FE 410204 RO
                                  STATE OF NEW YORK
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                              JAMAICA, NEW YORK   11433

          ----------------------------------X    S.J.R. 6513
          APPEAL OF                              DOCKET NO.: FE 410204 RO

                       DYCKMAN STREET
                       115 ASSOCIATES,           DRO DOCKET NO.: L-004098 R
                                                 TENANT: ARCENIA HERALDO



          On May 17, 1991, the above-named owner filed a Petition for 
          Administrative Review against an order issued on May 14, 1991, by 
          the Rent Administrator in Jamaica, concerning the housing 
          accommodations known as 1 Post Avenue, New York, New York, 
          Apartment 42, wherein the Rent Administrator determined that the 
          owner had overcharged the tenant.

          This proceeding originated with the tenant's filing of an 
          overcharge complaint in September 1985.  While the Administrator 
          was processing same the owner submitted to him, inter alia, 
          photocopies of (1) An Apartment Registration dated July 9, 1984, 
          indicating that the subject apartment, occupied by "Argeniz 
          Herado," was rented for $450.00 per month on April 1, 1984, and
          (2) a lease to the tenant for that apartment, commencing July 20, 

          The ensuing order, here appealed, states inter alia: that the 
          evidence failed to establish that the subject accommodations were 
          initially registered as required by the Rent Stabilization Code; 
          that such failure results in a proceeding being handled as a timely 
          Tenant Challenge to the Initial Registration; that the legal rent 
          herein, for the purpose of determining an overcharge, is deemed to 
          be that charged on April 1, 1980; that the owner was obliged to 
          submit a complete rental history starting with that date; that the 
          owner failed to submit the necessary documentation; and that the 
          legal stabilized rent has therefore been established by a "default" 
          rent computation.  In an accompanying calculation chart 
          incorporated in the order, the lawful rent is "frozen" at its base 
          date level, with no increase allowed whatsoever and a total rent 
          overcharge of $52,750.63 found.

          After filing the instant petition against that order, the owner 
          filed an Article 78 Petition with the Supreme Court, under the 

          FE 410204 RO

          Civil Practice Law and Rules, requesting that the "deemed denial" 
          of its petition be annulled.  Pursuant to the Article-78 petition, 
          this matter has now been remitted to the DHCR for expeditious 
          determination of the administrative appeal.

          In this petition, the owner alleges in substance that all requested 
          information was submitted, and that increases allowed under orders 
          of the Rent Guidelines Board should have been included in the 
          Administrator's computations.  The tenant responds that the record 
          shows an undeniable overcharge, but that she can if necessary 
          submit all of her rent receipts and resubmit all her leases.

          The Commissioner, having carefully considered the relevant portions 
          of the record, is of the opinion that the petition should be 

          The crux of the Administrator's order is the owner's stated failure 
          to provide proof of initial registration.  Records of this Division 
          show, however, that a 1984 Registration form for the subject 
          apartment, listing "Argeniz Herado" as the tenant, was filed.  
          Because of the similarity between that name and the tenant's, 
          because the letters z (as in "Argeniz") and a (in Arcenia) are 
          adjacent on typing keyboards, because the rent and the apartment 
          number on the registration form agree with those in the 
          corresponding lease, and because of the owner's very submission of 
          that form as pertaining to the subject accommodations, the 
          Commissioner has no difficulty in determining that the pertinent, 
          filed 1984 Registration is in the records of the Division.

          Further pursuant to Sections 2522.3(c)(2), 2526.1(a)(2)(ii), and 
          2528.2(d) of the Rent Stabilization Code, a tenant must file a 
          challenge to the initial apartment registration (overcharge 
          complaint or fair market rent appeal) within 90 days of service of 
          the registration form on the tenant by certified mail.  Section 
          2528.2(d) further provides that for registrations served prior to 
          the effective date of that section, any method of service permitted 
          by the DHCR at the time of service shall be deemed to have the same 
          effect as service by certified mailing.

          The Division's instructions for service of the initial apartment 
          registration on the tenant by the owner provided for hand delivery 
          of the envelope with signed receipt, use of the Post Office 
          "Carrier Route Pre-Sort" Service through a bonded mailing house as 
          evidenced by the Post Office date-certification of the number of 
          pieces received from the mailing house for each building and the 
          mailing house addressee list or regular first class mail documented 
          by Post Office form number P.O. 3877.

          DHCR instructions further provided that the proof(s) of receipt, 
          properly signed and dated (by the tenant, post office, and the 
          mailing house, as appropriate) would be considered adequate by the 
          DHCR to establish the tenant's 90 day challenge period, which would 

          FE 410204 RO

          begin on the date of receipt.

          To document the date of mailing of the apartment registration to 
          the tenant, the owner submitted the R.S.A. mailing house addressee 
          list and the postal receipt for the August 13, 1984 mailing.  The 
          Commissioner finds that the documentation conforms to DHCR service 
          requirements and proves the mailing of the apartment registration 
          to the tenant on August 13, 1984.

          The tenant's complaint was date-stamped received by the DHCR on 
          September 9, 1985, more than 12 months following service of the 
          initial apartment registration on the tenant on August 13, 1984.  
          The Commissioner therefore finds that the tenant failed to file a 
          timely challenge to the April 1, 1984 rent.  Accordingly, the April 
          1, 1984 registered rent must be considered as the initial legal 
          registered rent for the subject apartment.

          In consequence of that registration, there is no reason to employ 
          the aforementioned April 1, 1980, as the base for determining the 
          initial legal rent herein, and no reason to "default" the owner for 
          failing to supply all leases from that date.  The initial legal 
          rent becomes that in effect on April 1, 1984, and subsequent 
          increases based thereon are all seen to have been proper, so that 
          there has been no overcharge herein.

          If the owner has already complied with the Rent Administrator's 
          order and there are arrears due to the owner as a result of the 
          instant determination, the tenant is permitted to pay off the 
          arrears in 24 equal monthly installments.  Should the tenant vacate 
          after the issuance of this order or have already vacated, said 
          arrears shall be payable immediately.

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

          ORDERED, that this petition be, and the same hereby is, granted, 
          and that the Rent Administrator's order be, and the same hereby is, 


                                                  JOSEPH A. D'AGOSTA
                                                  Acting Deputy Commissioner


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