Landlord Charged First Rent After Base Date Exemption

October 27, 2014

LVT Number: #25836

Tenant complained of rent overcharge. The DRA ruled for tenant and ordered landlord to refund the overcharge with triple damages. Landlord appealed and won, in part. The apartment was temporarily exempt on the base rent date four years prior to the filing of the complaint because, at that time, it was rented to a hospital for staff housing. Under the Rent Stabilization Code provisions in place at that time, landlord reasonably believed it had the right to charge the first subsequent rent-stabilized tenant whatever tenant agreed to pay.

Tenant complained of rent overcharge. The DRA ruled for tenant and ordered landlord to refund the overcharge with triple damages. Landlord appealed and won, in part. The apartment was temporarily exempt on the base rent date four years prior to the filing of the complaint because, at that time, it was rented to a hospital for staff housing. Under the Rent Stabilization Code provisions in place at that time, landlord reasonably believed it had the right to charge the first subsequent rent-stabilized tenant whatever tenant agreed to pay. So the overcharge wasn't willful. Landlord must refund $48,000, including interest, but no triple damages. 

Sado/160 East 84th Street Assoc. LLC: DHCR Adm. Rev. Docket Nos. BR410041RT, BS410017RO (7/2/14) [8-pg. doc.]

Downloads

BR410041RT.pdf2.67 MB

Topics

More like this