FE 210336 RO
                                  STATE OF NEW YORK
                      DIVISION OF HOUSING AND COMMUNITY RENEWAL
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                               JAMAICA, NEW YORK 11433

          ------------------------------------X 
          IN THE MATTER OF THE ADMINISTRATIVE    ADMINISTRATIVE REVIEW
          APPEAL OF                              DOCKET NO.: FE 210336 RO

                                                 DISTRICT RENT OFFICE
               Anna Rosenblum,                   DOCKET NO.: ZCG 210286 R

                                                 TENANT:   Josseth    Perry
                                     PETITIONER    
          ------------------------------------X 


                   ORDER AND OPINION GRANTING IN PART PETITION FOR
                               ADMINISTRATIVE REVIEW 
                                          

          On  May  29,  1991,  the  above-named  petitioner-owner  filed  a
          Petition for Administrative Review against  an  order  issued  on
          April 24, 1991, by  the  Rent  Administrator,  92-31  Union  Hall
          Street, Jamaica, New York, concerning the housing  accommodations
          known as 975 Washington Avenue,  Brooklyn,  New  York,  Apartment
          No. 2A, wherein the Rent Administrator determined that the  owner
          had overcharged the tenant.

          The Commissioner has examined all of the evidence in  the  record
          and has carefully considered that portion of the record  relevant
          to the issue raised in the administrative appeal.  

          The tenant commenced this proceeding on July 2, 1988 by filing  a
          complaint of rent overcharge.
               
          In response to the tenant's  complaint,  the  owner  stated  that
          although it had challenged the earlier issued  Order  Number  CDR
          24,921 which had established the  lawful  rent,  the  rent  being
          collected was based upon the rent established in  the  challenged
          order.

          On  August  15,  1989,  while  this  matter  was   pending,   the
          Commissioner determined the owner's appeal of  the  prior  order,
          granting  the  appeal  in   part   and   modifying   the   lawful
          stabilization rent.   Subsequently, the owner  advised  that  she
          had adjusted the rent established in the Commissioner's order  of
          August 15, 1989 and that she had tendered a refund.


          In  the  order  issued  on  April  24,  1991,  the  Administrator
          determined that the tenant had been overcharged in the amount  of
          $2,415.31 inclusive of interest on the  overcharge  covering  the
          period March 1, 1985 through October 23, 1986 and treble  damages
          on the overcharge occurring thereafter.

          In requesting that the order be reversed, the owner contends 
          1) that all overcharge were refunded; 2) that  the  Administrator






          FE 210336 RO
          erred in applying the Collingwood  Rule  (the  collection  by  an
          owner  of  rent  in  a  lesser  amount  than  would  be   legally
          permissible results in a permanent waiver of the greater  amount)
          to roll back the legal rent because the rent collected  had  been
          ordered in the appealed order; 3) that the imposition  of  treble
          damages was unwarranted pursuant to Policy Statement 89-2 because 
          the owner had refunded all overcharges; 4) since  the  owner  had
          submitted rent records from 1980, no overcharge should have  been
          found in the previous proceeding; therefore, the  owner  requests
          that the prior docket be reopened and reconsidered in  light   of
          the determination in JRD Management Inc. v Eimicke 539  N.Y.S  2d
          667 (app. Div. 2d Dept, 1989).

          In response, the tenant  requests  that  the  owner's  appeal  be
          denied and that the overcharge calculation be updated.

          The Commissioner is of the opinion that this petition  should  be
          granted in part.

          Application of the Collingwood Rule entails  a  voluntary  waiver
          of a higher rent.  Such willingness  cannot  be  implied  in  the
          instant case.  The rent from May 1, 1987 through   September  30,
          1989 was collected in compliance with Order Number  K-3105563  R,
          CDR 24,921 which was not modified until  August  15,  1989  under
          Docket No. AK 210241 RO.  The owner  was  constrained  to  comply
          with the rent  established under the prior order until the  legal
          rent was modified by the order granting the appeal in part.

          Accordingly, the Administrator erred in  rolling  back  the  rent
          from $302.44 to $256.16 under the  Collingwood  Rule.   Restoring
          that rent, the Commissioner finds no overcharge occurred  in  the
          period beginning March 1, 1989  through  February  28,  1991  and
          therefore eliminates the treble damages penalty attached thereto. 
          Resolution of whether the remaining  treble  damage  penalty  was
          properly imposed requires examination of the refund  tendered  by
          the owner to determine if the owner had fully complied  with  the
          requirements enunciated in Policy Statement 89-2.

          Review of the record reveals that the owner reconciled the refund 
          due to the tenant with rent arrears, caused by the  ordered  rent
          modification and tendered  $487.15  in  full  settlement  of  the
          actual overcharges of $299.69 in this proceeding and  overcharges
          of $972.70 as determined in order number AK 210241 RO.

          Accordingly, the Commissioner finds that treble damages  are  not
          warranted.

          Consistent with the Commissioner's prior order and opinion issued 
          on August 15, 1989 under docket no. AK 210241 RO  which  set  the
          legal regulated rent  at  $229.09  effective  March  1,  1982  to
          February 28, 1985 and in accordance  with  appropriate  guideline
          increases since then, the Commissioner establishes the legal rent 
          at the amount collected by the owner  from  October  1,  1989  to
          February 28, 1991, $322.76.

          The Commissioner's order under Docket Number AK 210241 RO  was  a
          final determination for which judicial review was not sought.  It 
          cannot now be reopened.  Accordingly, that part  of  the  owner's
          appeal which requested  reopening  in  accordance  with  the  JRD






          FE 210336 RO
          determination is denied.        

          The  record  contains  no  evidence   of   further   overcharges,
          therefore, the tenant's request for an updating is denied.

          THEREFORE, in accordance with  the  Rent  Stabilization  Law  and
          Code, it is

          ORDERED, that this petition be, and the same hereby  is,  granted
          in part, and the Rent Administrator's  order  be,  and  the  same
          hereby is, modified in accordance with this order and opinion.

          ISSUED:



                                                                      
                                          JOSEPH A. D'AGOSTA
                                          Acting Deputy Commissioner




                     































    

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