Preferential Rent Never Established

May 31, 2006

LVT Number: 18916

Tenant complained of a rent overcharge. The DRA ruled for tenant and ordered landlord to refund $1,650, including interest and excess security. Landlord appealed, claiming that tenant had paid $1,000 per month as a preferential rent and that landlord properly discontinued the preferential rent. Landlord pointed out that it registered the legal regulated rent with the DHCR. The DHCR ruled against landlord. Tenant didn't have a written lease and refused to sign the lease offered in 2004, which set forth the higher rent.

Tenant complained of a rent overcharge. The DRA ruled for tenant and ordered landlord to refund $1,650, including interest and excess security. Landlord appealed, claiming that tenant had paid $1,000 per month as a preferential rent and that landlord properly discontinued the preferential rent. Landlord pointed out that it registered the legal regulated rent with the DHCR. The DHCR ruled against landlord. Tenant didn't have a written lease and refused to sign the lease offered in 2004, which set forth the higher rent. Since tenant had no lease on the base date, there could be no claim of a preferential rent agreement.

Mangano: DHCR Adm. Rev. Dckt. No.: UA410045RO (4/3/06) [4-pg. doc.]

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