Tenant Class Action Challenge to MCI Rent Hike Barred

April 1, 2005

LVT Number: 18010

Tenants sued landlord in a class action for fraud after the DHCR granted landlord's application for MCI rent hikes. Tenants claimed that landlord's application was based on false information. The court ruled against tenants. Only one tenant had filed a PAR of the DRA's decision granting the rent hikes. After the DHCR denied tenant's PAR, that tenant didn't challenge the DHCR's ruling in court. Tenants couldn't challenge the DHCR's ruling indirectly through a class action after not following the DHCR's appeal procedures.

Tenants sued landlord in a class action for fraud after the DHCR granted landlord's application for MCI rent hikes. Tenants claimed that landlord's application was based on false information. The court ruled against tenants. Only one tenant had filed a PAR of the DRA's decision granting the rent hikes. After the DHCR denied tenant's PAR, that tenant didn't challenge the DHCR's ruling in court. Tenants couldn't challenge the DHCR's ruling indirectly through a class action after not following the DHCR's appeal procedures.

Chavis v. Allison & Co.: NYLJ, 3/16/05, p. 20, col. 3 (Sup. Ct. Queens; Kelly, J)

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