Triple Damages Revoked

(Decision submitted by James R. Marino of the Manhattan law firm of Kucker Kraus & Bruh, attorneys for the landlord.) Tenant complained of a rent overcharge. The DRA ruled for tenant and found a willful overcharge. Landlord was ordered to pay tenant triple damages. Landlord appealed. The DHCR ruled for landlord. Landlord hadn't filed an RR-1 form registering the initial April 1, 1984, rent. But that rent was set by HPD under a building financing program. So even if tenant had objected to the initial rent registration, the 1984 rent was lawful. A subsequent overcharge resulted only from landlord's failure to register a preferential rent charged to prior tenant. Landlord therefore waived its right to charge a new rent, calculated on a higher base rent, to tenant. The DHCR revoked the triple damages.

Foster Apartment Group: DHCR Adm. Rev. Dckt. No. HJ210056RO (3/18/96) [5-page document]