Rent Overcharge Wasn't Willful

LVT Number: #26452

Rent-stabilized tenant complained of rent overcharge. The DRA ruled for tenant and ordered landlord to refund $23,000, including interest. Tenant appealed, claiming that the overcharge was willful and that triple damages should be added to the refund due. The DHCR ruled against tenant. Among other things, tenant argued that, although he filed his complaint in May 2011, landlord didn’t reduce his rent until July 2011 and didn’t refund the overcharge until July 2014.

Rent-stabilized tenant complained of rent overcharge. The DRA ruled for tenant and ordered landlord to refund $23,000, including interest. Tenant appealed, claiming that the overcharge was willful and that triple damages should be added to the refund due. The DHCR ruled against tenant. Among other things, tenant argued that, although he filed his complaint in May 2011, landlord didn’t reduce his rent until July 2011 and didn’t refund the overcharge until July 2014. But since the overcharge resulted from a rent reduction order that was issued more than four years before tenant’s complaint was filed, the delay in issuing a refund was reasonable. And the fact that landlord was a real estate professional had no bearing on the question of willful overcharge. 

 

 

 

George: DHCR Adm. Rev. Docket No. DO410019RT (6/10/15) [3-pg. doc.]

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