The First Department issued a decision no February 15, 2022, clarifying that reimbursement of engineering and legal fees are appropriate components of consideration ordered by Courts when a building seeks a license to access a neighbor’s building under RPAPL Section 881. Here is the case. The Court ordered that an award of anticipated fees was not correct but that the ones incurred should be awarded. The Court also didn’t like escalating license fees as it saw them as punitive. The Court did modify the order by the lower court regarding the consideration granted and offers clarity for condo and coop boards negotiating license agreements for access with their neighbors in Manhattan. One particular provision the Court changed is not leaving the license open ended but rather limiting it to a period of time. For the condos that were being inconvenienced, it was the unit owners with rooftops or terraces that were being impacted which were awarded the license fees. This was based on a hearing before the lower court. The association as a whole is often impacted generally in addition to specific unit owner impact and thus arguments for a general license fee can be made. It is often helpful to work out an amicable agreement without court intervention but sometimes using the courts is the only way to reach a resolution. Having experienced people handle the negotiations, memorialization in an agreement or battle in court if needed is important.
About Team Colbert Law
With offices in New York and Connecticut, we are ready to handle your legal needs. We have been representing condo, coop and HOA boards, businesses and individual clients for over twenty five years.
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