GC210348RO
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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
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IN THE MATTER OF THE ADMINISTRATIVE : ADMINISTRATIVE REVIEW
APPEAL OF DOCKET NO. GC210348RO
: DRO DOCKET NO. ZBK210366R
ABUNDANCE REALTY TENANTS: SONDRA & STANLEY
BONNOT
PETITIONER :
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ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
On March 27, 1992, the above-named petitioner-owner filed a
Petition for Administrative Review against an order issued on
February 21, 1992, by the Rent Administrator, 92-31 Union Hall
Street, Jamaica, New York, concerning the housing accommodations
known as 3845 Shore Parkway, Brooklyn, New York, Apartment No.6K
wherein the Rent Administrator determined that the owner had
overcharged the tenant.
The issue herein is whether the Rent Administrator's order was
warranted.
The Commissioner has reviewed all of the evidence in the record
and has carefully considered that portion of the record relevant to
the issue raised by the administrative appeal.
This proceeding was originally commenced by the filing on
November 17, 1987 of a rent overcharge complaint by the tenants.
The tenants stated that they had taken occupancy of the subject
apartment on August 1, 1984 pursuant to a two year vacancy lease at
a rent of $541.19. The tenants stated that the believed the lawful
stabilization rent should be under $500.00.
In response to the tenant's complaint, the owner stated in
substance that records provided by the former management company
indicated that the prior tenant of the apartment had paid over
$500.00 and that there was no justification for the tenants'
belief. Subsequent thereto, the owner was requested to explain the
difference between the rent charged and the registered rent. The
owner submitted some leases for previous tenants to explain the
discrepancy between the legal rent registered by the owner and the
rent charged.
In the order here under review, the Administrator established
the legal rent at $455.17 effective August 1, 1990 and determined,
GC210348RO
based on the registration, that the tenant had been overcharged in
the amount of $22,936.59 inclusive of treble damages and interest
from August 1, 1984 through February 29, 1992.
In this appeal, the owner contends that the Administrator's
order should be reversed as the evidence submitted proves that the
initial rent registered was a clerical error.
Although afforded an opportunity to do so, the tenant did not
reply to the petition.
After careful consideration, the Commissioner is of the opinion
that this petition should be denied.
Section 2521.2 0f the Rent Stabilization Code provides in
pertinent part that "The legal regulated rent shall be the initial
legal registered rent first established pursuant to section 2521.1".
Since the rent registered by the owner as the legal rent was not
challenged within 90 days of its registration, such rent was
established as the legal regulated rent. Accordingly, the Rent
Administrator correctly relied on the April1,1984 registered rent
figure. Further, although the owner submitted the first page of
several prior leases, the Commissioner notes that the owner did not
submit any documentation showing the actual rent paid by previous
tenants. The Commissioner finds, after examining the documents
submitted by the owner that the owner has not established that the
registered rent was erroneous. Accordingly, the Commissioner finds
that the Administrator did not err.
The owner is directed to reflect the findings and
determinations made in this order on all future registration
statements, including those for the current year if not already
filed, citing this order as the basis for the change. Registration
statements already on file, however, should not be amended to
reflect the findings and determinations made in this order. The
owner is further directed to adjust subsequent rents to an amount no
greater than that determined by this order plus any lawful
increases.
The Commissioner has determined in this Order and Opinion that
the owner collected overcharges of $22,936.59. This Order may, upon
expiration of the period for seeking review of this Order and
Opinion pursuant to Article Seventy-eight of the Civil Practice Law
and Rules, be filed and enforced as a judgment or not in excess of
twenty percent per month of the overcharge may be offset against any
rent thereafter due the owner. Where the tenant credits the
overcharge, the tenant may add to the overcharge, or where the
tenant files this Order as a judgment, the County Clerk may add to
the overcharge, interest at the rate payable on ajudgment pursuant
to section 5004 of the Civil Practice Law and Rules from the
issuance date of the Rent Administrator's order to the issuance date
of the Commissioner's Order.
THEREFORE, in accordance with the provisions of the Rent
Stabilization Law and Code, it is
ORDERED, that this petition for administrative review be, and
the same hereby is, denied, and, that the order of the Rent
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Administrator be, and the same hereby is, affirmed.
ISSUED
LULA M. ANDERSON
Deputy Commissioner
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