Case Type

Non-payment

Housing Type

Rent Stabilized

Court

Civil Court of the City of New York

County

Kings County (Brooklyn)

L&T / Index / Case / Docket / Clerk's Number

LT-318668-25/KI

Slip Opinion Number

2026 NY Slip Op 26051

Petitioner

650 Crown Equities, LLC

Respondent

Sacha A. Sealey

Judge

Bacdayan, Karen, M.

Decision/Order Date

2026-04-10

Posture

Post-answer Motion by Tenant

Disposition

Other

Winner

Landlord Substantially Won

Synopsis

In this nonpayment proceeding, the tenant moved to amend her answer to assert a fraudulent rent overcharge claim, overcharge damages, and discovery, citing a significant pre-HSTPA rent increase. The court denied the tenant's motion for a fraudulent overcharge claim and overcharge damages. However, it granted discovery to review the full rent history to determine a reliable basis for the 2007 rent increase, which would *prospectively* set the legal regulated rent. The court held that post-HSTPA overcharge damages for nonfraudulent pre-HSTPA conduct cannot be awarded if they rely on new, unconstitutionally retroactive calculation methods. Other proposed defenses were granted.

Keywords

All Available Rent History Shall be Considered When Setting Legal Regulated Rent

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