Court of Appeals — Contract Interpretation: Zehng, et al. v. City of New York, et al.

Daily Record Staff//July 17, 2012//

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Manifest Intent

Zehng, et al. v. City of New York, et al.
No. 147
Judge Read

Background: The plaintiffs argued that the defendant city was contractually obligated to pay rent subsidies to their landlords under the Advantage New York program until expiration of their leases. The city discontinued the program in 2011 because state and federal reimbursement for the program ended. Both lower courts found that the state did not enter into enforceable contracts with the plaintiffs or their landlords.

Ruling: The Court of Appeals affirmed the dismissal of the lawsuit. The court concluded that the court did not err in analyzing the required documents to enter the program in context of the objectives the city was striving to obtain; to wit, finding sufficient housing for homeless families. Moreover, the program was designed to avoid the pitfalls a prior, failed program and to keep the city from being tied to a tenant’s public assistance eligibility.

Steven Banks for the appellants; Eric Rundbaken for the respondents

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