Landlord Made Good Faith Attempts to Correct Overcharge Error

Rent-stabilized tenant complained of rent overcharge. The DRA ruled for tenant and ordered landlord to refund $23,000, including interest and triple damages. Landlord appealed, claiming that triple damages were unwarranted. The DHCR ruled against landlord, who then filed an Article 78 court appeal. Landlord argued that the DHCR's decision was arbitrary and unreasonable. The court sent the case back to the DHCR for reconsideration and noted that landlord's actions showed good faith attempts to correct the overcharge error. The DHCR then revoked the triple damages. The DRA had granted landlord a number of extensions to answer tenant's overcharge complaint. In its answer, landlord noted that it had refunded $8,250 to tenant, representing the overcharge plus interest. 

Choice Associates LLC: DHCR Adm. Rev. Docket Nos. HM410021RP, FQ410033RO (3/21/19) [3-pg. doc.]