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Phil Querin Q&A - Death of Resident and an Uncooperative Estate

Phil Querin

Answer: This sounds like an episode from a Jerry Springer reality show! Your question doesn'tmake it clear whether the estate was formally filed for probate in court, in which case this "Administrator" would be subject to court supervision and would have to have a bond. I'm suspecting that is not the case - but if it is, you may want to secure legal counsel to notify the court of what's happening and perhaps get him removed.

 

Assuming that the person is just a designee for the un-probated estate (I will call him the "representative"), I would suggest that you look to ORS 90.675(20), which applies when a resident living alone passes away. Subsection (20) is summarized below, but should not be used as a substitute for reading ORS 90.675 (linked here) in its entirety:

 

 

  • This subsection (20) applies the same duties as those of a resident who abandoned the property.
  • It also applies to any personal representative named in a will or appointed by a court, or any person designated in writing by the decedent to be contacted by the landlord in the event of the tenant's death;
  • The 45-day abandonment notice required in ORS 90.675(3) (go to above link) is to be sent by first class mail to this representative at the premises, and also personally delivered or sent by first class mail to them if actually known to the landlord.
  • If the representative responds by actual notice to a landlord within the 45-day period provided in the letter and so requests, the landlord shall enter into a written storage agreement with the representative or person providing that the personal property may not be sold or disposed of by the landlord for up to 90 days or until conclusion of any probate proceedings, whichever is later.
  • Note: Entering into the storage agreement includes the duty to pay a "storage fee" which can be no higher than the space rent. This duty is not triggered until the 45-day letter is sent. Presumably you will use a good storage agreement that requires, among other things, compliance with all applicable park rules and state, federal and local laws and ordinances, including a duty to maintain the space. On- site destruction of the home is NOT maintaining the space. Depending upon the home's age, on site destruction could be a violation of certain environmental laws, due to potentially hazardous material used in construction. In fact, since there is a risk that the representative will not comply with the storage agreement - based on his threat of destruction - you may want to consider - only upon the advice of your attorney - to restrict his unsupervised access to the home. Destruction of the home would not only take it off the tax rolls in violation of Oregon property tax law, but it would prevent you, as the landlord, from selling the home upon failure of the representative to meet his obligations. Remember, in addition to the tax collector, you have a vested interest in seeing the home sold for recoupment any sums due (arguably including attorney fees) incurred during the abandonment process.
  • Since the abandonment law requires that the landlord has a duty of safe keeping pending completion of the abandonment process, it is my belief[1] that this entitles the landlord to secure the home (e.g. with a new lock) so that heirs and others cannot enter and remove personal property.
  • A storage agreement entitles the representative to store the personal property on the space during the term of the agreement, but does not entitle anyone to occupy the personal property.
  • If such an agreement is entered into, the landlord may not enter a similar agreement with a lienholder (if any) until the agreement with the representative ends.
  • If the representative requests that a landlord enter into a storage agreement and there is a lienholder, also, you should review subsections (19)(c) to (e) and (g)(C) of ORS 90.675, which describes the rights and responsibilities of a lienholder with regard to the storage agreement.
  • During the term of the Storage Agreement, the representative has the right to remove or sell the property, including a sale to a purchaser or a transfer to an heir who wishes to leave the property on the space and become a tenant. However, this prospective tenant is subject to the same statutory requirement, including landlord qualification and approval, as found in ORS 90.680 (linked here). The landlord also may condition approval for occupancy upon payment of all unpaid storage charges and maintenance costs.
  • If the representative violates the storage agreement, the landlord may terminate it by giving at least 30 days' written notice to them stating facts sufficient to notify them of the reason for the termination. Unless the representative or person corrects the violation within the notice period, the Storage Agreement terminates as provided and the landlord may sell or dispose of the property without further notice to the representative.

 

 

 

 

  • Upon the failure of a representative to enter into a storage agreement or upon termination of an agreement, unless the parties otherwise agree or the representative has sold or removed the home, the landlord may sell or dispose of it pursuant to sale provisions of ORS 90.675 without further notice to the representative.

 

 

 

 

So, in summary, the abandonment statute - which is quite lengthy and somewhat difficult to follow - applies in this case, and with proper guidance, you should be able to successfully deal with the representative.

 

[1] I'm not rendering a "legal opinion" in this Answer - PCQ

Phil Querin Q&A: Resident Dies - Administrator Initially Cooperative Turns Ugly

Phil Querin

Answer: This sounds like an episode from a Jerry Springer reality show! Your question doesn'tmake it clear whether the estate was formally filed for probate in court, in which case this "Administrator" would be subject to court supervision and would have to have a bond. I'm suspecting that is not the case - but if it is, you may want to secure legal counsel to notify the court of what's happening and perhaps get him removed.

Assuming that the person is just a designee for the un-probated estate (I will call him the "representative"), I would suggest that you look to ORS 90.675(20), which applies when a resident living alone passes away. Subsection (20) is summarized below, but should not be used as a substitute for reading ORS 90.675 (linked here) in its entirety:

  • This subsection (20) applies the same duties as those of a resident who abandoned the property.
  • It also applies to any personal representative named in a will or appointed by a court, or any person designated in writing by the decedent to be contacted by the landlord in the event of the tenant's death;
  • The 45-day abandonment notice required in ORS 90.675(3) (go to above link) is to be sent by first class mail to this representative at the premises, and also personally delivered or sent by first class mail to them if actually known to the landlord.
  • If the representative responds by actual notice to a landlord within the 45-day period provided in the letter and so requests, the landlord shall enter into a written storage agreement with the representative or person providing that the personal property may not be sold or disposed of by the landlord for up to 90 days or until conclusion of any probate proceedings, whichever is later.
  • Note: Entering into the storage agreement includes the duty to pay a "storage fee" which can be no higher than the space rent. This duty is not triggered until the 45-day letter is sent. Presumably you will use a good storage agreement that requires, among other things, compliance with all applicable park rules and state, federal and local laws and ordinances, including a duty to maintain the space. On- site destruction of the home is NOT maintaining the space. Depending upon the home's age, on site destruction could be a violation of certain environmental laws, due to potentially hazardous material used in construction. In fact, since there is a risk that the representative will not comply with the storage agreement - based on his threat of destruction - you may want to consider - only upon the advice of your attorney - to restrict his unsupervised access to the home. Destruction of the home would not only take it off the tax rolls in violation of Oregon property tax law, but it would prevent you, as the landlord, from selling the home upon failure of the representative to meet his obligations. Remember, in addition to the tax collector, you have a vested interest in seeing the home sold for recoupment any sums due (arguably including attorney fees) incurred during the abandonment process.
  • Since the abandonment law requires that the landlord has a duty of safe keeping pending completion of the abandonment process, it is my belief[1] that this entitles the landlord to secure the home (e.g. with a new lock) so that heirs and others cannot enter and remove personal property.
  • A storage agreement entitles the representative to store the personal property on the space during the term of the agreement, but does not entitle anyone to occupy the personal property.
  • If such an agreement is entered into, the landlord may not enter a similar agreement with a lienholder (if any) until the agreement with the representative ends.
  • If the representative requests that a landlord enter into a storage agreement and there is a lienholder, also, you should review subsections (19)(c) to (e) and (g)(C) of ORS 90.675, which describes the rights and responsibilities of a lienholder with regard to the storage agreement.
  • During the term of the Storage Agreement, the representative has the right to remove or sell the property, including a sale to a purchaser or a transfer to an heir who wishes to leave the property on the space and become a tenant. However, this prospective tenant is subject to the same statutory requirement, including landlord qualification and approval, as found in ORS 90.680 (linked here). The landlord also may condition approval for occupancy upon payment of all unpaid storage charges and maintenance costs.
  • If the representative violates the storage agreement, the landlord may terminate it by giving at least 30 days' written notice to them stating facts sufficient to notify them of the reason for the termination. Unless the representative or person corrects the violation within the notice period, the Storage Agreement terminates as provided and the landlord may sell or dispose of the property without further notice to the representative.

  • Upon the failure of a representative to enter into a storage agreement or upon termination of an agreement, unless the parties otherwise agree or the representative has sold or removed the home, the landlord may sell or dispose of it pursuant to sale provisions of ORS 90.675 without further notice to the representative.

So, in summary, the abandonment statute - which is quite lengthy and somewhat difficult to follow - applies in this case, and with proper guidance, you should be able to successfully deal with the representative.

[1] I'm not rendering a "legal opinion" in this Answer - PCQ

Phil Querin Article: Waiver Under Oregon's Landlord-Tenant Act

Phil Querin

  • The landlord accepts:
    • A last month's rent deposit collected at the beginning of the tenancy, regardless of whether the deposit covers a period beyond a termination date;
    • Rent distributed pursuant to a court order releasing money paid into court; or
    • Rent paid for a rent obligation not yet due and paid more than one rental period in advance.
  • For a continuous or ongoing violation, the landlord's written warning notice remains effective for 12 months and may be renewed with a new warning notice before the end of the 12 months.
  • For a violation concerning the tenant's failure to pay money owed to the landlord, the landlord's written warning notice under subsection ORS 90.412(4)(c) remains effective for 12 months from the date of the tenant's failure to pay the money owed.
  • A landlord that must refund rent shall make the refund to the tenant or other payer by personal delivery or first class mail. The refund may be in the form of the tenant's or other payer's check or in any other form of check or money.

Acts not constituting waiver of termination of tenancy. If a notice of termination has been given by the landlord or the tenant, the following acts do not waive the landlord's right to terminate on the notice and do not reinstate the tenancy:

  • Except in the case of issuance of a nonpayment of rent notice under ORS 90.394, the acceptance of rent if:
    • The rent is prorated to the termination date specified in the notice; or
    • The landlord refunds at least the unused balance of the rent prorated for the period beyond the termination date within 10 days after receiving the rent payment.
  • Except in the case of termination for cause under ORS 90.392 (termination for cause), 90.398 (termination for drug/alcohol violations), 90.405 (unpermitted pets), 90.630 (termination of MHP tenancy by landlord) or 90.632 (termination for physical condition of home in MHP), the acceptance of rent for a rental period that extends beyond the termination date set forth in the notice, if the landlord refunds at least the unused balance of the rent for the period beyond the termination date within 10 days after the end of the remedy or correction period described in the applicable notice.
  • If the termination is for cause under ORS 90.392 (termination for cause), 90.398 (termination for drug/alcohol violations), 90.405 (unpermitted pets), 90.630 (termination of MHP tenancy by landlord) or 90.632 (termination for physical condition of home in MHP) and eviction proceedings have commenced to recover possession of the premises based on the termination:
    • The acceptance of rent for a period beyond the expiration of the notice of termination during which the tenant remains in possession if:
      • The landlord notifies the tenant in writing in (or after the service of) the notice of termination for cause that the acceptance of rent while an action for possession is pending will not waive the right to terminate under the notice; and
      • The rent does not cover a period that extends beyond the date the rent payment is accepted.
    • Service of a nonpayment of rent termination notice under ORS 90.394.
  • The following acts do not waive the right of the landlord to terminate on a notice of termination given by the landlord or the tenant and do not reinstate a tenancy:
    • Acceptance of a last month's rent deposit collected at the beginning of the tenancy, whether or not the deposit covers a period beyond a termination date.
    • Acceptance of rent distributed under a court order releasing money that was paid into the court as provided under ORS 90.370 (1) (Rent tender provisions when tenant files a counterclaim)
    • Acceptance of rent paid for a rent obligation not yet due and paid more than one rental period in advance.
  • When a landlord must refund rent, it shall be made to the tenant or other payer by personal delivery or first class mail and may be in the form of the tenant's or other payer's check or in any other form of check or money.

Effect of acceptance of partial rent. A tenant's duty regarding rent payments is to tender to the landlord an offer of the full amount of rent owed within the time allowed by law and by the terms of the rental agreement. A landlord may refuse to accept a rent tender that is for less than the full amount of rent owed or that is untimely.

  • A landlord may accept a partial payment of rent.
    • The acceptance of a partial payment does not constitute a waiver of the landlord's right to terminate the tenancy under ORS 90.394 (Termination of Rental Agreement for Failure to pay Rent) of the balance of the rent owed if the following rules below for partial payments are followed.
  • A landlord and tenant may by written agreement provide that monthly rent shall be paid in regular installments of less than a month pursuant to a schedule specified in the agreement. Such agreed-upon installment rent payments are not "partial payment of rent"
  • Acceptance of a partial payment of rent waives the right of the landlord to terminate the tenant's rental agreement for nonpayment of rent unless:
    • The landlord accepted the partial payment of rent before the landlord gave a nonpayment of rent termination notice based on the tenant's agreement to pay the balance by a time certain and the tenant does not pay the balance of the rent as agreed;
    • The landlord's notice of termination is served no earlier than it would have been permitted under ORS 90.394 (Termination of Rental Agreement for Failure to pay Rent) had no rent been accepted; and
    • The notice permits the tenant to avoid termination of the tenancy for nonpayment of rent by paying the balance within 72 hours (or 144 hours) or by any date to which the parties agreed, whichever is later; or
    • The landlord accepted a partial payment of rent after giving a nonpayment of rent termination notice and entered into a written agreement with the tenant that the acceptance does not constitute waiver. This agreement may provide that the landlord may terminate the rental agreement and thereafter file for eviction without serving a new non-payment of rent notice if the tenant fails to pay the balance of the rent by a time certain.
  • Application of a tenant's security deposit or prepaid rent to an obligation owed to a landlord in foreclosure under ORS 90.367 does not constitute a partial payment of rent.
  • Notwithstanding any acceptance of a partial payment of rent pursuant to the above rules, the tenant continues to owe the landlord the unpaid balance of the rent.

Phil Querin Q&A: Good Resident - Bad Family

Phil Querin

Answer: My first question is, are these guests showing up at the invitation of your resident? Secondly, are they creating any disruption, or bothering the neighbors? Have neighbors complained, either to the resident or management?

Having visitors viewed as undesirable by management, or even by other residents, but causing no disruption, is a difficult issue to correct, assuming their presence is with the acquiescence of the existing resident.

To put this in a legal perspective, since for a lawyer, that is the litmus test, what is the violation? Is drug dealing in the neighborhood suspected? Do these visitors have outstanding arrest warrants? Do they have criminal records, and if so, do they relate to violent crimes, sex offences, etc? If you suspect illegal activity, I would contact the sheriff's office to see if they can help identifying the visitors to determine criminal backgrounds. Certainly, if they are dangerous ex-felons, or actual drug dealers, for example, you should want to know sooner than later.

However, remember, since these folks are just visitors, and not permitted tenants or occupants of the space, any violation would have to issue to your (formerly) good tenant. If this is a question of the visitors' conduct being disruptive to current residents (e.g. under the peaceful enjoyment statute, ORS 90.740(4)(j)), you would have a basis for issuing a 30-day notice under ORS 90.630(1).

But before doing so, I would suggest that you contact the resident and have a private and frank conversation. It may be that the resident is just as uneasy about the visitors' presence as you, and would welcome your request that they not visit with the frequency they are.

Last week's article addressed issuing a Trespass Notice. If your resident is prepared to ask his relatives to discontinue their visits, then you would be within your rights to issue a Trespass Notice, should the visits continue.

Phil Querin Q&A: What Type of Fines May And May Not Be Levied By A MHC Landlord

Phil Querin

Answer: The answer is found in ORS 90.302 (Fees allowed for certain landlord expenses). What follows is a brief summary: (1) A landlord may not charge a fee at the beginning of the tenancy for an anticipated expense (i.e. one that has not actually occurred). (2) A landlord may not require the payment of any fee except as provided in this statute. (3) The specific fee must be described in a written rental agreement. (4) The following list are the fees a landlord may charge: a. A late rent payment, pursuant to ORS 90.260. b. A dishonored check, pursuant to ORS 30.701 (5). [Note that the amount of the fee may not exceed the amount described in ORS 30.701 (5) plus any amount that a bank has charged the landlord for processing the dishonored check.] c. Removal or tampering with a properly functioning smoke alarm, smoke detector or carbon monoxide alarm, as provided in ORS 90.325 (2). d. The violation of a written pet agreement or rule relating to pets in a facility, pursuant to ORS 90.530. e. The abandonment or relinquishment of a home during a fixed term tenancy without cause. [Note that the fee may not exceed one and one-half times the monthly rent. A landlord may not assess a fee under this section if the abandonment or relinquishment is pursuant to ORS 90.453 (2) (Termination of tenant who is victim of domestic violence), ORS 90.472 (Termination of tenant who is called to active state service) or ORS 90.475. (Termination of tenant sue to service with Armed Forces)] f. If the landlord assesses a fee under (e) above: i. The landlord may not recover unpaid rent for any period of the fixed term tenancy beyond the date that the landlord knew or reasonably should have known of the abandonment or relinquishment; ii. The landlord may not recover damages related to the cost of renting the dwelling unit to a new tenant; and iii. ORS 90.410 (3) (Effect of tenant failure to give notice of absence) does not apply to the abandonment or relinquishment. (5) Noncompliance with written rules or policies. [Note that the fee may not exceed $50.] (6) A fee may be assessed under paragraph (5), above, only for the following types of noncompliance: a. The late payment of a utility or service charge that the tenant owes the landlord as described in ORS 90.315. b. Failure to clean up pet waste from the tenant’s space other than the home itself. c. Failure to clean up garbage, rubbish and other waste from the tenant’s space other than the home itself. d. Parking violations. e. The improper use of vehicles within the premises. (7) A landlord is not required to account to a tenant for, or return to, the tenant any fee. (8) Except where the tenant abandons or relinquishes the space during a fixed term tenancy [see (4) e above], a landlord may not charge a tenant any form of liquidated damages, however designated. (9) Nonpayment of a fee is not grounds for termination of a rental agreement for nonpayment of rent - but is grounds for termination of a rental agreement for cause. (10) The above laws regarding fines do not apply to: a. Attorney fees; b. Applicant screening charges; or c. Charges for improvements or other actions that are requested by the tenant and are not required of the landlord by the rental agreement or by law.

Mark Busch RV Q&A: Park Models in an RV Park

Mark L. Busch

Answer: The general answer is "yes," both the park models and regular RVs can (and should) be treated the same with regard to landlord-tenant laws. However, there are certain regulations that you must follow to ensure that the park models fully qualify as "recreational vehicles" as defined by Oregon law.

First and foremost, a "recreational vehicle" is defined by statute (ORS 446.003 (33)) as a vehicle "with or without motive power that is designed for human occupancy and to be used temporarily for recreational, seasonal or emergency purposes" and as further defined by administrative rule. "Recreational vehicle" is then defined in various rules as (1) being identified as an RV by the manufacturer, and (2) not exceeding 400 square feet in the setup mode, including all tip-outs, slide-outs, expandable rooms, and other horizontal projections.

However, this does not mean that park models cannot be equipped with various accessory structures like decks, steps, porches, roof overhangs and other similar construction. The guiding rule is that these external structures cannot be supported by the RV itself and cannot be enclosed with walls, glass or other solid materials if that would exceed the maximum allowed gross floor area of the RV.

While there are other construction exceptions as well (basements, lofts, certain bay windows, freestanding cabanas, etc.), you should consult with a knowledgeable expert to carefully comply with these regulations. The primary Oregon Administrative Rules can be found at OAR 918-525 and 918-530, which are administered by the Oregon Department of Consumer and Business Services, Building Codes Division.

Assuming you meet the park model regulations, you can use the same rental agreement that you use with regular RV tenants. In many cases, MHCO Form 80 (RV Space Rental Agreement) will work just fine. In other cases, you may want to use a form specifically designed for your park - just make sure that it contains all of the required information, such as how accessory buildings and structures will be dealt with at the end of the tenancy.

In any event, an RV tenancy (unlike a manufactured home tenancy) can be terminated with a no-cause notice if the tenancy is month to month. If the tenant has been in the park less than a year, the no-cause notice period can be 30 days. After the first year of tenancy, the notice period must be at least 60 days. While you would certainly hope not to need to evict a park model tenant, since they technically live in "recreational vehicles," the law gives you that option as a landlord.

Lesson #7: Fair Housing Laws Protect Victims of Domestic Violence

MHCO

 

The disparate impact rule also opens the door for groups that the FHA doesn’t list as protected classes to sue for housing discrimination, as illustrated by an important case from Pennsylvania.

Situation: A domestic violence victim tells her landlord that she’s being stalked by her ex-boyfriend and needs to move out. When the landlord refuses to let her out of the lease, she sues for discrimination and failure to accommodate. The landlord asks the court to dismiss the case because domestic violence victims aren’t a protected class under the FHA.

    You Make the Call: Does the tenant have a legally valid claim for FHA discrimination?

    Answer: Yes

    Ruling: The Pennsylvania federal court rejects summary judgment for the landlord and allows the case to go to trial, citing well-established case law finding that the FHA does protect victims of domestic violence given its disproportionate impact on women and minorities [Butler v. Sundo Capital, LLC, 2021 U.S. Dist. LEXIS 171736, 2021 WL 4134034].

    Takeaway: There are three important morals to take from the Butler case:

    1. Domestic violence victims can sue for housing discrimination under the FHA (as well as many state laws, including Delaware, the District of Columbia, Illinois, New Jersey, North Dakota, Rhode Island, Vermont, and Wisconsin);
    2. Zero-tolerance policies that lump victims and purveyors of domestic violence together for adverse treatment is a form of discrimination the law prohibits; and
    3. Protection for domestic violence victims may include allowing them out of their lease early without penalty if they must move out to avoid threatened violence. 

    Phil Querin Q&A: Fees Against Tenants Who Violate the Rules

    Phil Querin

    Answer: The statute you are referring to is 90.302, and it provides the following: • A landlord may charge a tenant a fee for each occurrence of the following: o A late rent payment; o A dishonored check; o Removal or tampering with a properly functioning smoke alarm,smoke detector or carbon monoxide alarm; o The violation of a written pet agreement or of a rule relating to pets in a facility; o The abandonment or relinquishment of a dwelling unit during a fixed term tenancy without cause; • A landlord may charge a tenant a fee for a second noncompliance or for a subsequent noncompliance with written rules or policies that describe the prohibited conduct and the fee for a second noncompliance, and for any third or subsequent noncompliance, that occurs within one year after a written warning notice. o The fee may not exceed $50 for the second noncompliance within one year after the warning notice for the same or a similar noncompliance or o $50 plus five percent of the rent payment for the current rental period for a third or subsequent noncompliance within one year after the warning notice for the same or a similar noncompliance. • The landlord must: o Give the tenant a written warning notice that describes:  A specific noncompliance before charging a fee for a second or subsequent noncompliance for the same or similar conduct; and  The amount of the fee for a second noncompliance, and for any subsequent noncompliance, that occurs within one year after the warning notice. Give a tenant a written notice describing the noncompliance when assessing a fee for a second or subsequent noncompliance that occurs within one year after the warning notice. Give a warning notice for a noncompliance or assess a fee for a second or subsequent noncompliance within 30 days after the act constituting noncompliance. • The landlord may terminate a tenancy for a noncompliance instead of assessing a fee, but may not assess a fee and terminate a tenancy for the same noncompliance. • The landlord may not deduct a fee from a rent payment for the current or a subsequent rental period. • The landlord may charge a tenant a fee for occurrences of noncompliance with written rules or policies as provided above for the following types of noncompliance: o The late payment to futility or service charge that the tenant owes the landlord; o The failure to clean up pet waste from the space; o The failure to clean up garbage,rubbish and other waste from the space; o For parking violations; o For the improper use of vehicles within the premises; o For smoking in a clearly designated nonsmoking area within the community other than the home; 1 o For keeping an unauthorized pet capable of causing damage to persons or property. • The landlord is not be required to account for or return to any fees to the tenant. • Other than for early termination of a fixed term lease (discussed above) a landlord may not charge a tenant any form of liquidated damages, however designated. • Nonpayment of a fee is not grounds for termination of a rental agreement for nonpayment of rent (i.e. under ORS 90.394), but is grounds for a 30-day notice of termination for cause under 90.630 (1). • This law does not apply to: o Attorneyfeesawarded; o Applicant screening charges; o Charges for improvements or other actions that are requested by the tenant and are not required under the rental agreement or by law, including the cost to replace a key lost by a tenant; o Processing fees charged to the landlord by a credit card company and passed through to the tenant for the use of a credit card by the tenant to make a payment when:  The credit card company allows processing fees to be passed through to the credit card holder; and  The landlord allows the tenant to pay in cash or by check; or  A requirement by a landlord in a written rental agreement that a tenant obtain and maintain renter’s liability insurance. • NOTE: The fees must be described in a written rental agreement. o Since ORS90.100(38)defines“rental agreement”to mean“…all agreements,written or oral, and valid rules and regulations, it would seem that including the fines in the rules would suffice. 2

    Newly Emerging Protected Classes: Undocumented Immigrants

    MHCO

     

    Legal Risk: People who are in this country illegally can’t sue for discrimination under the FHA if that’s the sole reason they experience discrimination. Explanation: In January 2003, HUD issued a memo clarifying that the FHA “does not prohibit discrimination based solely on a person’s citizenship status”; nor, the memo adds, does the law bar discrimination based on “immigration status or resident alien” status. However, undocumented aliens and non-U.S. citizens who get excluded may have valid grounds to sue for other forms of discrimination, including religion, race, and especially national origin. Rule: FHA protections extend to every person in the U.S., regardless of their immigration or citizenship status. Stated differently, a person doesn’t have to be a U.S. citizen to sue for discrimination.

    Solution: There are five steps you can take to minimize discrimination risks when dealing with undocumented aliens: 

    1. Don’t make U.S. citizenship or immigration status a qualifying criterion for renting unless you have a legitimate, nondiscriminatory, and documented business justification for doing so—for example, because state or municipal law requires it;
    2. Be consistent in applying whatever screening policy you do adopt;
    3. Ask for the right form of verification of citizenship and/or immigration status (discussed below);
    4. Apply your normal screening standards to immigrants; and
    5. Don’t use an applicant or tenant’s immigration status as a bargaining chip.

    How to Verify Immigration/Citizenship Status. Acceptable proof depends on whether you’re seeking to verify an applicant’s status as a citizen, immigrant, or nonimmigrant:

    • Citizenship: Acceptable proof of U.S. citizenship includes a valid current U.S. passport, birth certificate, or certificate of naturalization;
    • Legal immigrant: Proof of legal immigrant status, i.e., noncitizens who have the right to permanently remain in the U.S., include a Permanent Resident Card (a.k.a., “Green Card”) and an official Social Security number;
    • Legal nonimmigrants: Legal nonimmigrants are persons allowed to be in the U.S. on a temporary basis for specific reasons. Such applicants should have a non-U.S. passport from their native country along with a Form I-94, a.k.a., Arrival Departure Record or Entry Permit listing when they entered the U.S. and how long they have a right to stay. They also need a visa, such as an F-1 visa for students, unless they’re from one of the countries that has signed a visa waiver agreement with the U.S.

    You Make the Call

    Which of the following would be a legitimate reason to reject applicants who aren’t U.S. citizens?

    a.         Being a U.S. citizen is required for leasing property under HUD program rules and/or state or local law 

    b.         A non-U.S. citizen is generally less likely to pay rent on time each month

    c.          Non-U.S. citizens are totally judgment proof

    Answer:

    a. The fact that HUD program rules and/or state or local laws require landlords to verify that applicants are U.S. citizens before accepting them is a legitimate, nondiscriminatory justification.

    Wrong answers explained:

    b.         The assumption that noncitizens are less likely to pay rent is just that—an assumption, and one based on stereotypes. Consequently, it’s not justification for requiring applicants to be U.S. citizens.

    c.          The reason c. is wrong is that it’s overstated. While evicting or suing a noncitizen for lease violations poses challenges, it’s not accurate to characterize immigrants as “judgment-proof.” In fact, persons in the U.S. illegally are likely to be far more amenable to threats of litigation.

    Miner Minute: Fees for “Additional Occupants” or “Extra Vehicles” May Be Problematic

    Bill Miner

     

     Fees for “Additional Occupants” or “Extra Vehicles” may be problematic. Rental agreements sometimes contain a space for “extra vehicle fees” or “extra occupant fees.” These fees may be problematic considering the limitations found in ORS 90.302.

    Specifically, ORS 90.302 states that, “a landlord may not charge a fee at the beginning of the tenancy for an anticipated landlord expense and may not require the payment of any fee except as provided in this section. A fee must be described in a written rental agreement.” ORS 90.302 then states that a landlord may charge a fee for: a late rent payment, pursuant to ORS 90.260; a dishonored check; removing or tampering with a smoke alarm, smoke detector or carbon monoxide alarm (which would be applicable in a park owned home); a violation of a written pet agreement or of a rule relating to pets in a facility, pursuant to ORS 90.530); or the abandonment or relinquishment of a dwelling unit during a fixed term (also more likely to be applicable in a park owned home). 
     
    ORS 90.302(3)(a) and (b) does allow a landlord to charge a tenant a fee for specific non-compliance of rules relating to a late payment of a utility or service charge, failure to clean up pet waste, failure to clean up the waste of a service or companion animal, failure to clean up garbage, rubbish and other waste, parking violations, improper use of vehicles, smoking in clearly designated non-spoking areas of the premises or keeping on the premises an unauthorized pet capable of causing damage. The specific applications of those fees are governed by ORS 90.302 and prior to charging them, a landlord must first exhaust several steps. Regardless, nowhere in ORS 90.302 is there an allowance of a fee for “additional occupants” or “extra vehicles.” 
     
    With that said, ORS 90.302(7) states that the section does not apply to “Charges for improvements or other actions that are requested by the tenant and are not required of the landlord by the rental agreement or by law, including the cost to replace a key lost by a tenant.”  Is an “additional occupant” or an “extra vehicle” an improvement or other action requested by the tenant? Perhaps, but the best bet is to just deal with it through increases in rent rather than fees.
     
    Installments of Miner Minute will appear every other week through 2022. If you have a question you would like clarification on, or have experienced something you would like addressed, please email MHCO. The above should not be construed as creating an attorney-client relationship.