Call 855-808-4530 or email GroupSales@alm.com to receive your discount on a new subscription.
A Yellowstone injunction proceeding — named after the Queens, NY, case, First National Stores Inc. v. Yellowstone Shopping Center Inc., 21 N.Y.2d 630 (1968) — is a proceeding in New York court in which a commercial tenant seeks to enjoin the landlord from evicting the tenant for an alleged breach of the lease. This temporary relief preserves the tenant’s ability to cure should the court determine that the tenant is in breach, and thus avoid forfeiting its substantial investment in the leasehold. See Zaid Theatre v. Sona Realty Co., 18 A.D.3d 352, 355 (1st Dep’t 2005); Marathon Outdoor v. Patent Constr. Sys. Div. of Harsco, 306 A.D.2d 254, 255 (2d Dep’t 2003). As with any other injunction, the tenant normally will be required to post an injunction bond if its application is granted. New York Civil Practice Law and Rules § 6312(b)(2). See Barsyl Supermarkets v. Ave. P. Assocs., 86 A.D.3d 545, 546 (2d Dep’t 2011).
By Janice G. Inman
Bankruptcy is a fact of life in the United States. When it happens, the treatment of a lease as either residential or non-residential may be crucial to all parties -- landlords, tenants, subtenants and their counselors.
By Barry M. Klayman and Mark E. Felger
In a recent decision, Bankruptcy Judge Christopher S. Sontchi addressed the question of whether a Chapter 11 debtor, the tenant under a commercial lease, could exercise an option to renew the lease during the bankruptcy proceedings, even though the debtor was in default under the lease and the lease specified that it could not be renewed if defaults existed at the time the option was exercised.
By David B. Saxe and Danielle C. Lesser
Is This The End of the ‘Yellowstone’ Doctrine?
Recently, New York’s Appellate Division, Second Department, acknowledged that commercial landlords may employ a strategy that prevents tenants from exercising Yellowstone rights, which enjoin the landlord from terminating the lease or commencing a summary proceeding.
Slip-and-Fall Victim Cannot Recover from Landlord or Tenant