Landlord Filed Late Initial Registration

Facts: Tenant filed a rent overcharge complaint in 1985. She claimed landlord never sent her an initial registration (RR-1) form. Landlord filed a late initial registration in 1986 while tenant's complaint was pending. The DRA ruled for tenant and ordered a $62,000 refund, including triple damages. The DRA ruled that since landlord filed late, it had to submit rent history information back to April 1, 1980, which it didn't do. So the DRA used the default method in setting tenant's rent, found that the overcharge was willful, and froze the rent for the period before landlord completed the late registration. Landlord appealed and lost. Landlord then brought a court case, claiming that the DHCR's decision was unreasonable. Court: Landlord loses. Landlord claimed that the only penalty the DHCR should have imposed was the rent freeze during the period that landlord hadn't filed the 1984 initial registration. But landlord also didn't submit a complete rent history. So it was proper for the DHCR to use the default method and find a willful rent overcharge.

Ilovik Realty Corp. v. DHCR: NYLJ, p. 29, col. 3 (7/14/99) (Sup. Ct. Queens; Polizzi, J)