HAZEN v. The Corinthian, Nominal Defendant–Respondent. (2024)

Order, Supreme Court, New York County (Lyle E. Frank, J.), entered October 12, 2023, which granted defendants' motion to dismiss the complaint, and order, same court and Justice, entered January 29, 2024, which denied plaintiff's motion to renew defendants' motion to dismiss, unanimously affirmed, with costs.

The Court properly upheld the business judgment rule (see 40 W. 67th St. Corp. v. Pullman, 100 N.Y.2d 147, 149–150, 760 N.Y.S.2d 745, 790 N.E.2d 1174 [2003]), to determine that the condominium board of the Corinthian followed its by-laws by approving the modernization of the elevators without first obtaining the approval of 70 percent of the unit owners.  The project was properly categorized as a repair rather than “additions, alterations, or improvements” under the by-laws.  Following the recommendations of an elevator consultant that the board embark on a modernization project as preventative maintenance because the elevators' parts were obsolete, and service disruptions could last days or even weeks to locate increasingly rare replacement parts, the board was entitled to repair the elevators (see Pomerance v. McGrath, 124 A.D.3d 481, 483, 2 N.Y.S.3d 436 [1st Dept. 2015], lv denied 25 N.Y.3d 1038, 10 N.Y.S.3d 521, 32 N.E.3d 958 [2015]).

We have considered plaintiff's remaining arguments and find them unavailing.