Twenty First Street Associates, L. L. C. v. Estates at Hallet's Cove Homeowners Ass'n

179 Misc. 2d 972, 686 N.Y.S.2d 696, 1999 N.Y. Misc. LEXIS 69
CourtNew York Supreme Court
DecidedFebruary 23, 1999
StatusPublished

This text of 179 Misc. 2d 972 (Twenty First Street Associates, L. L. C. v. Estates at Hallet's Cove Homeowners Ass'n) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Twenty First Street Associates, L. L. C. v. Estates at Hallet's Cove Homeowners Ass'n, 179 Misc. 2d 972, 686 N.Y.S.2d 696, 1999 N.Y. Misc. LEXIS 69 (N.Y. Super. Ct. 1999).

Opinion

OPINION OF THE COURT

David Goldstein, J.

This is a motion by plaintiff for preliminary injunctive relief, enjoining defendants from interfering with an easement.

Plaintiff is the owner of a commercial building, consisting of seven, one-story retail stores, located on 21st Street, between 33rd Road and 33rd Avenue, in Long Island City, Queens. The building is located within the boundaries of a private cooperative residential development, known as the Estates at Hallet’s Cove, a development sponsored by Briarwood Avenel Associates, JV, in conjunction with the New York City Housing Partnership (Partnership). The development consists of 107 individually owned two-family homes, with common areas, such as roads and recreational facilities, maintained by the [974]*974Estates at Ballet’s Cove Homeowners Association (Homeowners Association or Association). 33rd Road and 33rd Avenue are private demapped streets within the housing development.

In the Homeowners Association offering plan, the Partnership and the sponsor were to grant a future easement of ingress and egress for motor vehicles across a portion of the Association’s roads and common areas. The offering plan provides in part as follows: “Prior to closing title to the first home, the Partnership and Sponsor will grant an easement of ingress and egress for motor vehicles across only so much of the Association’s roads and common areas so as to permit the owners, tenants, licensees and customers of the Commercial Space to be able to access parking spaces immediately adjacent to the Commercial Space and to access the rear and both sides of the Commercial Space for construction and/or maintenance purposes.” (Offering plan, exhibit B to defendants’ supplemental affidavit in opposition.) There is no question that the easement is necessary, since the southern and western sides of the commercial building are only accessible over land owned by the Homeowners Association.

On March 14, 1997, the Homeowners Association, by its president, Vincent Riso, granted an easement to plaintiff, which was recorded on March 26, 1997. The easement provides in part as follows:

“article i

“grant of easement

“The Beneficiaries shall have a non-exclusive easement of ingress and egress for motor vehicles and pedestrian traffic from 21st Street over the private driveways within the Owner’s Property known as 33rd Road and 33rd Avenue as is necessary to access the parking area for the Commercial Space and the Commercial Space. In addition, and for purposes of maintaining, repairing and servicing the Commercial Space, the Beneficiaries shall also have a non-exclusive easement to the land described in Exhibit C attached hereto.” (See, easement and metes and bounds description of easement annexed as exhibit D to defendants’ affidavit in opposition.)

Access to the building, by use of the easement, had been unobstructed. However, in August 1998, the Homeowners As[975]*975sociation erected a gate1 on 33rd Road which, when closed, prohibits motor vehicles and pedestrians from entering the property and accessing the rear of the commercial building from 33rd Road. The Homeowners Association contends that it erected the gate to prevent motorists from using 33rd Road as a shortcut through the development’s private roads to access 14th Street. In addition, the Association sought to prevent the use of the rear of the commercial building for parking as well as for deliveries, since these could easily be made through the front of each commercial establishment. In that connection, the rear of the commercial building does not provide access to the individual businesses and may only be used for utility and meter reading purposes.

This action was commenced against the Association and the members of its Board of Directors for a permanent injunction and for money damages. Plaintiff now moves for preliminary injunctive relief, enjoining defendants2 from interfering with the easement and directing them to remove the gate. On October 15, 1998, this court issued a temporary restraining order, which prevented any interference with the easement and, in particular, directed defendants to provide keys to the gate and to leave the gate open between the hours of 6:00 a.m. and 10:00 p.m. Subsequently, the temporary restraining order was modified to require that either the gate be kept open or each of the commercial tenants be given keys and, as modified, was continued pending disposition of the motion.

In order to obtain a preliminary injunction, the plaintiff has the burden of demonstrating, (1) a likelihood of ultimate success on the merits, (2) irreparable injury if provisional relief is withheld, and (3) a balancing of the equities in its favor. (Aetna Ins. Co. v Capasso, 75 NY2d 860; Grant Co. v Srogi, 52 NY2d 496; Chrysler Corp. v Fedders Corp., 63 AD2d 567.)

In terms of likelihood of success, plaintiff is a beneficiary of the recorded easement. Although the easement is slightly broader in scope than the information about the future easement contained in the offering plan, it has been recognized that the offering plan is merely informational in nature {see, Matter of Whalen v Lefkowitz, 36 NY2d 75, 78; Apfelberg v [976]*976East 56th Plaza, 78 AD2d 606, 607), and the Attorney-General, with whom the plan must be registered, is not a guarantor of representations made therein (see, Matter of Greenthal & Co. v Lefkowitz, 32 NY2d 457, 462). The offering plan mandates a statement of the minimum material facts necessary to afford potential investors and purchasers a basis upon which to exercise their judgment in deciding whether to purchase (see, General Business Law § 352-e [1] [b]; Matter of Whalen v Lefkowitz, supra). Should the Attorney-General fail to investigate and/or take appropriate action, the homeowners may proceed with a plenary action to challenge any fraud, illegality or other impropriety emanating from the offering plan (see, Apfelberg v East 56th Plaza, supra). However, on this record, the easement is not invalid simply because it is slightly broader in scope than the information about it contained in the offering plan. The offering plan creates no independent rights and remedies which may be asserted by the Association, in the absence of a showing of fraud, illegality or other impropriety, and none has been demonstrated to exist here. Nor may the language in the offering plan negate, invalidate or vitiate the easement. No authority for this claim has been cited or relied upon.

The Association also contends that its Board of Directors had no authority to grant the easement to the plaintiff. At the time of the grant, Vincent Riso was president of the Association, as well as plaintiffs president. According to the Association, the declaration of covenants, restrictions, easements, charges, and liens (the document that created and governs the Association) would have required an affirmative vote of two thirds of both the sponsor and nonsponsor homeowners in order to amend the declaration and, therefore, permit the grant. When the easement was granted, however, the Association’s Board of Directors was controlled by the sponsor, pursuant to the terms of the offering plan. The three members of the Board, including Vincent Riso, adopted a resolution on March 10, 1997 which permitted the Association to convey an easement to the plaintiff as the owner of the commercial property. The easement grant followed on March 14, 1997.

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Bluebook (online)
179 Misc. 2d 972, 686 N.Y.S.2d 696, 1999 N.Y. Misc. LEXIS 69, Counsel Stack Legal Research, https://law.counselstack.com/opinion/twenty-first-street-associates-l-l-c-v-estates-at-hallets-cove-nysupct-1999.