New York Attorney General Letitia James has filed lawsuits against two Brooklyn landlords, marking the first enforcement actions under the state’s de facto rent stabilization compliance program launched in May 2025 — a crackdown that has already prevented 26 evictions and returned 91 units to regulation across the city.

The Lawsuits

The suits target landlords John Anderson at 1075 Dean Street and Claudette Henry at 134 Sackman Street. Both are accused of failing to properly register regulated units, attempting illegal evictions, and harassing tenants. The program enforces a 1974 law that categorizes buildings with five or fewer units built before that year as rent-stabilized if they were altered to contain six or more units, according to The Real Deal. More than 50 landlords across New York City have already received compliance notification letters.

Alleged Misconduct

Anderson allegedly failed to provide rent-stabilized leases to tenants for a decade after being notified in 2016 that his building was regulated. The suit claims he sent a friend to impersonate him in court and denied his building’s regulated status on a Department of Buildings application. A tenant at 1075 Dean Street reported that Anderson harassed her and retaliated by cutting off gas, water, and electricity to her unit after she requested a rent-stabilized lease.

Henry allegedly failed to register her building at 134 Sackman Street, which she purchased in 2004, while attempting to illegally evict tenants. The AG’s office contacted her in 2025 demanding compliance with rent stabilization laws, but she did not respond.

Program Results and Penalties

James stated her office “will not shy away from taking immediate action against any landlord who fails to follow the law and attempts to overcharge or illegally evict tenants.” The lawsuits seek to compel registration, restitution for rent overcharges plus 9% interest, civil penalties of $2,000 to $10,000 per harassed occupant, and $500 per unit for each month a unit was unregistered with New York State Homes and Community Renewal. The enforcement push represents a significant escalation from the program’s initial notification phase, signaling that the AG’s office is prepared to pursue litigation against non-compliant landlords who ignore earlier warnings. The cases could set an important precedent for how the state enforces de facto rent stabilization across New York City’s housing stock.

The lawsuits represent a significant escalation of the state’s enforcement capabilities and could encourage more tenants in unregistered buildings to come forward with complaints, housing advocates say.