Landlord Can't Collect MCI Rent Increase Until Rent Restored

LVT Number: 17953

Tenant complained of a rent overcharge. The DRA ruled for tenant. Landlord appealed and lost. The DRA correctly found that landlord was granted an MCI rent increase effective April 1, 2003, with retroactive effect to Jan. 1, 2003. Landlord didn't start collecting the MCI increase. And a rent reduction order freezing tenant's rent at the level in effect on July 1, 2001, was issued on Sept. 5, 2003, and made retroactive to April 1, 2003.

Tenant complained of a rent overcharge. The DRA ruled for tenant. Landlord appealed and lost. The DRA correctly found that landlord was granted an MCI rent increase effective April 1, 2003, with retroactive effect to Jan. 1, 2003. Landlord didn't start collecting the MCI increase. And a rent reduction order freezing tenant's rent at the level in effect on July 1, 2001, was issued on Sept. 5, 2003, and made retroactive to April 1, 2003. Since landlord didn't start collecting the MCI increase before issuance of the rent reduction order, he was barred from doing so until a rent restoration order was issued.

Kizner: DHCR Adm. Rev. Dckt. No. SK410022RO (1/26/05) [3-pg. doc.]

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