Q: I recently bought a co-op in Manhattan. During the due-diligence process before the purchase, the co-op board assured me and my attorney that there were no noise issues or noise complaints relating to the unit. It turns out that our upstairs neighbors have children who play ball and run around constantly, which causes quite a disturbance in my apartment. It also turns out that other residents filed numerous noise complaints against this neighbor and that the board was actively involved — which was never disclosed to myself or my attorney. What are my options now?
A: Holding the board accountable in this situation could be difficult, because New York’s disclosure laws are working against you.
Standard co-op sale contracts typically include a clause stating that the buyer is not relying on any statement, representation or agreement not specifically included in the contract with the seller, including any statements by third parties, such as the board.
Co-op boards in New York generally have no duty to disclose problems unless they are asked specific questions. “Unless the board or seller made a specific false statement, legal recourse for nondisclosure is limited,” said Ruta Behrend, a partner who practices real estate law at Tane Waterman & Wurtzel, P.C.
If your board did make false statements or knowingly withheld information, you might have a case of misrepresentation, but the legal path is narrow.
It depends on the facts. Did you ask if the seller specifically had made noise complaints? Or if any shareholder had? If the complaints exist, they should have been logged in the board’s meeting minutes, which are available for the buyer’s attorney to examine before a sale. Did you attorney read the minutes?
The board is also protected by the business judgment rule, which legally protects many board actions, making your case even more difficult.
“How many years of litigation would result, and what would the ultimate recovery be even if successful?” said Stuart M. Saft, partner and real estate practice group leader at Holland & Knight LLP.
Noise complaints can be difficult to pursue legally, but you should document what you hear so you can make a case to the board to enforce its house rules. If your lease contains a provision that apartments be 80 percent carpeted, ask the board to enforce that clause. If you get no response, you can bring a private nuisance claim against your neighbor, but your success would depend upon how well you documented the disturbances and if they are persistent and unreasonable.
The post The Co-op Said the Apartment Was Quiet. But My Neighbors Are So Loud! appeared first on New York Times.
