Four-Year Rule Bars Tenant's Fraud Claim

(Decision submitted by Karen Schwartz-Sidrane of the Hewlett, N.Y., law firm of Pennisi Daniels & Norelli, LLP, attorneys for the landlord.) Tenant complained of a rent overcharge. The DRA ruled for tenant. Although tenant's complaint was filed on Dec. 17, 1993, the DRA used Dec. 1, 1987, as the base date, instead of Dec. 17, 1989. Landlord appealed because the DRA didn't follow the four-year rule. The DHCR ruled that there was no overcharge. Tenant appealed, claiming that the DHCR's decision was unreasonable. Tenant claimed that the overcharge was based on fraudulent fees and surcharges for air conditioners and a television antenna. The court ruled against tenant. The four-year rule applies, even when tenant claims fraud. And here, the fraud claim was only incidental to the overcharge claim.

Bendayan v. DHCR: Index No. 26379/01 (Sup. Ct. Bronx 2/28/02; Victor, J) [3-pg. doc.]