Can bankruptcy trustees sell rent-stabilized leases?

old womanWhat seemed like a very simple bankruptcy case has become a complicated argument over rent-stabilized leases in bankruptcy.  The bankruptcy trustee argues that the lease is an asset of the bankruptcy estate and may be sold to pay off the debtor’s creditors.  However, the attorney for the debtor argues that the lease is protected by state exemption laws as a social service.  The question has been referred to the state’s Court of Appeals and the fate of where a 79-year old widow will live is uncertain.

For the full story read, “Case Tests Tenants’ Protections.”

Image credit:  Rosino