Tenants in a rent overcharge class action moved to amend their complaint to add a claim that legal regulated rents and resulting overcharges should be calculated using the default formula under RSC § 2522.6(b)(3). The Appellate Division reversed Supreme Court's denial of the amendment, finding the proposed claim not palpably insufficient, and citing a DHCR determination in a similar case as support. The court also clarified that appellate courts are not bound by the law of the case doctrine as applied at the trial court level.
Rent Overcharge
Rent Stabilized
Appellate Division, Second Department
Kings County (Brooklyn)
2024-13192
2026 NY Slip Op 04748
Nichole Fabo et al.
89 Hicks St., LLC
Iannacci, Angela G., J.P.; Ford, William G.; Ventura, Lourdes M.; Quirk, Susan
2026-07-29
Post-Answer Motion by Tenant
Reversed for Tenant
Tenant Substantially Won
Tenants in a rent overcharge class action moved to amend their complaint to add a claim that legal regulated rents and resulting overcharges should be calculated using the default formula under RSC § 2522.6(b)(3). The Appellate Division reversed Supreme Court's denial of the amendment, finding the proposed claim not palpably insufficient, and citing a DHCR determination in a similar case as support. The court also clarified that appellate courts are not bound by the law of the case doctrine as applied at the trial court level.
Rent Overcharge Class Action; Default Formula for Rent Overcharge Calculations Under RSC § 2522.6(b)(3); Tenants' Motion to Amend Complaint Under CPLR 3025(b) Granted; Appellate Courts not Bound by Law of the Case Doctrine
"Fabo v. 89 Hicks St., LLC" (2026). All Decisions. 2344.
https://ir.lawnet.fordham.edu/housing_court_all/2344
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