18.1 Rent-to-own-agreements:
A rent-to-own agreement, also known as a lease-option or lease-purchase agreement, is a contractual agreement where a tenant rents a property with the option, or sometimes the obligation, to purchase it at the end of the rental period. It’s a sort of hybrid between renting and buying, designed to give the tenant a pathway to homeownership. The tenant rents the property for a specific period, usually one to three years. They pay rent to the landlord, just like a regular tenancy. The agreement gives the tenant the option, but sometimes makes it an obligation, to buy the property at a predetermined price at the end of the lease term. This price is often set at the beginning of the agreement and may or may not be based on the future market value of the property. The tenant usually pays an upfront fee, sometimes called an option fee or premium, for the right to purchase the property. This fee may or may not be credited toward the final purchase price. Rent Credit: A portion of each rent payment may be credited toward the eventual purchase price. This is a key feature that makes rent-to-own attractive, as it helps the tenant build equity in the property. However, the percentage credited can vary significantly. Maintenance and Repairs: The agreement should clearly outline who is responsible for maintenance and repairs during the lease term. Typically, the tenant is responsible for day-to-day upkeep, while the landlord handles major repairs. However, this can be negotiated.
18.2 Motion for Injunctive Relief
A motion for injunctive relief is an application to the court for an order, known as an injunction, that either restrains a party from performing certain acts or compels them to perform certain acts. This type of relief is considered a provisional remedy and is typically sought to preserve the status quo during the pendency of an action, preventing immediate and irreparable harm.
There are generally two main types of injunctive relief:
- Preliminary Injunction: This may be granted when it appears that the defendant threatens, is about to do, is doing, or is allowing an act in violation of the plaintiff’s rights that would tend to make the final judgment ineffectual. It can also be granted in actions where the plaintiff has demanded and would be entitled to a judgment restraining such an act, which, if committed or continued during the action, would cause injury to the plaintiff. A preliminary injunction generally requires notice to the defendant.
- Temporary Restraining Order (TRO): A TRO may be granted pending a hearing for a preliminary injunction if it appears that immediate and irreparable injury, loss, or damage will result unless the defendant is restrained before a hearing can be held. A TRO can be granted without notice if the claiming authority (or plaintiff) demonstrates immediate and irreparable injury. However, an affirmation must be provided demonstrating significant prejudice if notice is given for temporary injunctive relief, including a stay or TRO.
Grounds and Requirements for a Motion for Injunctive Relief:
- Cause of Action and Probability of Success: The moving party (plaintiff or claiming authority) must show, by affidavit and other evidence, that there is a cause of action and that they are likely to succeed on the merits, though this is not always a prerequisite for “Yellowstone” injunctions in certain landlord-tenant disputes.
- Violation of Rights/Ineffectual Judgment: The act to be enjoined must be in violation of the movant’s rights and tend to render a resulting judgment ineffectual, or cause injury if continued during the action.
- Irreparable Injury: For a temporary restraining order, and often for preliminary injunctions, there must be a showing that immediate and irreparable injury, loss, or damage will result if the relief is not granted.
- Undertaking (Security): Except in specific cases (e.g., actions under Real Property Law § 265-a), the plaintiff generally must give an undertaking (a bond or deposit) in an amount fixed by the court. This undertaking is conditioned upon the plaintiff paying the defendant all damages and costs sustained if it is later determined that the plaintiff was not entitled to the injunction. In forfeiture actions, a court may condition cancellation of a notice of pendency on the moving party giving an undertaking.
- Motion Papers and Service: A motion for a preliminary injunction typically requires a notice of motion and supporting affidavits and other evidence. For a temporary restraining order, the order itself, the papers upon which it was based, and a notice of hearing for the preliminary injunction are usually personally served in the same manner as a summons, unless the court directs otherwise. An order to show cause can be used in lieu of a notice of motion and may specify the time and manner of service.
Specific Contexts for Injunctive Relief:
◦ “Yellowstone” Injunctions: These are specifically used by tenants (often commercial tenants) to stay a “cure period” and prevent lease termination while the underlying dispute is resolved. To obtain one, a tenant must demonstrate they hold a lease, received a notice of default/cure/termination threat, requested relief before lease termination, and are prepared and able to cure the alleged default. The court has discretion in setting conditions.
◦ Harassment: Tenants may apply to the Supreme Court for an order enjoining acts or practices that constitute harassment by a landlord.
◦ Illegal Use/Nuisance: Injunctions may be sought by the attorney general or city to restrain unlawful conduct or abate nuisances in dwellings.
- Forfeiture Actions: Provisional remedies like injunctions are available in civil actions to recover property constituting proceeds of a crime. A preliminary injunction may be granted if the defendant threatens an act that would render a judgment ineffectual, and a TRO may be granted for immediate and irreparable injury.
- Preventing Waste: Injunctions can be issued in conjunction with preventing waste of real property.
- Recovery of Chattel: A court can grant a temporary restraining order that a chattel not be removed, transferred, or disposed of in an action to recover a chattel.