Triple Damages Applied to Full Overcharge Resulting from Post-HSTPA Complaint

LVT Number: #32751

Rent-stabilized tenant complained to the DHCR after HSTPA took effect, claiming rent overcharge based on a prior rent reduction order. The DRA ruled for tenant and ordered landlord to refund $98,860, including triple damages and interest. Landlord appealed and won in part. Landlord pointed out that it had made some refund to tenant before the DRA ruled on the complaint.

Rent-stabilized tenant complained to the DHCR after HSTPA took effect, claiming rent overcharge based on a prior rent reduction order. The DRA ruled for tenant and ordered landlord to refund $98,860, including triple damages and interest. Landlord appealed and won in part. Landlord pointed out that it had made some refund to tenant before the DRA ruled on the complaint. Landlord also argued that triple damages weren't warranted because of the voluntary refund, that it was unaware of the 1988 rent reduction order, and that services were restored long before tenant filed her overcharge complaint. But tenant's complaint was filed after HSTPA took effect and landlord's actions no longer rebutted the presumption of willful overcharge. Landlord did show that it had already refunded $52,000 to tenant. So the DRA's order was modified to reflect that only $46,900 was due to tenant now. 

Jamaica Woods Co., LLC: DHCR Adm. Rev. Docket No. KW110004RO (7/10/23)[3-pg. document]

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