Tenant Claims Luxury Deregulation Shouldn't Apply Because Husband Moved Out

Landlord applied for high-rent/high-income deregulation of rent-stabilized tenant's apartment in 2010. The DRO ruled against landlord, finding that tenant's household income was below the deregulation threshold in 2008 and 2009. Landlord appealed, and the case was reopened for further consideration. Landlord argued that the Department of Taxation and Finance (DTF) initially found that tenant's household income exceeded $175,000 in both years. This was based on income of both tenant and her husband. But tenant claimed that her husband had moved out during the income review period. There was conflicting evidence concerning whether tenant's husband lived in the apartment during the relevant time period. Among other things, tenants filed joint New York State income tax returns for 2008 and 2009, which specified that both tenant and her husband lived in the city for 12 months during each of those two years. The case was sent back to the DRO for a new determination.

1-4 Management LLC: DHCR Adm. Rev. Docket No. FQ410009RP (11/7/17) [4-pg. doc.]