Overcharge Calculation Didn't Consider Rent Reduction Orders

Rent-stabilized tenant complained of a rent overcharge. The DRA ruled for tenant and ordered landlord to refund $23,000, including triple damages and interest. Tenant appealed, claiming that the DRA failed to consider the effect of a rent reduction order in effect for his apartment that was issued more than four years before tenant filed his overcharge complaint. The DHCR ruled for tenant and reopened the case. New York's highest court ruled in Cintron v. Calegaro that a tenant's legal rent must remain frozen as the result of a rent reduction order. If the order was in effect on the base rent date, the frozen rent was the legal rent for purposes of calculating the overcharge.

Bloom: DHCR Adm. Rev. Docket No. XL110022RT (11/15/12) [3-pg. doc.]