No MCR Ruling While Appeal of Pass-on Rights Pending

Rent-controlled tenant's granddaughter claimed that she was successor tenant and asked the DHCR to determine the maximum collectible rent (MCR) that she was entitled to pay. The DRA ruled that the MCR was $899 per month effective Jan. 1, 2007. Landlord appealed. In December 2005, the housing court had ruled that tenant had pass-on rights to her grandmother's apartment. But landlord had advised the DRA that the housing court's decision was under appeal. The DHCR ruled for landlord. Because the court had already ruled on the succession issue and that decision was under appeal, the DRA had no authority to rule that tenant's granddaughter was rent controlled and to set the MCR. If the court's decision is upheld on appeal, landlord and tenant can refer to the DRA's chart to calculate the legal rent. If they can't agree, tenant must file a new complaint.

Morton Street Associates: DHCR Adm. Rev. Docket No. VG420027RO (10/24/07) [2-pg. doc.]