Court Rules Tenant Should File Overcharge Claim with DHCR

Tenant sued landlord, claiming improper apartment deregulation and rent overcharge. Landlord asked the court to dismiss the case and argued that the DHCR should determine tenant's claims under the primary jurisdiction doctrine. Tenant claimed that the apartment was last registered with the DHCR in 2002 when the monthly rent was $382, and that individual apartment improvements (IAIs) costing nearly $90,000 would have been needed to lawfully deregulate the apartment during vacancy. Tenant also claimed that no such IAIs were completed and that overcharges totalled in excess of $84,000. Tenant opposed leaving his claim to the DHCR. But the court found that the case was the sort of claim that the DHCR should rule on, and tenant cited no reason that the court should retain authority over the overcharge claim since it fell within the DHCR's expertise. The court directed tenant to file his overcharge complaint with the DHCR.

Williams v. Daphne Realty: Index No. 155186/2018, NYLJ No. 1562056946 (Sup. Ct. NY; 6/21/19; Perry, J)