Legal Question in Real Estate Law in New York

Illusory sublet overcharge

From 01/11/97 to 01/31/03 I sublet a furn. rent stabilized apt. in NYC.The tenant leased the apt. since 05/76 but didn't live in the apt. during the time I did. He did not let the bldg. owner know of the sublet. I paid a $1,000 deposit when I moved in and $1,000 a month from 01/97 to 12/97 and then $1,200 a month from 01/98 to 10/02.Due to a fire in the apt. in 08/01 the owner of the bldg. found out he didn't live there and evicted him as 01/31/03. His lease expired in 05/02 but I continued to pay rent as usual directly to the tenant up to and including 10/02. He is using the deposit for Novemeber's rent and I may pay him additional rent of $600 a month or until I find another place to live.The legal rent is $688.00.

I am seeking to obtain a refund for the overpayment the tenant charge me. I obtained ''Tenant's Complaint of Rent Overcharge and/or Excess Security Deposit'' (DHCR Form RA-89)form.I also found info stating that I may be entitled to damages against the tenant equal to 3x the overpayment, plus interest. I am interested which would be the best way to obtain a refund for the overcharge. How is the 3x refund accomplished? Is it possible for the tenant to sue me in any way if I pursue this?


Asked on 10/28/02, 4:47 pm

1 Answer from Attorneys
John Friedman Law Office of John K. Friedman

Re: Illusory sublet overcharge

So you illegally sublet an apartment and now you're upset that the tenant overcharged you and you want to sue the tenant for 3x the overcharge (based on a theory of wrongful enrichment)? You must have some big balls as we say here in NYC! Look carefully at the rent stabilization law and be aware that an illegal contract is unenforceable at law (or at equity for that matter since the two are now unified). I believe you will find that the 3x damages are only available to the tenant (you are a sub-tenant) but you will have to verify that by reading the law (hint: a form is not a statute--only the statute is the statute). My suggestion: count your lucky stars the landlord hasn't moved to evict you and the tenant immediately, find a new (legal) place to live and put this behind you. Suing on an illegal sub-let -- I never cease to be amazed at peoples' venality!

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Answered on 10/28/02, 4:58 pm


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