Perez v. Dime Savings Bank of New York, F.S.B.
Court: Appellate Division of the Supreme Court of the State of New York; June 3, 1996; New York; State Appellate Court
In 1986, Louis and Loredana Perez obtained a mortgage from The Dime Savings Bank of New York (Dime Savings) to purchase property in Port Chester, NY, which they subsequently rented out. After a fire in 1991 rendered the property unrentable, the necessary repairs were not completed due to the wrongful actions of Dime Savings and LFC Nationwide, Inc., leading the respondents to default on their mortgage payments. The court awarded the respondents $88,450 for repair costs and $21,463.65 for lost rental income, minus a $10,999 settlement from Allstate Insurance Company. Additionally, the court mandated that Dime Savings credit the respondents for all mortgage-related payments from February 10, 1991, until six months after the judgment payment. Dime Savings contested the six-month period as unreasonable and argued for a three-month period instead. The court modified the judgment, affirming only a credit for three months post-judgment payment, while rejecting Dime Savings' other claims. The decision was supported by judges Mangano, Sullivan, Altman, and Hart.