Rent Regulation Reform Act Applied to Pending Fair Market Rent Appeal

LVT Number: 13404

Tenant filed a rent overcharge complaint in 1992. Landlord had registered tenant's apartment every year since 1986 but hadn't filed an initial registration (RR-1) in 1984. The DRA converted tenant's complaint to a fair market rent appeal because no RR-1 had been filed. The DRA ruled for tenant and reduced his rent from $1,225 to $240. Landlord appealed in 1997, and the DHCR ruled for landlord in 1998. Changes to the rent stabilization law made by the Rent Regulation Reform Act (RRRA) of 1997 provided that any rent registration challenge must be made within four years.

Tenant filed a rent overcharge complaint in 1992. Landlord had registered tenant's apartment every year since 1986 but hadn't filed an initial registration (RR-1) in 1984. The DRA converted tenant's complaint to a fair market rent appeal because no RR-1 had been filed. The DRA ruled for tenant and reduced his rent from $1,225 to $240. Landlord appealed in 1997, and the DHCR ruled for landlord in 1998. Changes to the rent stabilization law made by the Rent Regulation Reform Act (RRRA) of 1997 provided that any rent registration challenge must be made within four years. The apartment was registered in 1988, four years before tenant filed his complaint, and every year thereafter. Review of these rents showed no rent overcharge. Tenant appealed, claiming that the RRRA's four-year time limit shouldn't apply to fair market rent appeals because landlord never filed an RR-1. The court ruled against tenant. The law, as amended, clearly applies to both fair market rent appeals and rent overcharge complaints. Otherwise the same apartment could have two entirely different legal rents at the same time. The law stated that it applied to pending cases.

Schutt v. DHCR: NYLJ, p. 23, col. 1 (7/28/99) (Sup. Ct. NY; Allen, J)