Gramercy Park co-op ordered to pay $165,000 in emotional support animal case

MANHATTAN, NY (PIX11)—A Gramercy Park co-op has agreed to pay $165,000 to a tenant who was allegedly denied permission to live with her emotional support animals, parrots, the U.S. Attorney for the Southern District of New York announced the settlement Friday.

The tenant alleged that the Rutherford at 230 East 15th Street discriminated against her by not accommodating her to live with her animals because of her disability. The tenant also alleged that retaliation occurred after she filed a complaint with the U.S. Department of Urban Development.

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“This is the largest settlement the Department of Justice has ever obtained for a disabled individual whose housing provider denied their right to a service animal,” said U.S. Attorney Damian Williams. “This outcome should prompt all housing providers to carefully consider whether their policies and procedures comply with federal law. We are very grateful to our partners at HUD, who provided invaluable assistance in investigating and resolving this matter.”

According to court documents, the tenant, who had lived there since the late 1990s, kept parrots without incident until 2015. A neighbor complained about noise and reportedly called the Environmental Protection Agency 15 times. The agency found no violations and the co-op did not keep records of decibel measurements or soundproofing measures.

In March 2016, the shareholder asked The Rutherford for permission to keep her parrots as service animals. The law states that reasonable accommodations must be made to provide equal housing opportunities for people with disabilities. Instead, the co-op initiated eviction proceedings. The shareholder suffered emotional harm during the eviction and left her apartment in July 2016. According to court documents, the co-op continued the eviction even after the shareholder moved out, until 2024.

In May 2018, the shareholder filed a complaint with HUD claiming the eviction process violated her fair housing rights. During the investigation, HUD found that the shareholder had received an offer of $467,500 for her shares, which Rutherford rejected. That rejection prolonged the dispute and was viewed as government retaliation, according to court documents.

In January 2021, a HUD investigation found there was reasonable cause to believe the co-op had violated the FHA. Rather than settle the matter, Rutherford objected to the filing in federal court.

Under an agreement approved by a federal judge, The Rutherford must:

Under an agreement approved by a federal judge, The Rutherford must:

• Pay the shareholder $165,000 in damages

• Offer $585,000 to buy their shares

• If the sale of the shareholder's condominium does not take place, the cooperative provides additional living space and grants the right to sublet the apartment for a period of ten years.

• The Rutherford must establish an appropriate accommodation policy for requests for service animals

• Comply with record-keeping requirements to ensure your agents and officers are aware of and comply with FHA regulations.

• Allow the US to monitor compliance with the agreement

• Dismissal of the eviction suit against the shareholder in court

Matthew Euzarraga is a multimedia journalist based in El Paso, Texas. He has been covering local news and LGBTQIA issues in the New York City metropolitan area since 2021. He joined the PIX11 Digital team in 2023. You can find more of his work here.

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