Rent-Stabilized Tenant Who Overcharged Subtenant Must Pay Triple Damages

LVT Number: #32130

The former subtenant of a rent-stabilized apartment sued tenant for rent overcharge. The tenant had charged subtenant $1,500 per month although tenant's rent was $1,086. The DRA ruled for subtenant and ordered tenant to refund $34,466, including triple damages. Tenant appealed and lost. RSC Section 2525.6 prohibits profiteering by rent-stabilized tenants, and tenant overcharged the subtenant. The law prohibited tenant from collecting more than the legal regulated rent plus up to a 10% percent surcharge if the apartment was sublet fully furnished. 

The former subtenant of a rent-stabilized apartment sued tenant for rent overcharge. The tenant had charged subtenant $1,500 per month although tenant's rent was $1,086. The DRA ruled for subtenant and ordered tenant to refund $34,466, including triple damages. Tenant appealed and lost. RSC Section 2525.6 prohibits profiteering by rent-stabilized tenants, and tenant overcharged the subtenant. The law prohibited tenant from collecting more than the legal regulated rent plus up to a 10% percent surcharge if the apartment was sublet fully furnished. 

Lawrence: DHCR Adm. Rev. Docket No. KO610022RO (6/7/22)[2-pg. document]

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