DHCR Must Award Triple Damages for Post-HSTPA Overcharge Complaint

Rent-stabilized tenant complained to the DHCR of rent overcharge in 2022. The DRA ruled for tenant and found that landlord owed tenant overcharges totalling $1,561 with interest. The DRA also found that landlord owed tenant no refund because the overcharge was offset by a refund of $1,760 already made plus over $59,000 in rent arrears.

Tenant appealed and won in part. Tenant claimed that the overcharge was willful and that the DRA incorrectly calculated rent arrears because she owed nothing.  The DHCR noted that tenant's complaint was subject to rent stabilization law amendments made by the HSTPA effective June 14, 2019. Under HSTPA, the safe harbor provisions previously in place concerning rebuttal of the presumption of willful overcharge were eliminated. So the DRA erred in finding that tenant's rent arrears and the refund issued by landlord rebutted the presumption of willful overcharge. The total overcharge with triple damages was $3,497. But landlord still owed no refund to tenant based on the prior refund and rent arrears. 

Bovasso: DHCR Adm. Rev. Docket No. MR410004RT (9/11/24)[2-pg. document]