Landlord Waived Right to Collect A/C Surcharge

Rent-stabilized tenant complained of rent overcharge in 2016. Tenant claimed that he had bought and installed an air conditioner in his apartment some time ago and that current landlord only recently started charging him $5 per month as an air conditioner surcharge. Tenant claimed that landlord had waived any rent increase for the air conditioner. The DRA ruled against tenant, and noted that landlord need not list an air conditioner surcharge on tenant's leases. Also, the surcharge didn't become part of the base rent for computing other rent-stabilized rent increases.

Tenant appealed and won. He stated that he'd had the air conditioner since 1981, that prior landlord never charged for the unit, that current landlord bought the building in 2003, and that it only added the air-conditioner surcharge in 2010. Landlord again pointed out that it hadn't collected any surcharge from tenant. The DHCR found that statements by tenant and neighboring tenants showed that tenant kept the air conditioner for decades before landlord added a charge to tenant's renewal lease in 2010, and before tenant replaced the unit in 2012. Landlord had waived the right to collect any air conditioner surcharge that otherwise may have been permitted under the Rent Stabilization Code and DHCR policy.

Cepeda: DHCR Adm. Rev. Docket No. HR110003RP (1/11/21) [6-pg. doc.]