New York Court of Appeals
Burrows v. 75-25 153rd St., LLC
March 20, 202544 N.Y.3d 74
Summary
The Court of Appeals held that a tenant need not show reasonable reliance or establish every element of common-law fraud to invoke the fraud exception to the four-year limitations and lookback rules for a rent overcharge claim. A complaint must instead allege sufficient indicia of fraud or a colorable fraudulent scheme to evade rent-stabilization protections, and the Appellate Division was directed to apply that standard on remand. The Court separately affirmed dismissal of one tenant's overcharge claim based on a two-month rent concession because documentary evidence showed the concession was limited to a specified period.