Summary
finding that lower court properly held that calculation of the amount of rent overcharge should be made by reference to a 25–year–old rent reduction order
Summary of this case from Ollie Assocs. LLC v. DevisOpinion
No. 181 SSM 21.
Decided June 7, 2011.
APPEAL, by permission of the Appellate Division of the Supreme Court in the First Judicial Department, from an order of that Court, entered July 27, 2010. The Appellate Division modified, on the law, so much of an order of the Supreme Court, New York County (O. Peter Sherwood, J.; op 24 Misc 3d 1231[A], 2009 NY Slip Op 51684[U]), as had denied a motion by defendant for summary judgment dismissing the complaint upon a finding, among other things, that the legal base rent for purposes of calculating the rent overcharge was the rent charged on August 1, 1982. The modification consisted of vacating the base rent finding and substituting therefor a finding that the base rent was the rent charged four years before the filing of the overcharge complaint. The Appellate Division affirmed the order as modified. The following question was certified by the Appellate Division: "Was the decision and order of this Court, which modified the order of the Supreme Court, properly made?"
Plaintiff commenced an action for rent overcharges paid under leases subject to the Rent Stabilization Law of 1969. The Appellate Division concluded that the lower courts erred in holding that rent reduction orders issued prior to the four-year statute of limitations of CPLR 213-a, and remaining in effect during the limitations period, should be used to determine the base rent for the purposes of calculating the amount of the overcharge.
Scott v Rockaway Pratt, LLC, 77 AD3d 60, reversed.
Legal Aid Society, Brooklyn ( Stephen Myers, Patrick J. Langhenry and Steven Banks of counsel), for appellant.
Sidrane Schwartz-Sidrane, LLP, Hewlett ( Steven D. Sidrane of counsel), for respondent.
Concur: Chief Judge LIPPMAN and Judges CIPARICK, GRAFFEO, READ, SMITH, PIGOTT and JONES.
OPINION OF THE COURT
On review of submissions pursuant to section 500.11 of the Rules of the Court of Appeals ( 22 NYCRR 500.11), order reversed, with costs, order of Supreme Court, New York County, reinstated, and certified question answered in the negative. Supreme Court ( 24 Misc 3d 1231[A], 2009 NY Slip Op 51684[U]) properly held that calculation of the amount of rent overcharge should be made by reference to a 1982 rent reduction order, which remained in effect during the four-year limitations period ( see Matter of Cintron v Calogero, 15 NY3d 347).