Triple Damages Awarded for Willful Overcharge

LVT Number: 12329

Tenant complained of a rent overcharge. The DHCR ruled for tenant and awarded triple damages based on its finding that the overcharge was willful. Landlord appealed, claiming that the DHCR's ruling was arbitrary and capricious. The court and appeals court ruled against landlord. Once the DHCR found there was an overcharge, landlord had to prove that the overcharge wasn't willful. Landlord didn't do so, and so the DHCR properly awarded triple damages.

Tenant complained of a rent overcharge. The DHCR ruled for tenant and awarded triple damages based on its finding that the overcharge was willful. Landlord appealed, claiming that the DHCR's ruling was arbitrary and capricious. The court and appeals court ruled against landlord. Once the DHCR found there was an overcharge, landlord had to prove that the overcharge wasn't willful. Landlord didn't do so, and so the DHCR properly awarded triple damages.

Kim v. DHCR: NYLJ, p. 35, col. 2 (4/23/98) (App. Div. 2 Dept.; Bracken, JP, O'Brien, Santucci, Joy, JJ)