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New York Real Estate Law ReporterColumns & Departments

Landlord & Tenant Law

By NYRE Staff
September 01, 2020
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Landlord Did Not Waive No-Assignment Provision

VRA Family Limited Partnership v. Salon Management USA, LLC 2020 WL 2164913 AppDiv, Second Dept. (memorandum opinion)

In landlord's action to recover rent, late fees, and damages, tenant and tenant's guarantors appealed from Supreme Court's grant of summary judgment to landlord. The Appellate Division affirmed, holding that landlord had not waived the no-assignment provision in the lease.

The parties entered into a 10-year lease for commercial purposes commencing on March 1, 2006. The lease prohibited assignment without landlord's express written consent, Tenant's principals entered into limited personal guarantees of the lease. In June 2016, landlord brought the instant action alleging that tenant had vacated the premises in 2013 and had demolished improvements to the premises without landlord's consent. Tenant and guarantors alleged that they could not be liable for any breach because tenant had assigned the lease to a third party with landlord's knowledge and consent. Supreme Court granted landlord's summary judgment motion on the issue of liability. Tenant and guarantors appealed.

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