The landlord lobby isn't accepting defeat.
Luis Ferré-Sadurní reports: "Two real estate trade groups and seven landlords filed a federal lawsuit on Monday night aimed not just at opposing the new rent laws in New York City, but also at challenging the entire rent-regulation system, which dictates the rents of about 2.4 million tenants who live in nearly 1 million rent-stabilized apartments."
"They are betting the new laws will bolster their claims that the rent-stabilization system — which subjects units to government-mandated caps on rent increases — is unconstitutional and amounts to an unlawful taking of property," according to Ferré-Sadurní.
The sweeping changes to the state's rent laws were considered a surprising defeat to a traditionally powerful lobby in the state—and the changes were expected to impact communities far outside of New York City. The lobby clearly isn’t ready to concede defeat.
The lawsuit hopes the court will decide that rent control violates the 14th Amendment's due process clause and the takings clause of the Fifth Amendment.
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