Latest Case This Week: Regina Metropolitan Co. v. New York State Division of Housing & Community Renewal (N.Y.)

COVID-19 Lays Bare the Cruelty of Neoliberalism

JOSEPH MARGULIES

Cornell law professor Joseph Margulies observes how the COVID-19 pandemic is exposing the cruel folly of neoliberal governance. Margulies points out that neoliberalism—the idea that social problems are better solved by the private sector than by government—has brought millions of Americans to the edge of financial and physical ruin, and COVID-19 will push them over. He argues that now more than ever, we must be communitarians rather than individualists.

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Regina Metropolitan Co. v. New York State Division of Housing & Community Renewal

Court: New York Court of Appeals

Citation: 2020 NY Slip Op 02127

Opinion Date: April 2, 2020

Judge: Per Curiam

Areas of Law: Landlord - Tenant, Real Estate & Property Law

In these four appeals presenting a common issue under the Rent Stabilization Law (RSL) the Court of Appeals held that the new overcharge calculation provisions set forth in part F, section 7 of the Housing Stability and Tenant Protection Act of 2019 (HSTPA) does not apply to these appeals and that these appeals must be resolved under the law in effect at the time the overcharges occurred. Each of these cases involved an apartment that was treated as deregulated consistent with then-prevailing Division of Housing and Community Renewal (DHCR) regulations before the Court of Appeals rejected that guidance in Roberts v. Tishman Speyer Properties, L.P., 13 NY3d 270 (2009). After the Court of Appeals decided Roberts, the tenants commenced overcharge claims under the RSL. At issue in these cases - sent to the Court of Appeals by leave of the Appellate Division before enactment of the HSTPA - was how to calculate the legal regulated rent in order to determine whether a recoverable overcharge occurred. The Court of Appeals held (1) the overcharge calculation and treble damages provision in part F of the HSTPA may not be applied retroactively; and (2) therefore, these claims must be resolved pursuant to the law in effect when the purported overcharges occurred.