Tenant Can't Give Up Rights

Rent-controlled tenant complained of a rent overcharge. The DRA ruled that tenant was subject to rent control since he'd lived in his apartment and used it as a dentist's office since 1947. Landlord appealed, claiming that in 1984 landlord and tenant agreed to enter into an office lease for the apartment. Relying on that lease, landlord had withdrawn its application for decontrol based on its claim that the apartment wasn't tenant's primary residence. The DHCR ruled against landlord. An inspection showed that tenant lived in the apartment. The apartment had been rented for combined use in 1947 and was subject to rent control as late as March 1984. Even though tenant was represented by an attorney when he signed the commercial lease, the DHCR found that an out-of-court settlement between landlord and rent-controlled tenant under the threat of decontrol wasn't a valid good faith agreement. Under rent-control regulations, an agreement by tenant to give up his rent-control rights is void.

M&G Realty Co.: DHCR Adm. Rev. Dckt. No. GG120088RO (5/15/98) [3-page document]