Overcharge Was Based on DHCR Rent Freeze and Court-Ordered Rent Abatement

A Mount Vernon tenant complained to the DHCR of rent overcharge in 2022. Tenant also complained that landlord didn't renew his lease. The DRA ruled for tenant. Based on a prior DHCR rent reduction order, tenant's rent was frozen to a collectible rent of $1,176. A city court also had awarded tenant a 20 percent monthly rent abatement starting March 1, 2023, until all housing repairs were made. So the DRA further reduced tenant's monthly rent to $936.47. The total overcharge, including triple damages, was $17,563, after deducting some rent arrears.

Landlord appealed and lost. Landlord claimed that the court incorrectly set tenant's legal rent amount based on an incorrect DHCR registration. But the DHCR had no authority to correct a possible error in the court's decision. Landlord could seek a change to the court's decision only by appealing that order directly. Landlord also failed to rebut the presumption of willful rent overcharge.

Mubrook Realty, LLC: DHCR Adm. Rev. Docket No. MV910006RO (2/27/25)[3-pg. document]