Pending Overcharge Case Reopened to Apply Six-Year Statute of Limitations

LVT Number: #30591

Unregulated tenant sued landlord, claiming that his apartment had been illegally deregulated, that he was rent stabilized, and that he had been overcharged. The court ruled for tenant, finding that he was entitled to a rent-stabilized lease and that there was an overcharge. Landlord appealed, and the appeals court ruled in July 2019 that tenant hadn't proved there was an overcharge. The appeals court applied a four-year statute of limitations to make its decision.

Unregulated tenant sued landlord, claiming that his apartment had been illegally deregulated, that he was rent stabilized, and that he had been overcharged. The court ruled for tenant, finding that he was entitled to a rent-stabilized lease and that there was an overcharge. Landlord appealed, and the appeals court ruled in July 2019 that tenant hadn't proved there was an overcharge. The appeals court applied a four-year statute of limitations to make its decision. The appeals court later recalled its July 2019 ruling, noting that rent overcharge claims were no longer subject to a four-year statute of limitations. The appeals court now ruled that it was appropriate to send the case back to the lower court to establish a methodology for calculating rents and overcharges consistent with the Housing Stability and Tenant Protection Act of 2019 (HSTPA).

Fuentes v. Kwik Realty LLC: 2019 NY Slip Op 08643, Index No. 9163, 450153/14 (App. Div. 1 Dept.; 12/3/19; Sweeny, JP, Gische, Webber, Moulton, JJ)