No Landlord Fraud Where Multiple Vacancy Increases Permitted

Tenant complained of rent overcharge. Her apartment was rented as deregulated although her monthly rent was $1,350. The DRA found that the apartment was deregulated on the base rent date because the rent then was $2,000 or more. Tenant appealed, and the case was reopened to determine if there was landlord fraud. After considering additional documents, the DRA again dismissed tenant’s complaint.

Tenant appealed and lost. There was no proof of a fraudulent scheme to deregulate the apartment. The base date rent history records include prior tenant’s lease for a monthly rent of $2,147, a corresponding rent ledger, and a sworn statement from prior tenant confirming the dates of the base date lease. Landlord also produced three leases prior to the base date indicating that the apartment rent was legally increased before the base date. The fact that there were three apartment vacancies in 2005 was insufficient to prove fraud. Landlord produced signed leases and, at that time, was entitled to collect vacancy rent increases for each vacancy.

Weisfeld: DHCR Adm. Rev. Docket No. CX210019RT (3/26/15)[8-pg. document]