Four-Year Rule Applies to Rent-Stabilized Tenant Overcharge

July 31, 2010

LVT Number: #22824

Rent-stabilized tenant sued landlord for rent overcharge. After he moved into the apartment in 2004 at a monthly rent of $925, tenant learned that the DHCR had reduced the apartment rent to $179 in a 1983 rent reduction order, based on a reduction in services. Landlord never applied for rent restoration. The court ruled for tenant, finding that the legal base date rent, four years prior to tenant's complaint, was $179. Landlord appealed and won. Any overcharge refund to tenant must be calculated using the rent charged to tenant four years before his complaint was filed as the base rent.

Rent-stabilized tenant sued landlord for rent overcharge. After he moved into the apartment in 2004 at a monthly rent of $925, tenant learned that the DHCR had reduced the apartment rent to $179 in a 1983 rent reduction order, based on a reduction in services. Landlord never applied for rent restoration. The court ruled for tenant, finding that the legal base date rent, four years prior to tenant's complaint, was $179. Landlord appealed and won. Any overcharge refund to tenant must be calculated using the rent charged to tenant four years before his complaint was filed as the base rent.

Scott v. Rockaway Pratt, LLC: NYLJ, 7/29/10, p. 32, col. 5 (App. Div. 1 Dept.; Tom, JP [dissenting] Friedman, Sweeny, Nardelli, Abdus-Salaam, JJ)

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