DIVORCING THEMSELVES FROM A JUDGMENT

POOR JUDGMENT HERE?

After securing a money judgment, back in August 2010 from the New York County Civil Court, the parties to the case thereafter entered into a stipulation -- a formal, legal agreement -- which “discontinued” the underlying case.

When the landlord subsequently attempted to enforce the August 2010 judgment, the tenant moved to vacate all liens, executions and restraints associated therewith. And a Civil Court Judge granted that request.

On appeal, the Appellate Term, First Department, reaffirmed that once a case is “discontinued, it is as if the proceeding has never begun. Everything done in the case, including prior orders or judgments, is annulled ….”

Since the August 2010 judgment no longer existed, the court below was found to have appropriately granted the tenant the requested relief. As the AT1 noted, ” Petitioner's remedy, which was clearly anticipated by its reservation of rights in the stipulation, was to commence a plenary action for the disputed arrears.”

And that’s the end of that ….

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DECISION