Triple Damages Revoked Based on Landlord's Good-Faith Belief of Legal Rent

Rent-stabilized tenant complained of rent overcharge. The DHCR ruled for tenant. Landlord filed an Article 78 court appeal, and the case was sent back for reconsideration. The DHCR then ruled for landlord, in part, finding a total overcharge of $1,050. The DRA had incorrectly calculated the base date rent. And the DHCR revoked the triple damages assessed in its prior decision. Prior tenant signed a renewal lease but either didn't actually renew or moved out shortly thereafter. So no rent guidelines increase could be included in the legal rent. But landlord had a good-faith belief that tenant's vacancy rent could be based on prior tenant's last renewal lease rent. In that case, there would have been no overcharge.

Selene Realty LLC: DHCR Adm. Rev. Docket No. BM110006RP (12/2/13) [4-pg. doc.]