Good news on the legal front.  Another two tenants have had their apartments acknowledged as Rent Stabilized.  TheJimg one case I am at liberty to talk about is Jim Georgiou’s, though the other tenant’s case had a similar resolution.

            Everybody knows Jim: he’s that  guy with dark hair and a small mustache who often wears a porkpie hat, and can be seen daily walking his big, friendly black and white dog, Teddy.  Jim, who has lived at the hotel for 6 years, is a specialist in a form of the ancient Chinese healing art that some call Qi-Gong (Jim calls it something else that I can’t pronounce).  Jim has been under the weather lately, suffering from chronic fatigue syndrome, among other ailments, and so fell behind in his rent.  (In the past, on another occasion when he fell behind due to illness, the Bards let him slide for awhile, and he was able to repay the debt in full once he recovered.  In other words, he’s not some slacker; he’s able to make good money in his profession.)

            Although Jim received assurances from hotel management that his case was not yet critical, a few weeks back they sprung a surprise on him, taping a notice to his door telling him he had three days to pay or be evicted.  Luckily, Jim was able to scramble and come up with the money in time.  On Thursday, Teddy August 21, when he went down to housing court, a representative of the hotel’s law firm, Belkin Berdin,     granted him a discontinuance, which means they are dropping the eviction proceedings.  (They could have sent Jim this document earlier, or just told him over the phone, but they made him come all the way down to Centre Street, either hoping that he wouldn’t show, or else just to inconvenience him.)

            The ironic thing about the case is that, in order to file eviction papers against Jim, hotel management had to first register his apartment as Rent Stabilized with the DHCR.  (The strategy was to evict him and then convert the room to transient use, thus legally deregulating the room.)  So, by not paying, Jim has ended up in much better shape now than he was before!

            This is not to say that you shouldn’t pay your rent; everyone should pay their rent except on the advice of an attorney.  But withholding rent is turning out to be one way of forcing hotel management to address the issue of Rent Stabilization.  (The other case I referred to was settled in the same way: the tenant withheld rent; management registered the room as rent stabilized; and then the tenant simply paid the back rent.) 

An even more important lesson to be learned is that hotel management is, at present, only going after tenants who are not represented by a lawyer.  Neither of these tenants had legal counsel at the time they were served with eviction papers (Jim received some legal advice before he went to court).  What’s more, there are two other Chelsea tenants in housing court at the present time, and neither of them had counsel either when they were served with eviction papers (one has since retained counsel). — Ed Hamilton

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10 responses to “Chelsea Hotel Tenant Wins Rent Stabilization”

  1. Old & Crabby Avatar
    Old & Crabby

    Congratulations! I guess Tilley, Elder & Krauss didn’t think you fit in with their “artistic vision” for the building. The one they plan to move forward with only after they implement the capitol improvements.

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  2. Resident Avatar
    Resident

    Ed, this is a very solid piece of reporting. Good job. May it be stressed again however the importance of retaining legal counsel. If anyone cannot afford an attorney, the West Side Law Project offers excellent free counsel to those who qualify.

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  3. NoWhereMan Avatar
    NoWhereMan

    Congrats Jim!

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  4. Miss H Avatar
    Miss H

    Congratulations!

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  5. Douglas Avatar
    Douglas

    I don’t understand your point that says they are only going after people without legal counsel. Of course that’s true. Why have legal counsel unless you are being sued? It is the case in nearly every landlord tenant case that the tenant doesn’t have legal counsel when the eviction is filed?
    How could the owner have acted any better in the above situation – the guy didn’t pay his rent – an eviction case started – the guy pays his rent – the eviction case ends. That’s just what happens when you don’t pay your rent.

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  6. Blankgen78 Avatar
    Blankgen78

    More good news! Keep it up people of the Chelsea, you all are the reason I keep coming back!

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  7.  Avatar
    Anonymous

    Douglas, some people in the hotel have legal counsel as a matter of course in their professions. Some retained counsel as soon as the Bards were ousted, or since. Some are not well heeled enough to have personal counsel on retainer, or to ay lawyers at all, and these are the people first victimized.

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  8. rochelle harmon Avatar
    rochelle harmon

    As reported here on the blog, the first discontinuance was granted back in May when new management sued Artie Nash claiming his apartment was exempt from Stabilization. He countersued and forced them to admit at Trial that their lawsuit was unsupported by documentation.. Jim Giorgieu’s case was discontinued without him having to go to trial because new managements lawyers still posess no proof of Exemption and unlike the previous lawyers who were fired by Marlene Krauss this somewhat more accomplished law firm wont risk appearing before the housing Court Judge with frivolous eviction proceedings. Lawyers get fined and disbarred for bringing lawsuits that they themselves know are not supported by documentation or other evidence. Rightfully so, they would rather settle with Jim than head to trial and have the case discontinued by the Judge. Appears diplomatic but probably isnt diplomacy – but saves new management some embarassment and from pursuing an unwinnable case.

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  9. The Blackout Blog Avatar

    What a happy ending! That’s awesome!

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  10. Arawak Avatar
    Arawak

    Way to go, Jim! That is wonderful news. Couldn’t happen to a nicer guy.

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