Mistake in Renewal Offer

Landlord sent tenant a renewal lease offer that correctly stated the one- and two-year renewal guidelines. Tenant accepted the renewal offer. Landlord then realized it had forgotten to add a $25 increase to the renewal offer, which was permitted because tenant's rent was less than $500. Tenant claimed that he wasn't required to pay the additional $25, although he agreed to do so. Landlord asked the DHCR whether it could collect the additional rent. In an opinion letter, the DHCR said no. The renewal lease agreement became binding when tenant signed and returned it to landlord. Since there was no mention of the $25 additional rent in the accepted lease, landlord wasn't entitled to collect it.

DHCR Opin. Ltr. by Michael B. Rosenblatt (12/30/04) [2-pg. doc.]