Juleah had renovated its building lobby, by painting, re-wallpapering, carpeting, relocating a door, and repairing the intercom system, and Greenpoint-Goldman contended those were "substantial alterations" which violated the lease.
The New York County Supreme Court disagreed and awarded Juleah damages in the amount of $450,793.
On appeal, the Appellate Division, First Department, noted that the plaintiff was "absolutely entitled" to the estoppel certificate . Although Greenpoint-Goldman claimed that Juleah's version of the certificate was much more extensive than what was required under the lease, Greenpoint-Goldman was obligated to issue a certificate which complied with that agreement. (In other words, Greenpoint-Goldman should have marked up the document to its liking.)
Greenpoint-Goldman's claim that Juleah's request was invalid -- since it had not been sent by registered mailed as required by the parties' agreement -- was "waived" since Greenpoint-Goldman failed to promptly object to that omission. And because the certificate was wrongly withheld, Juleah was entitled to the damage award.
There's no estopping that!
To download a copy of the Appellate Division's decision, please use this link: Juleah Co., L.P. v. Greenpoint-Goldman Corp.