Contractor's Affidavit Didn't Break Down Improvement Costs

LVT Number: 15951

Tenant complained of a rent overcharge. Landlord claimed that it had made apartment improvements before tenant moved in and submitted a contractor's affidavit as proof. Tenant denied most of the improvements had been done, and the DRA asked landlord to submit canceled checks showing payment to the contractor. Landlord didn't do so, and the DRA ruled for tenant. Landlord appealed. With its PAR, landlord submitted a more detailed contractor's affidavit with a cost breakdown. The DHCR refused to consider the new affidavit and ruled against landlord.

Tenant complained of a rent overcharge. Landlord claimed that it had made apartment improvements before tenant moved in and submitted a contractor's affidavit as proof. Tenant denied most of the improvements had been done, and the DRA asked landlord to submit canceled checks showing payment to the contractor. Landlord didn't do so, and the DRA ruled for tenant. Landlord appealed. With its PAR, landlord submitted a more detailed contractor's affidavit with a cost breakdown. The DHCR refused to consider the new affidavit and ruled against landlord. Landlord brought a court case to challenge the DHCR's decision. The court and appeals court ruled against landlord. Landlord didn't submit sufficient proof of the cost of the 1/40th improvements to the DRA. And landlord couldn't submit new proof with its PAR. The DHCR's rent overcharge finding was reasonable.

7 W. 87th St. LLC v. DHCR: NYLJ, 6/6/02, p. 18, col. 6 (App. Div.1 Dept.; Williams, PJ, Saxe, Buckley, Sullivan, Ellerin, JJ)