The Rent Stabilization Association (RSA) and Community Housing Improvement Program (CHIP), along with individual landlords, filed a federal lawsuit Monday challenging New York’s new rent laws under Fourth and Fifth Amendment property rights.
Last month the New York Senate passed the Housing Stability And Tenant Protections Act of 2019. This Act reformed the previous rent laws and extended them further. Under this Act, the high-rate vacancy deregulation was ended, and the Act includes more protections against unnecessary major capital improvements (MCIs) and Individual Apartment Improvements (IAIs).
The complaint, filed with the US District Court for the Eastern District of New York, alleges an illegal taking of private property and a violation of the due process rights of the landlords and property owners. The complaint alleges that the declaration of a state of emergency every three years with no rational basis violates due process. In addition, the new law allegedly deprives owners of the core property right to exclude others through the requirement to renew leases, as well as an unlawful taking by the government of the property by denying owners the right to possess, use, and freely dispose of the property.
The RSA, CHIP, and individual landlords are seeking to enjoin the enforcement and application of the Act.