Landlord Didn't Waive Right to Charge First Rent

Tenant complained of a rent overcharge. The DRA ruled against tenant, finding no overcharge. Tenant appealed. Tenant paid prior landlord $528 per month in rent as landlord's employee. Tenant continued to pay this amount when new landlord bought the building. Landlord and tenant agreed to a higher first stabilized rent. Landlord offered tenant two leases. One was for $700 per month, the other for $725 per month. Tenant signed the lease for $725 but paid $700. Landlord accepted tenant's payments of $700. Tenant claimed that landlord waived the right to collect more than $528 in rent. The DHCR ruled for tenant in part. New landlord didn't waive the right to charge a first rent that was greater than tenant's employee rent. But because landlord collected $700 without complaint, the legal rent was $700, not $725. So there was some overcharge.

Allick: DHCR Adm. Rev. Dckt. No. RH210017RT (10/15/03) [3-pg. doc.]