No Triple Damages Applied When Landlord Promptly Refunded Overcharge

Rent-stabilized tenant complained of rent overcharge. The DRA ruled for tenant, but since landlord had refunded $2,000 to tenant and the overcharge was only $1,672, no refund was due. Tenant appealed and lost. Tenant claimed that the DRA didn’t charge the statutory 9 percent interest on the overcharge and that the overcharge was willful. Tenant had advised the DRA that she received a refund check from landlord. In addition, in this case the overcharge resulted only from a rent freeze based on a prior DHCR order and landlord refunded the overcharge within three months after tenant’s complaint was filed. The DRA properly calculated the interest due on the overcharge, and landlord demonstrated that there was no willful overcharge by issuing a prompt refund.

Zeleny: DHCR Adm. Rev. Docket No. EN410030RT (8/23/16) [4-pg. doc.]