LLC Members Not Liable for Refund

LVT Number: 16205

Landlord sued to evict rent-stabilized tenant for nonpayment of rent. Tenant claimed that landlord collected a rent overcharge. Tenant argued that both the LLC and its individual members were responsible for refunding the overcharge. The court ruled for tenant in part. Landlord LLC had willfully overcharged tenant and was ordered to refund over $87,000, including triple damages. But the individual LLC members weren't liable for the refund.

Landlord sued to evict rent-stabilized tenant for nonpayment of rent. Tenant claimed that landlord collected a rent overcharge. Tenant argued that both the LLC and its individual members were responsible for refunding the overcharge. The court ruled for tenant in part. Landlord LLC had willfully overcharged tenant and was ordered to refund over $87,000, including triple damages. But the individual LLC members weren't liable for the refund.

Westmoreland Assocs. LLC v. Kispert: NYLJ, 10/23/02, p. 25, col. 5 (Civ. Ct. Queens; Parisi-McGowan, J)