (De Vita v. Pianisani, 127 Misc. 611.) It has been stated that the agreement showing the conventional relationship may be express or implied. (De Vita v. Pianisani, supra; Burkhart v. Tucker, 27 Misc. 724; 2 Thompson, Real Property, §§ 962, 963; McAdam, Landlord and Tenant [5th ed.], p. 97, § 30; 2 Cowen, Treatise on Justices of the Peace [6th ed.], § 1761; Post v. Post, 14 Barb. 253; Sarsfield v. Healy, 50 id. 245.) The question in this case then is whether or not the circumstances are such as to justify an inference that an implied conventional relationship of landlord and tenant arose between the Central Manhattan Construction Corporation and Benjamin Nieberg by reason of his entry into and occupation of this apartment. Of course, no express agreement has been shown. It would not be likely that Bp.njfl.min Nieberg, as president of the corporation, owner, would have any express agreement either in writing or orally with Benjamin Nieberg, the individual. It is not easy to distinguish between an implied conventional relationship of landlord and tenant and a relationship of landlord and tenant created by operation of law; in fact in Commonwealth Mortgage Co. v. De Waltoff (135 App. Div. 33, at p. 35) the Appellate Division in the First Department used this language: “ But the purchaser, succeeding to all the title and rights of the original landlord, becomes the landlord by operation of law, with all the rights and remedies of the original landlord. The conventional relation of landlord and tenant is thus created, and a sufficient foundation exists for the institution of summary proceedings for the recovery of possession if the tenant refuses to abide by the covenants of his lease.”

[621]*621The tenant named here cites a number of cases in which it was held that no conventional relationship of landlord and tenant had been shown, but upon careful analysis it will appear that in all those cases there was an element of circumstance antagonistic to the idea of the relationship of landlord and tenant, such as a vendor and vendee relationship (Preston v. Hawley, 101 N. Y. 586; Burkhart v. Tucker, 27 Misc. 724; Babcock v. Dean, 140 id. 800; Norton v. Norton, 212 App. Div. 845), or a situation where there was an agreement to board or a family relationship not giving rise to the implication of a landlord and tenant relationship, such as Schreiber v. Goldsmith (35 Misc. 45); Dodin v. Dodin (32 id. 208); Lamb v. Lamb (146 N. Y. 317); Collyer v. Collyer (113 id. 442), or cases where there was claim of title by the tenant and adverse possession, such as Benjamin v. Benjamin (5 N. Y. 383), or cases where it was claimed that a lease had been given to cover a usurious loan and it was alleged that the ostensible tenant was really the owner, such as People ex rel. Ainslee v. Howlett (76 N. Y. 574), or cases between a transferor and a transferee of a lease, such as Fifth Avenue Shop v. Fox-Stiefel (83 Misc. 127).

On the other hand, the landlord herein cites a case which seems closer in point. (Peer v. O’Leary, 8 Misc. 350.) This was a summary proceeding by a landlord to recover possession of property occupied by a tenant. It appeared that the landlord had allowed the tenant to occupy a portion of his house after the tenant’s house had burned. No agreement was made as to the length of the term or as to the payment of any rent. The Municipal Court dismissed the petition. The General Term of the Superior Court reversed and held that the circumstances spelled out a tenancy at will, citing Post v. Post (14 Barb. 253, 255) and Sarsfield v. Healy (50 Barb. 245). In that case no express agreement whatever was shown, merely a permission to occupy the premises. It is not necessary to show any agreement to pay rent to prove the conventional relationship of landlord and tenant. (Peer v. O’Leary, supra; Burns v. Bryant, 31 N. Y. 453; Larned v. Hudson, 60 id. 102.)

It is settled that an assignee of rents with the right to possession may not dispossess the owner of the premises. (Lawyers Title & Guaranty Co. v. Tausig, 149 Misc.

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Bluebook (online)
164 Misc. 618, 298 N.Y.S. 539, 1936 N.Y. Misc. LEXIS 1684, Counsel Stack Legal Research, https://law.counselstack.com/opinion/president-directors-of-manhattan-co-v-nieberg-nynyccityct-1936.