What to do? Here’s more…Do this.

December 2, 2014

I spoke with Maria Hernandez, of Newark’s Rent Control Office this morning, and she agrees with me, and will propose that the first hearing of a Colonnade tenant (not scheduled until January) should be used as a precedent, so that every Colonnade tenant who received an illegal 4% increase (which is every tenant who received a rent increase, period) will not be faced with that documentation process, the hearing process, and the subsequent decision (because the decision should be in favor of the CPI-U – the law).

The Colonnade landlord informed Maria Hernandez months ago that would not comply with the RCO and would sue the City.  They have not contacted her since their suit was dismissed by Judge Funari on Nov. 21.

Again, per NJTO, landlords cannot legally request or receive illegal rent increases.

Our obligation and right as tenants is to pay the legal increase allowed.  Maria Hernandez emphatically stated that tenants should pay the legal, CPI-U based rent increase and accompany the rent payment with an explanatory letter.  That letter’s language is consistent with NJTO’s recommendation.  Please re-read “What to do if your rent increase is 4%.”  That post has minor updates.

Tenants who have already signed leases agreeing with the illegal 4% rent increase should notify the Rent Control Office. They should send a  letter to the landlord and the Rent Control Office noting that the rent increase was illegal and they will adjust their rent to reflect the CPI-U accordingly.  Send your letters via Regular and Certified Mail to the landlord, and you can email the Rent Control Office. Tenants should be credited with any overages they’ve paid.

Once it’s determined whether or not every Colonnade tenant receiving an illegal rent will be required to file the Rent Adjustment Petition, we will notify you.

December 1, 2014

By now, you should be aware that Judge Funari dismissed the landlords’ suit against the City of Newark regarding the Rent Control Ordinance.  All landlords must comply with the Rent Control Ordinance which became effective on June 20, 2014 and sets your rent increase to the CPI-U.

After a conversation with Ms. Mosley this morning, it appears that the Colonnade owner will indeed comply with the Rent Control Ordinance and Kettler Management has begun to calculate the CPI-U increases, and rent adjustments (credits) for tenants issued lease renewals since June 20.

 The NJTO advice below is still relevant, and accurate, but are the processes logical in this instance where every tenant with a lease renewal received an illegal increase?  There should be a more effective and immediate process to handle all of the affected increases for an entire building, instead of treating each lease renewal as an isolated, random occurrence, not associated with any other lease renewal in a rent controlled building.

Contact the CRC with any questions.  We will include this info in printed format shortly.