Overcharge Not Refunded Before Rent Administrator's Order Issued

Rent-stabilized tenant complained of rent overcharge and claimed that landlord didn’t comply with a rent reduction order that had reduced her rent. The DRA ruled for tenant and ordered landlord to refund $4,000, including triple damages for willful rent overcharge. Landlord appealed and lost. Landlord claimed that the overcharge wasn’t willful. But landlord didn’t adjust tenant’s rent or issue a refund until after the DRA issued its order. DHCR Policy Statement 89-2 requires landlord to adjust the rent and provide a refund plus interest during the investigation initiated by the DHCR. 

M & E 410 E. 13th St. LLC: DHCR Adm. Rev. Docket No. EO410030RO (7/21/16) [4-pg. doc.]