Gedula 26, LLC v. Lightstone Acquisitions III LLC, 213 A.D.3d 409 (2023)

The motion court should have found as a matter of law that defendants committed an unlawful eviction that breached the parties' agreement to allow plaintiffs to remain in the building for six months post-closing (Okeke v Ewool, 106 AD3d 709, 710 [2d Dept 2013]). The record establishes that despite defendants' email to their property managers on November 19, 2014 that plaintiffs would remain in the building for six months, defendants issued a notice to quit on December 12, 2014 with a deadline of December 31, 2014 to quit the premises. On December 17, 2014, well before the deadline in the notice, defendants locked plaintiffs' employees out of their occupied spaces in the building. Because it is undisputed that the illegal lockout caused plaintiffs to lose a day of business, plaintiffs should be permitted to prove their damages based on the unlawful eviction and breach of the post-closing occupancy agreement (see 1414 Holdings, LLC v BMS-PSO, LLC, 116 AD3d 641, 643 [1st Dept 2014]).