Tenant Not Entitled to Collect 10% Furnishing Charge from Subtenant

Subtenant complained that rent-stabilized tenant overcharged him. The DRA ruled for subtenant, and tenant appealed. Subtenant claimed that the legal rent was $970 and that he was charged $1,300. Tenant claimed that the legal rent was $1,080 and that he added a 10 percent surcharge for furnishings and a separate monthly service charge of $110 for two air conditioners, a microwave oven, and a cabinet requested by subtenant. Tenant also claimed that subtenant got written notice of these charges. The DHCR ruled that the legal rent was $1,080. But tenant didn't prove the apartment was fully furnished, so he couldn't collect the 10 percent surcharge. And tenant wasn't entitled to collect any additional charge for air conditioners and other appliances. The overcharge was found to be willful, and tenant was ordered to refund triple damages.

Baker: DHCR Adm. Rev. Dckt. No. PD410013RO (8/24/01) [5-pg. doc.]