Landlord Gave Up Right to Collect MCI Rent Increase

Landlord sued to evict tenant for nonpayment of rent. Tenant refused to pay an MCI increase approved by the DHCR. Tenant claimed landlord had given up the right to collect any such increase. The court ruled for tenant. Tenant's original 1978 lease contained a clause stating that landlord had the right to collect mid-lease increases approved by the CAB, DHCR's predecessor. This paragraph was specifically crossed out and initialed by landlord and tenant. Tenant's lease renewals contained standard language that lease was being renewed on the same terms and conditions as tenant's original lease except that the rent could be increased or decreased pursuant to any order of the DHCR or Rent Guidelines Board, including MCI increases. But in this case, landlord knowingly gave up its right to collect any MCI increases. Landlord must renew tenant's lease on the ''same terms and conditions'' as the original lease, including the canceled MCI increase provision. Tenant's renewals contained a clause that was intentionally crossed out of the original lease.

15 East 92nd Street Realty Assoc. v. Provost: NYLJ, p. 29, col. 5 (4/5/95) (Civ. Ct. NY; Shafer, J)