Effort To Harass Tenants Out Of Recently Foreclosed Homes In Violation Of Federal Law Continues

In West Haven, Connecticut, the New Haven Register reports on another incident involving a lender and its attorneys allegedly attempting to bully tenants out of their rented, foreclosed homes through the use of deceptively written letters designed to mislead the tenants of their legal rights under the federal Protecting Tenants At Foreclosure Act,(1) as well as under Connecticut state law, and the work of a local legal aid office in assisting the tenants in asserting their legal rights to stay put until their leases expire.

• The East Greenwich, R.I., law firm of Marinosci, Ceritto and Shapiro is handling the property for Deutsche Bank. A July 13 letter to the tenants gave them two days to get in touch to discuss possible monetary help in relocating or the firm would initiate legal action to evict them. Subsequent legal filings consistently misspelled the street name and cited Virginia law for the basis of their actions; one tenant was given six days to leave, while the Boyds got three months, and it was unclear what communication took place with Ramon Ayala, who lives in a basement apartment.

• Buried within the legal “notice to quit” document sent later is a reference to leases. If the tenants in fact have them, they are entitled to stay until they expire. [New Haven Legal Assistance Association housing lawyer Amy] Marx said all three have leases, but the importance of those arrangements was not explained to tenants and all were preparing to leave. Also, the $1,600 “cash for keys” offer to the Boyds was $400 less than the minimum required by state law. [...] Marx said the July 13 letter, which was signed by “evictions team lead” Daniel J. Lailer of the Rhode Island firm, “is an outright violation of the tenant act.”(2)

For the story, see Federal law gives rights to renters.

(1) Among other things, this new federal law requires lenders taking title to foreclosed homes respect any existing tenant leases, and provide at least 90 days notice when vacating month-to-month renters. See Section 702(a)(2) of the Protecting Tenants at Foreclosure Act of 2009.

(2) It wouldn't surprise me if these deceptively written communications from attorneys, real estate agents, and others creates legal causes of action in favor of the tenant, the state attorney general's office, or both as violations of applicable state deceptive and unfair trade practices statutes.