Landlord Can't Appeal Non-Final DHCR Order

January 25, 2021

LVT Number: #31163

Rent-stabilized tenant complained of rent overcharge in 2016. The DRA ruled for tenant in 2018, applying a four-year base date to review of the apartment rent history. Tenant appealed, and claimed that HSTPA, which took effect on June 14, 2019, now required a six-year lookback period for review of tenant's overcharge claim. The DHCR agreed and sent the case back to the DRA for further review. Landlord then filed an Article 78 court appeal and argued that it was an error for the DHCR to reopen tenant's overcharge complaint.

Rent-stabilized tenant complained of rent overcharge in 2016. The DRA ruled for tenant in 2018, applying a four-year base date to review of the apartment rent history. Tenant appealed, and claimed that HSTPA, which took effect on June 14, 2019, now required a six-year lookback period for review of tenant's overcharge claim. The DHCR agreed and sent the case back to the DRA for further review. Landlord then filed an Article 78 court appeal and argued that it was an error for the DHCR to reopen tenant's overcharge complaint. The DHCR argued that landlord's court appeal was premature because the DHCR's decision to remand the case to the DRA wasn't a final administrative determination.

The court agreed and dismissed landlord's Article 78 appeal. CPLR 7801(1) states that an Article 78 proceeding can't be used to challenge a determination that isn't final. And Rent Stabilization Code Section 2520.6(t) provides that an order remanding a proceeding for further consideration isn't a final DHCR order. 

1619-1625 Amsterdam Ave. LLC v. DHCR: Index No. 15149/2020, 2020 NY Slip Op 34232(U)(Sup. Ct. NY; 12/21/20; Edmead, J)

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