Justia Landlord - Tenant Opinion Summaries
Articles Posted in Consumer Law
Green v. Morgan Properties
Plaintiffs were tenants in apartment complexes owned or managed by the corporate defendants. Plaintiffs' leases included a provision providing that, if attorneys' service were required due to the tenant's failure to pay rent, then the tenant must pay $400 in attorneys' fees if a court appearance was required and $200 if the matter was resolved without a court appearance. The tenant was also required to pay actual attorneys' fees in excess of $400. Eviction actions were brought against each plaintiff for the non-payment of rent. Plaintiffs filed a complaint against the corporate defendants and the individual defendant alleging violations of the Anti-Eviction Act, violations of the Consumer Fraud Act (CFA), and negligence. The issue on appeal to the Supreme Court in this case was the sufficiency of plaintiffs' pleading as it related to claims against corporate and individual defendants for consumer fraud and negligence based on lease provisions that imposed fixed attorneys’ fees on tenants that were unrelated to in-house counsel’s actual fee to evict. Applying the indulgent standard used to review motions for dismissal under Rule 4:6-2(e), the Supreme Court concluded plaintiffs alleged sufficient facts to state causes of action against the corporate defendants for consumer fraud and negligence. Plaintiffs have not, however, alleged sufficient facts to support a consumer fraud or negligence claim against the individual defendant.
View "Green v. Morgan Properties" on Justia Law
Buckeye State Mut. Ins. Co. v. Humlicek
Owners of a duplex insured a building through two concurrently issued, identical policies - one for each unit. A fire damages the entire structure, and Insurer paid the owners' claims under both policies. Insurer then brought this action to determine its subrogation rights against the tenant (Tenant) of one of the duplex units, who was allegedly negligent in starting the fire. Insurer conceded the pursuant to Tri-Par Investments v. Sousa, Tenant was an implied coinsured under the policy covering the unit he lived in. Therefore, Insurer sought to recoup payments made for the damage only to the unit Tenant did not live in. The district court granted Tenant's motion for summary judgment and dismissed the action. The Supreme Court affirmed, holding that the district court did not err in (1) granting Tenant's motion for summary judgment, as the rule in Tri-Par Investments applies to bar subrogation against a duplex tenant as to both sides of the building; (2) ruling that Tenant was a coinsured with Owners under Nebraska law; (3) failing to rule that Insurer was allowed to subrogate against Tenant; and (4) denying Insurer's request for declaratory judgment. View "Buckeye State Mut. Ins. Co. v. Humlicek" on Justia Law
Jackson v. Dackman Co.
Plaintiffs, a minor and her mother, sued Defendants, owners of residential rental properties, for negligence and deceptive practices in violation of the Maryland Consumer Protection Act after the minor suffered brain injuries allegedly resulting from her ingestion of lead-based paint at one of Defendants' properties. Defendants moved for summary judgment, contending that they had complied with the Reduction of Lead Risk in Housing Act by registering their property, and therefore, they were immune from suit under the immunity provisions of the Act. The circuit court granted summary judgment for Defendants, holding (1) the Act's provisions granting immunity were constitutional, and (2) Defendants' registration renewals were timely because they were mailed on December 31. The court of special appeals reversed, holding that Defendants were not entitled to qualified immunity because they did not fully comply with the Act where the renewal of their registration was not received by December 31. The Court of Appeals reversed and remanded with directions to reverse the circuit court, holding that the immunity provisions in the Act were invalid under the Maryland Declaration of Rights because no adequate remedy was substituted for the grant of immunity and the victim was uncompensated for her injuries.View "Jackson v. Dackman Co." on Justia Law
Carter v. AMC, LLC
The tenant appealed an eviction order. The appeals court reversed, finding that the management company had not given notice required by state law. One member of the state appellate panel opined that the company violated the Fair Debt Collections Practices Act, 15 U.S.C. 1692. The tenant sought damages in federal court. The district court dismissed. The Seventh Circuit affirmed, holding that the management company is not a debt collector under the Act. The company is an agent of the building owner and "obtained" an interest a debt when it was given the right to collect the tenant's rent, before she fell behind on payments.