No Good Cause to Vacate Tenant's Default in Deregulation Case

In 2008, landlord filed for high-rent/high-income deregulation of tenant’s rent-stabilized apartment. The DRA ruled for landlord based on tenant’s failure to respond to the notice of landlord’s application. Tenant, a corporation, said that it never received the DRA’s notice. The occupant the apartment was rented for traveled frequently during the summer months and was away from the apartment for an extended period of time. The apartment occupant wasn’t a New York State resident, had earned no income in New York, and therefore didn’t file New York State income tax returns. The DHCR ruled against tenant. The DRA mailed its notice and answer form to tenant twice at the correct address. The DRA received delivery confirmations from the Post Office on April 23, 2009, and August 21, 2009. So it was presumed that tenant received the mail, and there was no proof to the contrary. Tenant failed to comply with the 60-day notice and was advised of the consequences. Tenant didn’t offer an adequate explanation to excuse its default.

Kobe FAB International Inc.: DHCR Adm. Rev. Docket No. XJ410060RT (12/16/09) [4-pg. doc.]