Tenant Gets No Attorney's Fees in DHCR Rent Overcharge Proceeding

Rent-stabilized tenant who moved into an apartment in 2010 complained of rent overcharge in 2016. The DRA ruled for tenant in 2018 and ordered landlord to refund $5,384 with triple damages and interest. The DRA then reopened the case for reconsideration and, in December 2019, recalculated the total overcharge to be $9,403 based on application of the fuller triple damages provisions of HSTPA.

Tenant appealed again for a number of reasons and won, in part. Among other things, the DHCR noted that the triple damages award, applied to the entire overcharge, was improper under Regina Metro. v. DHCR. This portion of the overcharge award was reduced since the complaint was filed before HSTPA amended triple damage provisions. The DHCR did find that the DRA failed to address an outstanding rent reduction order in calculating the overcharge. The total overcharge was now $9,280.

The DHCR also denied tenant's claim for attorney's fees. An attorney never filed a Notice of Appearance on tenant's behalf, and there was no retainer agreement or signed authorization for attorney representation in the record. No attorney ever made any submissions to the DRA on tenant's behalf. And even if an attorney had formally appeared in this case, tenant was required to submit sufficient proof that the fees requested: (a) pertained to issues on which tenant won; (b) were necessary and not excessive or duplicative; and (c) were commensurate with the amounts claimed.

Invoices and sworn statements from tenant's attorney showed that the attorney was hired about a year after tenant filed the overcharge complaint to mediate a separate DHCR harassment complaint filed by tenant, a court eviction proceeding, a DHCR service reduction case, a lease renewal complaint, and the overcharge claim. Attorney invoices showed no clear breakout of fees attributable to the rent overcharge claim. Tenant's evidence didn't support an award for attorney's fees. 

Rubiano: DHCR Adm. Rev. Docket No. IN910005RT (8/14/20) [10-page doc.]