Tenants Project
"It's about Time!" Apartments Downtown Class Action Apts.
Ok, folks we just got the rulings in two cases from the Iowa Supreme Court, Kline v Southgate and Walton v Gaffey. It was definitely a case of win some, lose some. We did get a very good ruling on the right of tenants to have a legal lease, but we lost on the issue of requiring actual damages versus allowing the landlord to have set charges in the lease. I'm going to do a more definitive write up on the Tenants Project website on the details.
I wanted to make some comments about the oral argument in Kline v Southgate on Wednesday October 19th. Here is a link to the briefs http://www.ictenantsclassaction.com/litigation.html
At issue was whether or not Staley v Barkalow should be overruled and tenants would lose the right to a legal lease, ie landlords could include illegal provisions in their leases so long as they were not enforced. Also whether or not landlords have to charge actual damages.
First, the Court seemed fairly strongly in favor of the idea of requiring legal leases and that a current tenant was entitled to get a declaratory judgment as to whether a lease was legal regardless of enforcement. Presumably if the provision is illegal, the landlord would be enjoined from enforcing it.
The Court seemed split on the question of whether or not a tenant first had to have actual damages before punitive damages could be imposed. My sense is that the Court may insist that a tenant have actual damage before punitive damages could be imposed. However, it is possible to cause tenants damage without enforcing a provision, for example if a tenant goes out and pays for carpet cleaning because the lease requires it even if this is an illegal clause. Wiggins, who is a more liberal justice, appeared to support Staley v Barkalow.
It was harder to gauge the Court's opinion on liquidated damages. Justice Mansfield who is a more conservative justice seemed to think that liquidated damages should be allowed for the convenience of landlords. This issue could go either way.
I told the Court that we could live with no punitive damages without actual damages so long as we could still do declaratory judgment and get rulings on the legality of provisions. Punitive damages have upset landlords and gotten in the way of the main purpose of the Tenants' Project which is getting clear rulings on the legality of provisions and cleaning up leases.
We probably won't have a decision for about 4-6 months.
Kline v. Southgate - Iowa Tenants' Project Appellate, District Court and Small Claims Litigation Iowa Tenants' Project Cases and Decisions in the Iowa Supreme Court, Iowa Court of Appeals and Johnson County District Court
10/13/2016
Guest Editorial in Press Citizen Vote to retain all Iowa judges!
http://www.press-citizen.com/story/opinion/contributors/guest-editorials/2016/10/12/election-has-more-than-presidency-stake/91948086/
Election has more than presidency at stake Iowans have another key decision to make this fall: should our judges stay independent?
News Stories on Apts Downtown class action settlement and New Complaint Process!
http://www.press-citizen.com/story/news/local/2016/07/25/iowa-city-apartments-downtown-tenants-class-action-settlement/87539516/
http://www.thegazette.com/subject/news/business/settlement-reached-in-iowa-city-apartments-downtown-class-action-suit-20160725
07/25/2016
Apts Downtown Settlement Approved!
Complaint Process Launched!
Judge Chad Kepros gave final approval to the settlement reached in the class action against Apartments Downtown, Iowa City's largest landlord. Up to 14,000 tenants and subtenants of Apartments Downtown and Apartments Near Campus from 2010 to 2014 are now eligible to receive a $65 payment for each year of the tenancy. Along with the class action settlement Apts Downtown and the Tenants Project simultaneously launched their new joint Tenant Complaint Process.
"While the class action settlement is great, I am even more excited about the Complaint Process," says attorney Christopher Warnock of the Tenants Project, who represented students tenants in the class action, "We see this as a new partnership between landlords and tenants."
Under the Complaint Process if current and future tenants of Apts Downtown, Apts Near Campus and Apts at Iowa have a problem they first contact the landlord who has 10 business days to resolve the complaint. If the complaint is not resolved the tenants can contact the Tenants' Project who will assist them in first informally resolving the problem and if necessary represent them in court, paid for by the landlord.
"So far as we know, the Complaint Process is unique" said Warnock, "It levels the playing field for tenants and provides practical way to reach fair and equitable results for both landlords and tenants." A spokesman for Apartments Downtown stated "Apartments Downtown is aiming to create a better rental culture, really appreciates their past, present and future tenants and wants Iowa City to be a renter friendly community,"
Former tenants can find out more about the settlement and register at the class action website, https://adisettlement.com/
Current and future Apts Downtown, Apts Near Campus and Apts at Iowa tenants can learn about the complaint process at the Tenants Project website
http://www.ictenantsclassaction.com/complaintprocess.html
04/18/2016
Barkalow Class Action Set for Trial May 3rd!
http://www.thegazette.com/subject/news/public-safety/johnson-county/big-ten-property-management-lawsuit-in-iowa-city-goes-to-court-in-may-20160418
http://www.press-citizen.com/story/news/local/2016/04/18/tenants-project-class-action-set-may-trial/83195508/
Big Ten Property Management lawsuit in Iowa City goes to court in May | The Gazette IOWA CITY - A class-action lawsuit against Iowa City Realtor Tracy Barkalow and Big Ten Property Management will go to trial next month.
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