Rent Stabilization ppt Flashcards
Rent Stabilization
NYC Rent Stabilization Law (NYC Admin. Code 26-501 et seq.); rent stabilization administered by ____, which promulgated the Rent Stabilization Code (“RSC;” 9 NYCRR 2520 et seq.); regulations interpreting the RSL
NYS Department of Housing and Community Renewal (DHCR)
What apartments are rent stabilized?
- Six or more dwelling units
- Completed before 1974; or, tax-credit program could bring the building within a stabilization scheme
What undoes the rent stabilization exemptions for cooperative/condominiums?
Unit occupied by rent-stabilized tenant living in apartment before building became co-op or condo
If co-op dissolved or foreclosed, all apartments will, once again, become rent-stabilized
What are the rent-stabilization protections?
Limits on rent increases
Guaranteed lease term
Mandatory lease renewals
For-cause evictions
Succession
Guaranteed continuation of services
The initial legal regulated rent is ___.
Landlord is entitled to raise the legal rent by a set percentage upon lease renewal; the increases are set by the ___.
legal rent when an apartment first becomes subject to rent-stabilization
local rent guidelines board
IAIs, or ______, may allow landlord to obtain rent increases to defray costs of the improvements.
The amount of an IAI increase depends on ____, and _____.
Individual Apartment Improvements
when the increase occurred
how many units are in the building
As of 2019, landlords may only claim a total IAI cost of _____, may only obtain ____ IAI increases in 15 years, and the increase lasts ____.
$15,000
Three
30 years
Investigating IAIs
Considerations?
- Was the claimed work really done?
- Was the work an improvement?
- Who did the work?
- Was the apartment vacant at the time of the work?
Investigating IAIs
- Was the claimed work really done?
- is there a lack of ____.
- Was the work an improvement?
- IAI work must be an ____, not a _____ - Who did the work?
- Landlords not entitled to defray IAI costs where work performed _____
- Did someone ____ do the alleged work?
- Was the apartment vacant at the time of the work?
- If there was a tenant in the apartment, landlord must show _____ to IAI
- contemporaneous documentation
- improvement; necessary repair
performed by employee within scope of employment–only labor costs
associated with landlord
written consent
Major Capital Improvements (MCIs)
Increases for _____.
major capital improvements to common areas; require DCHR order, allows tenants to respond
For all leases in effect on or after June 14, 2019, preferential rents are permanent for ___ ; landlord may charge full legal rent after vacancy
duration of tenancy
Rent Increase Exemptions:
Programs which freeze tenant’s rent; city compensates landlord for any increases through tax credits
- _______ (SCRIE), 62 +
- ______ (DRIE), tenants with broad range of disabilities
Senior Citizen Rent Increase Exemption
Disability Rent Increase Exemption
Rent Registration
Landlords required to ______ with DCHR.
Failure to register or intentionally falsify rent registry results in _____ until proper compliance
Tenant may request rent registration histories from DCHR
- annually register rent charged for every rent-regulated apartment
- freeze at last registered rent
RSL requires lease renewals ____.
Landlord’s failure to renew: old lease continues until _____ is offered; no rent increases until _____.
Tenant’s failure to respond to renewal offer, landlord may commence _____:
- tenant not required to sign if _____ or changes to _____.
one or two year terms
new lease offered
new lease offered
holdover proceeding
unlawful rent
material lease terms
Landlord may only refuse to renew rent-stabilized tenant if:
_______
; or
- totality of circumstances test
owner intends, ______, to _______.
non-primary residence
in good faith
to use apartment for personal use or use of immediate family
Continuation of Services
Landlords must renew on ______, unless permission to modify granted by DHCR
Failure to _____ may result in Rent Reduction Order, which _______.
- same terms and conditions
maintain services
lowers and freezes collectible rent until DCHR restores services
Examples of grounds for “for-cause” termination of rent-stabilized lease:
- Nonpayment;
- Breach of substantial obligation
- Nuisance
- Illegal occupancy: apt can’t be occupied
- Illegal Use
- refusal of access/refusal to respond to lease renewal
Who has jurisdiction to enforce most provisions of RSL?
- _______;
- Tenant has ______;
DCHR has ____over:
- ______;
- ______;
- ______.
Courts and DCHR have concurrent jurisdiction
exclusive choice of forum
exclusive jurisdiction over
- Fair market rent appeal
- Rent reduction/restoration order
- MCIs
Evasion and Illusory Tenancies
Landlords, occasionally tenants, evade rent-stabilization protections through an illusory tenant; can also refer to registering fake tenant to claim undeserved rent increase; subtenant of illusory prime tenant considered ___ tenant, entitled to ___ and to ____.
subtenant
actual rent-stabilized
rent-stabilized lease
evict illusory tenant
Rent overcharges:
- collection of rent in ____;
- landlord required to ___;
- _____ of overcharge results in _____ for landlord; overcharge ______
- each collection of excess rent (i.e. each month) is a _____.
- excess of legal regulated rent
- refund, plus interest
-willful collection
- treble penalties
- presumed willful
- separate overcharge
HSTPA Part F amended RSL to allow more vigorous overcharge enforcement:
- allows consideration of ______;
- sets forth clearer method of calculating rents;
- landlords voluntary destruction of records more than four years old ______;
- _____for overcharges and treble penalties.
- any relevant evidence
- does not limit review of older evidence
- six year statute of limitations
Independent Investigation Tips
- ____ for big projects where landlord claims improvements;
- ______—you can search landlords—repeat players—glean facts, statements, positions
Work permits
NYSCEF
Landlords almost never reply to counterclaims; if, subsequently, they raise the defense, you can site to the ______ and explain that their ______.
- CPLR
- general denial resulted in a waiver of all affirmative defenses
Section 3018. Responsive pleadings.
Many times, landlord will state apartment is rent stabilized and has been duly registered since 1965, qual cosa cosi. You will want to admit that the apartment is rent stabilized but ____ or state ______…to preserve this issue, if it should arise?
Be ready to respond to claims for use and occupancy in holdover petitions.
?? A lot of times demand for rent owed prior to the proceeding? Why is this not proper?
deny claim of due registration
a lack of knowledge sufficient to form a belief
