Landlord Not Responsible for Rent Overcharge Refund

Rent-stabilized tenant complained of rent overcharge. The DRA ruled for tenant and ordered a refund of $13,000, including triple damages. New landlord appealed and won. New landlord bought the building under a deed in lieu of foreclosure two weeks before the DRA order was issued. Since landlord purchased the building out of foreclosure it wasn't responsible for refund of the overcharge or triple damages. There was no proof of any collusion or relationship between new landlord and prior landlord. And there was no evidence that new landlord independently collected any overcharge from tenant.

86 Fort Washington LP: DHCR Adm. Rev. Docket No. AS410009RO (9/17/14) [3-pg. doc.]