Sunday, February 4, 2018

Landlord Harassment and Rent Boards - What's a Tenant to Do?

There is a property in the Fruitvale district of Oakland where tenants have been forced into signing new and materially different lease agreements, services previously provided have been removed, and tenants have received over 30 notices posted on their front doors since Fall 2017. In fact, these tenants have experienced over four water-shuts, wiring for their existing telephone services was dismantled, there is a new no pets policy, and their children  have been mandated to play in a nearby park. A vacant apartment was converted to a “luxury condominium” and advertised for $2,995 rent versus the $900 to $1,400 rent currently collected on existing units.

Certainly, the tenants can petition the Oakland Rent Adjustment Board for a reduction in housing services provided that the petition is timely made (OMC 8.22.090(3)). Quoting from a hearing decision on an actual petition (Case No. T16-006),

“The preferred method of evaluating decreased housing services is consideration of all services provided by an owner and then determining the percentage by which total services provided by the owner have decreased because of the lost housing services. Based on the totality of the circumstances and considering the total bundle of housing services, the value of the decreased housing services is” then calculated by the rent board.

So, for instance, if your apartment had no running water for 24-hours, the rent board could calculate a dollar value to the loss of water in comparison to your total rent as a reduction in housing services. See OMC 8.22.090(3).

But what about waking up to a new notice posted on your front door every few days? This landlord behavior could fall squarely into the enumerated types of “illegal” landlord behavior defined in the Oakland tenant protection ordinance (TPO) (OMC 8.22.640).

In November 2014, Oakland enacted the Tenant Protection Ordinance (O.M.C. 8.22.600) and, more recently, Berkeley followed suit.  Emeryville also enacted new tenant protections against landlord harassment. The question is, “How much do these new ordinances actually protect the tenant?”

Implied into every landlord-tenant lease agreement (if not expressly stated), is a warranty of quiet enjoyment of the property. What does that mean?

First, the warranty is described by state statute, Cal. Civ. Code section 1927, as follows:

“An agreement to let upon hire binds the letter to secure to the hirer the quiet possession of the thing hired during the term of the hiring, against all persons lawfully claiming the same.”

In plain language, this means that if there is a lease agreement, the landlord agrees that the tenant will “quietly possess” the property for the length of the lease. Having a notice posted by the landlord on one’s front door repeatedly and over a short period of time is interference with the tenant’s right to quiet possession of the property.

The remedies available to tenants in Oakland (OMC 8.22.670) for landlord harassment are as follows:

“An aggrieved Tenant may bring a civil action for injunctive relief or damages, or both, . . . [OR]

The City Attorney may enforce the TPO through civil action for injunctive relief or damages, or both, for when the party against whom enforcement is sought has a pattern and practice of violating the TPO. The City Attorney may also request that an administrative citation or civil penalty be issued by the City. The City Attorney has the sole discretion to determine the cases appropriate for enforcement by the City Attorney's Office.”

The operative language is “civil action.” Does a petition to the rent board constitute a “civil action” or do these words really mean a “initiating a lawsuit in the superior court of California?”

Language from a Rent Adjustment Program (RAP) hearing decision (T16-0655) concerning a landlord’s alleged breach of the warranty of quiet enjoyment and harassment, the board held that:

“. . .the RAP is an administrative agency whose power is limited to enforce the provisions of the Rent Adjustment Ordinance. In the case of Larson v. City and County of San Francisco (2011) 192 Cal.App. 4th 12633, the court examined the authority of the San Francisco rent board. The court held that the jurisdiction of administrative agencies is limited to those claims that are quantifiable in nature. The court specifically held that the loss of quiet enjoyment is not such a claim. Larson at p. 1281. Neither are claims of harassment.”

“The Residential Rent and Relocation Board have also stated that the RAP does not have jurisdiction over any such claims. See the Housing, Residential Rent and Relocation Board Decision in Aswad v. Fields, T03-0377. The tenant’s claims for decreased housing services as they relate to the covenant of quiet enjoyment and harassment are not claims that can be made under the Rent Adjustment Ordinance. While these acts may well constitute civil wrongs, these claims must be made in a court of competent jurisdiction. Then tenant’s claims as they relate to the covenant of quiet enjoyment and harassment are dismissed.”

Thus, while Oakland tenants can allege violation of the TPO in a petition to the rent board, the board will dismiss their allegation as being outside the control of the rent board. Still, if the tenant alleges a violation of the TPO, this makes the allegation part of public record and puts the landlord on notice to “back off.” But, the petition must be made in conjunction with something that the rent board does have control over such as an illegal rent increase or a reduction in housing services.

The Oakland rent board is currently flooded with tenant petitions. In fact, petitions made in November 2017 are now being processed by the board. It’s estimated that once a petition is processed, a hearing won’t be scheduled until 6-months later. Once a hearing has been conducted, a hearing decision won't be available until two months after the hearing.  And, to have a hearing, the tenant must be in possession of the property or the rent board will dismiss the petition. Faced with constant harassment, many tenants will give up and find new homes.

For tenants facing similar issues as certain Fruitvale tenants, acting together as a tenant union provides some balance of power against the landlord.  Tenants can also raise their issues by with meeting with their City Council representatives if not bringing the issues to the attention of the City Attorney.  City officials are inundated with city issues --persistence here is key.

Finally, there’s a little known requirement in the TPO.  Not only must the landlord provide a RAP notice to the tenant at the beginning of the tenancy, but a TPO notice must be placed in the common area of the rental building (like a laundry room) or this is a violation of the ordinance. See OMC 8.22.640(E)(2) and this violation can be alleged in a petition to the rent board. 

“If Rental Units subject to this ordinance are located in a building with an interior common area that all of the building's Tenants have access to, the Owner must post a notice in at least one (1) such common area in the building via a form prescribed by the City staff.”

Tenants can attend clinics at the rent board conducted by Centro Legal de la Raza, 250 Frank H. Ogawa Plaza, 6th Floor (Housing Assistance Center) Oakland, CA 94612 (510) 437-1554. Centro Legal Clinic hours: Mondays & Wednesdays from 9:30am to 1:30pm. Other tenant organizations such as Just Cause can be consulted for assistance.

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