Laundry Machines Operated by Prepaid Cards

Tenants complained of a reduction in building-wide services. Landlord had changed the laundry machines in the building, from coin operation to operation by prepaid cards that tenants could buy using a credit or debit card. The DRA ruled for tenants and ordered landlord to restore coin-operated machines. Landlord appealed, arguing that no tenants had complained that they didn't have a debit or credit card. The DHCR ruled against landlord. Not every tenant will have a credit or debit card to purchase a laundry card. And forcing tenants to use credit or debit cards for this service could make tenants liable for interest finance charges and indirectly increase the cost of using the machines. The DHCR didn't have to ask whether tenants had debit or credit cards. The failure to offer a cash option to purchase laundry services constituted a decrease in service.

Wender/ROC 79 LLC: DHCR Adm. Rev. Dckt. Nos. TD410035RT & TD410061RO (3/23/06) [3-pg. doc.]