No Proof of 'Deemed' Lease

Tenant complained of a rent overcharge. The DRA ruled for tenant in part, finding that the legal rent was less than the amount landlord charged. But because tenant owed back rent, there was no overcharge. Landlord appealed, claiming that the DRA failed to calculate a rent increase for a renewal lease landlord had deemed to be in effect for tenant for the year 2006. The DHCR ruled against landlord. To get credit for a deemed lease, landlord must prove that a proper and timely lease renewal offer was delivered to tenant, that landlord charged tenant the amount claimed to have been due under the deemed lease, that the tenant either paid the deemed lease rent, or that landlord sued tenant for nonpayment based on the deemed rent increase. Here, landlord failed to submit any proof of any of these requirements. So the DRA correctly determined there was no deemed lease increasing tenant's rent.

Orin Management Corp.: DHCR Adm. Rev. Docket No. WA610011RO (2/28/08) [2-pg. doc.]