Award of Attorney's Fees Must Be Recalculated

LVT Number: #20933

Rent-stabilized tenant sued landlord for a rent overcharge. Tenant claimed that landlord increased his rent in violation of a 1993 DHCR order. The court ruled for tenant and found that the overcharge was willful. The court awarded tenant $24,000, including triple damages. Landlord appealed and won. Although the overcharge was willful, the court improperly calculated the overcharge based on the lease in effect before the June 1, 1993, effective date of the DHCR order.

Rent-stabilized tenant sued landlord for a rent overcharge. Tenant claimed that landlord increased his rent in violation of a 1993 DHCR order. The court ruled for tenant and found that the overcharge was willful. The court awarded tenant $24,000, including triple damages. Landlord appealed and won. Although the overcharge was willful, the court improperly calculated the overcharge based on the lease in effect before the June 1, 1993, effective date of the DHCR order. This violated Civil Practice Law and Rules 213-a, which bars examination of the rental history of tenant's apartment prior to the four-year period immediately before tenant filed his court action. So the overcharge should have been calculated using the $450 rent in effect in 1993, not the $375 rent in effect before June 1, 1993. The appeals court sent the case back for recalculation of the overcharge amount.
While landlord's appeal was pending, the court awarded tenant attorney's fees against landlord in the amount of $16,500. Landlord appealed and won. Tenant was entitled to attorney's fees under Rent Stabilization Code Section 2526.1. But since the overcharge award had been based on an error and was now being recalculated, the court should also reconsider what a reasonable award of attorney's fees would be. The case was sent back for a new hearing on attorney's fees.

Jenkins v. Fieldbridge Associates: NYLJ, 12/18/08, p. 43, col. 5 (App. T. 2 Dept.; Golia, JP, Rios, Steinhardt, JJ)