MDF 113 14th Street LLC is suing CarePoint Health, alleging they owe $33,686.07 in unpaid rent, utilities, late fees, and interest for renting them the first floor of their Hoboken building being used as a medical office.
By John Heinis/Hudson County View
“Tenant agrees that ‘any Rent (including Fixed Rent and any Additional Rent) not paid when due shall require payment by Tenant a late charge penalty fee as follows,” the 10-page, three-count lawsuit filed in Hudson County Superior Court on November 30th says.
“Five (5%) percent of the applicable Rent payment due if payment is received by Landlord five (5) days after the due date of such payment; Ten (10%) percent of the applicable Rent payment due if payment is received by Landlord Ten ( 10) days after the due date of such payment, Fifteen (15%) percent of the applicable Rent payment due if payment is receive by Landlord thirty (30) days after the due date of such payment.”
The lawsuit further states that the lease was good through January 31st, 2027 and ranged from a monthly cost of $6,673.33 to $7,292.13 with incremental annual increases.
Additionally, there is a “chronic violations fee” that sees an additional $250 tacked on for “the second occurrence” where the lease is violated, with a 15 percent hike for each subsequent violation.
The plaintiff, represented by Thomas J. Major of the Hackensack-based law firm Offit Kurman, P.A., also asserts that CarePoint did not pay rent for September, October, or November of this year, nor any of the related late fees.
The court filing cites breach of contract, unjust enrichment, and enforcement of the guaranty (lease) against CarePoint, who owns the Bayonne Medical Center, Christ Hospital in Jersey City, and Hoboken University Medical Center.
As a result, the landlord is seeking the aforementioned owed monies, along with prejudgment interest, court costs, attorney’s fees, and any other relief the court deems just and equitable.
On Monday morning, CarePoint spokeswoman Sofia Quintanar admitted that the group is having some financial difficulties, but added that the 14th Street property has paid all back rent mentioned in the lawsuit.
“Due to rising costs, inflationary pressures and a chronic lack of financial support from state government, CarePoint Health has been left with difficult choices as it seeks to continue providing charity care to uninsured and underinsured patients and serving the rapidly growing number of homeless and undocumented residents arriving daily at the emergency rooms of its safety net hospital,” she said.
“The system has now paid all rent owed on the 14th Street property and expects to resolve this lawsuit amicably in the near future.”
Editor’s note: This story was updated on Monday with a comment from CarePoint spokeswoman Sofia Quintanar.
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