Landlord Collected Excess Security as ‘Advance Rent'

LVT Number: 8496

Glen Cove tenant complained of a rent overcharge. She claimed that when she signed the lease for her apartment, landlord collected one month's security, the first month's rent, and the last month's rent. The DRA ruled for tenant, finding that collecting the last month's rent as excess security was a willful overcharge. The DRA imposed triple damages on landlord. Landlord appealed, claiming that he didn't know that collecting the last month's rent was unlawful and that tenant had agreed to pay it.

Glen Cove tenant complained of a rent overcharge. She claimed that when she signed the lease for her apartment, landlord collected one month's security, the first month's rent, and the last month's rent. The DRA ruled for tenant, finding that collecting the last month's rent as excess security was a willful overcharge. The DRA imposed triple damages on landlord. Landlord appealed, claiming that he didn't know that collecting the last month's rent was unlawful and that tenant had agreed to pay it. The DHCR ruled that landlord wasn't entitled to the excess security, even if tenant agreed to it. Tenant can't waive her rights under rent stabilization. But, security payments aren't rent payments; triple damages can't be imposed on the collection of excess security. The triple damages were revoked.

Mott: DHCR Adm. Rev. Dckt. No. BC 710377-RO (11/12/93) [3-page document]

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