68 A.2d 219 | D.C. | 1949
This case is here on petition to review an order of the Administrator of Rent Control. Petitioner operates the Manchester Apartments which contains 76 units, of which some have single and others double occupancy. The units are furnished and supplied with hotel service. In connection therewith petitioner operates a dining room and furnishes meals to the tenants on a monthly basis. On December 14, 1948, petitioner commenced proceedings before the Administrator for an increase in the maximum rent ceilings under section 4 of the Emergency Rent Act.
The hearing on the petitions was had on February 3, 1949. No report of that hearing is contained in the record but it is apparent from other portions of the record that at the hearing a question was raised as to the Administrator’s authority to control the prices charged for meals. The examiner insisted that such charges were subject to control. During the course of the hearing the landlord and the tenants reached an agreement that room rent would be increased $7.50 per month and meal charges would be increased $2.50 per month. The meal charges had previously been fixed by the Administrator at $30 per month and this amount had been raised by the landlord to $35 without prior approval by the Administrator. The examiner stated that he could not approve the compromise agreement without study, but thereafter issued his findings and recommended order, stating that the parties had agreed to a $7.50 per month increase in rent for each unit and recommending that the rent be so increased. Thus the rent of unit 205 was increased from $45 per month to $52.50. This recommended order enumerated the services to be supplied by the landlord but made no reference to the furnishing of meals or the prices to be charged therefor. The order, dated February 18, was stated to be effective March 1.
After the hearing before the examiner but before issuance of his recommended order petitioner filed application under General Order No. 8 for an increase in meal charges from $35 to $37.50 per month, stating that at the hearing before the examiner the tenants had agreed to a $7.50 increase on the rooms, “per individual,” with a fixed price of $37.50 for meals. On March 14 this application was approved. On the same day the landlord’s attorney wrote the examiner who had presided at the original hearing requesting that the order of March 1 be supplemented to permit a charge of $7.50 per month rent for each additional occupant of any unit, stating that this was in accord with the compromise agreement.
On March 15 the Administrator signed an order setting forth a schedule of maximum rates for each unit on a single and double basis. Thus on unit 205 rates per person were fixed at $52.50 for single occupancy and $30 for double occupancy. The Administrator’s order included in the minimum service standard “service of two (2) meals per day six (6) days per week,” and fixed the meal rate at $37.50 per person per month. On March 17 copy of this order and schedule was sent by the Administrator’s office to the landlord with instructions to follow its provisions.
On April 11 the Administrator sent notice to the landlord and tenants that unless good cause was shown to the contrary pri- or to April 18 the order of March 15 would be set aside and a new order entered.
On April 15 a hearing was had before a staff member. No witnesses were sworn at this hearing but statements were made by counsel for the landlord, by counsel representing some of the tenants and by various tenants. The staff member took the position, practically at the commencement of the hearing, that the order of March 15 was in conflict with the examiner’s recommended order and would have to be revoked. The principal point discussed at the hearing was whether the rent increase of $7.50 per month was applicable per unit or per person. The landlord insisted that the agreement at the original hearing was that each tenant would pay a
The Administrator contends that the order of April 27 was entered under section 7 of the Rent Act
The Administrator further contends that his order of March 15 was void and of no effect ab initio. This argument proceeds on the theory that under section 8 of the Act
The order of April 27 cannot stand. It is apparently based on the hearing of April 15, but that hearing, as stated by the staff member, proceeded on the assumption that if the Administrator’s order of March 15 was not in accord with the examiner’s order of March 1, then the Administrator’s order would necessarily have to be revoked.
Section 9 of the Rent Act
The order of the Rent Administrator of April 27 is reversed.
Code 1940, Supp. VI, § 45 — 1604.
Code 1940, Supp. VI, § 45-1607 (b).
Code 1940, Supp. VI, § 45-1608.
The decision to revoke was apparently reached before the hearing, because the staff member announced early in the hearing, “that order (March 15) simply can’t stand.” And he later announced that the rent that should be collected was the rent stated in the examiner’s order. The authority of the staff member to ignore the unrevoked order of the Administrator is not shown.
Code 1940, Supp. VI, § 45 — 1609(a).