Legal Question in Business Law in New York

Re: Failed initial NYC Dept of Health Inspection

Suing the landlord is going to be expensive and time consuming, and, depending upon the terms of your lease, you may not prevail. However, it is possible to negotiate with, and, if that fails, to litigate with the DOH.

Negotiation is obviously a less expensive, and, if successful, less time consuming option. If you'd like to discuss the issues, please feel free to get in touch, either via e-mail or telephone.

Re: Failed initial NYC Dept of Health Inspection

You may be able to contest the DOH's decision through an Article 78 proceeding.

In a nutshell, an Article 78 proceeding is where you contest an agency's determination by having a judge decide if the determination "was made in violation of lawful procedure, was affected by an error of law or was arbitrary and capricious or an abuse of discretion, including abuse of discretion as to measure or mode of penalty or discipline imposed..." CPLR 7804.

If you want to review this further feel free to contact my office.

Mike.

Re: Failed initial NYC Dept of Health Inspection

Most commercial leases have a clause that states that the landlord does not make representations that the certificate of occupancy permits the tenant's planned use of the premises (as stated in the lease's "use clause"). In essence, the premises are rented "as is". Verbal statements by the landlord or broker will not make trump the representations in the lease. A lawyer should carefully review your lease. If you had a contractor or architect build out the space, they should have been familiar with the City's Health Dept. requirements and you may have a cause of action against them for not installing a bathroom and the resulting delays. Another concern about the bathroom being outside the demised premises is that even if the DOH somehow made an exception (highly improbable), you would not be able to get a liquor or restaurant-wine license.