Landlord Must Prove Preferential Rent

(Decision submitted by Karen Schwartz-Sidrane of the Hewlett law firm of Sidrane & Schwartz-Sidrane, LLP, attorneys for the landlord.) Landlord and rent-stabilized tenant disagreed on whether landlord could charge tenant the legal regulated rent when tenant's current lease expired. Landlord claimed that it had previously charged tenant a preferential rent but was no longer required to do so. The DRA ruled for landlord. As amended in 2003, the rent stabilization law permits landlord to charge tenant the higher legal regulated rent upon lease renewal even if landlord had agreed previously to charge tenant a preferential rent. However, the legal regulated rent must have been previously established in the tenant's vacancy or renewal lease where the preferential rent was charged. Registration with the DHCR of the legal rent by itself isn't sufficient proof. In addition, if a vacancy or renewal lease sets forth the legal rent, the legal rent doesn't need to be set forth in later renewal leases. But the rent history for the apartment prior to the four-year period before the filing of an overcharge complaint can't be examined.

Kirchoffer v. S.W. Management: DRO Docket No. VE420002AD (9/28/07) [1-pg. doc.]