Landlord Refunded Overcharge Resulting from Rent Reduction Orders

Rent-stabilized tenant complained of rent overcharge. The DRA ruled for tenant and ordered landlord to refund $11,995, including interest and triple damages. Landlord appealed and won, in part. The overcharge resulted from landlord's collection of full rent while four DHCR rent reduction orders were still in effect. The DHCR found that, although landlord didn't give tenant a refund within the time to answer the complaint, the overcharge wasn't willful. Landlord ultimately refunded $6,608 to tenant before the DRA issued its order. And although the refund was slightly less than the total overcharge and interest, landlord made a good faith attempt to calculate the overcharge and interest and issued a significant refund to tenant that ultimately was more than the overcharge found by the DRA. The total overcharge was reduced to $8,345, much of which had already been refunded.

Parkash: DHCR Adm. Rev. Docket No. FP610067RO (11/28/17) [3-pg. doc.]