Co-op Owner Can Collect Fuel Cost Adjustment

LVT Number: #23235

Landlord co-op apartment shareholder filed a fuel cost adjustment report with the DHCR. Rent-controlled tenant challenged the fuel cost adjustment. The DRA ruled against tenant, who appealed and lost. Tenant claimed that her lease required landlord to provide heat and hot water as required by law, so tenant didn't have to pay for heating fuel charges. Tenant also claimed that a co-op shareholder wasn't an "owner" entitled to collect the fuel surcharge under rent control. But rent-control regulations permit annual rent adjustments based on increases or decreases in heating fuel costs.

Landlord co-op apartment shareholder filed a fuel cost adjustment report with the DHCR. Rent-controlled tenant challenged the fuel cost adjustment. The DRA ruled against tenant, who appealed and lost. Tenant claimed that her lease required landlord to provide heat and hot water as required by law, so tenant didn't have to pay for heating fuel charges. Tenant also claimed that a co-op shareholder wasn't an "owner" entitled to collect the fuel surcharge under rent control. But rent-control regulations permit annual rent adjustments based on increases or decreases in heating fuel costs. And rent-control regulations define "landlord" as an owner or any other person entitled to receive rent for the apartment.

Vizza: DHCR Adm. Rev. Docket No. YG420056RT (12/14/10) [3-pg. doc.]

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