Landlord Waited Too Long to Collect Retroactive Rent Increases

Rent-stabilized tenant complained of rent overcharge. The DRA ruled for tenant, finding that landlord had waived its right to collect retroactive rent increases under Rent Guideline Board Orders 40 and 41, authorized by the court in Casado v. Markus, a case that decided a challenge to those increases in 2011. Landlord appealed and lost. Landlord waited seven years before seeking to collect retroactive rent increases based on the Casado case. This was an unreasonable delay. An appeals court had ruled in another case that a nine-month delay following the Casado court decision was too long. So the DRA correctly ordered landlord to refund any excess rent collected.

150 Park/Bel Air Park 5, LLC: DHCR Adm. Rev. Docket No. GV110022RO (10/9/19) [2-pg. doc.]