Yellowstone Injunction Law and Legal Definition
A Yellowstone injunction is a New York Supreme Court proceeding initiated by the tenant when the landlord seeks to terminate the lease because of a claimed default by the tenant. For example, the landlord may serve the tenant with a notice to cure because of a perceived violation of the lease terms. To prevent the landlord's opportunity to prematurely terminate the lease, the tenant may go to New York Supreme Court and seek a Yellowstone injunction and temporary restraining order.
A Yellowstone injunction asks the court to maintain the status quo. Under the Yellowstone injunction, the landlord is prevented from terminating the lease and the tenant is given the right to cure the alleged default without the notice to cure expiring. Without the Yellowstone injunction, the notice to cure would expire before the judge could determine whether the tenant was in default or not in default, and the landlord could terminate the lease.
A tenant who contemplates seeking a Yellowstone injunction to prevent a cure period from running out should be aware of he potential costs under the terms of the lease. In addition to the potential for late charges and/or interest on rent which is not paid on time, there could be other costs, including payment of taxes and common area charges and the making of repairs. If those charges are not satisfied, an interest payment may also be charged.
