Rent Stabilization Law helps tenants collect penalties for rent overcharges

The penalty for a rent overcharge is the amount a landlord collected above the legal regulated rent, plus either interest or triple the "damages."

There are two ways to collect it:

• Offset Method: The tenant may deduct (take out) up to 20% of the penalty from the monthly rent until the penalty is completely offset.

• Judgment Method: The filing of a judgment by a court. If the owner does not obey the judgment, and there is a lien against the owner's property, the sheriff can enforce it.  

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Last Reviewed: June 13, 2023