Collecting Money Against a Tenant

I’m willing to bet that the issue of collecting money against a tenant is one of the most frequent topics that landlords ask regarding tenants.  This is an important matter that landlords should carefully consider when faced with such a problem.

What Type of Money Is Being Pursued?

On this topic, the first initial question that needs to be determined is the type of money that the landlord wishes to pursue against the tenant.  Generally, there are three types of damages: (1) unpaid rent (2) damages to the apartment and (3) attorney fees.

The first two types of owed money, unpaid rent and damages to the apartment, speak for themselves: if a tenant owes a landlord money, or damages the apartment, the landlord has a legal cause of action against the tenant.

Attorney fees are a different matter.  A landlord generally only has a right to collect attorney fees against a tenant if there is a written agreement providing for this.  If there is no such agreement, the American Rule on legal fees generally controls, which does not allow a party to collect legal fees against an opposing party.

Options for Collecting Money Against a Tenant 

Options for collecting money against a tenant generally consist of the following: (1) a security deposit (2) eviction case or (3) a civil action.

Security DepositMassachusetts’s security deposit law permits a landlord to use a security deposit for unpaid rent and damage to a rental unit.  If a landlord has a security deposit, and a tenant owes rent or has committed damage to the apartment, a landlord (using the proper procedures) may deduct such expenses against the deposit.  A landlord, however, must be extremely careful in handling a security deposit, as a failure to comply with this law can result in treble damages, costs, and attorney fees.

Eviction:  If a landlord is pursuing an eviction against a tenant, they have the option of seeking unpaid rent as part of the eviction case.  This, however, is the only money that may be pursued in an eviction : a landlord is not entitled to any other damages in one of these cases, such as damages to an apartment.  For that, the landlord must pursue a separate civil action.

Civil Action:  A landlord may pursue a civil action against a tenant for any type of owed money.  If the damages are under $7,000, the landlord can go to small claims court; if the damages are greater, they would need to file a regular civil action.

Practical Implications

While a landlord can attempt to collect money against a tenant, doing so is not always prudent.  If the tenant does not have employment or assets, attempting to enforce a judgment against a tenant can be extremely difficult.

Moreover, in the context of an eviction, it is worth considering whether collecting such money is more important than obtaining immediate possession of the apartment.  This is an important consideration in determining whether to fight or settle an eviction case with a tenant.

Conclusion 

Collecting money against a tenant is not an easy endeavor.  Before making a decision on this important topic, speak to an experienced landlord-tenant attorney for help in making this decision.

Attorney Sherwin Named as a 2018 Massachusetts Super Lawyers Rising Star

I’m proud to write that I’ve been named as a 2018 Massachusetts Rising Star by Super Lawyers.  Rising Star candidates are limited to no more than 2.5% of lawyers in Massachusetts and go through a nomination, peer review, and independent research process.

As described by Super Lawyers on their website:

Super Lawyers selects attorneys using a patented multiphase selection process. Peer nominations and evaluations are combined with independent research. Each candidate is evaluated on 12 indicators of peer recognition and professional achievement. Selections are made on an annual, state-by-state basis. The objective is to create a credible, comprehensive and diverse listing of outstanding attorneys that can be used as a resource for attorneys and consumers searching for legal counsel. Since Super Lawyers is intended to be used as an aid in selecting a lawyer, we limit the lawyer ratings to those who can be hired and retained by the public.

I’m very proud and grateful for this recognition.

Coincidentally, this recognition occurred right around the time that I celebrated my fifth year in solo practice.  What a ride it has been!  While it is a real honor to be included with Super Lawyers, I’m even prouder of the many successes I’ve had in in my practice areas of real estate litigation.

If I can be of assistance to you with your legal problems, contact me.

Housing Discrimination in Massachusetts: A “Ruff” Lesson On This Important Area of Law

A recent case from Western Massachusetts of a landlord refusing to rent to tenants with service animals is an example of the perils of ignoring state and federal housing discrimination laws, and a reason why landlords need to be extremely careful when advertising rental units.  Discriminating against tenants with service animals will put landlords in the doghouse (pun intended!).

Housing Discrimination 101

Both state and federal law prohibits discrimination in housing.  This includes, but is not limited to: race, national origin, sex, and disability status.  The list of these protected categories is long, and it is best to check on this by reviewing the state and federal government websites on fair housing laws, which do a good job of explaining the basics about housing discrimination.  Simply put, a landlord is not allowed to deny a tenant housing based on one of these protected categories.

In this case, the landlord advertised that it would not accept pets or service animals.  While a restriction on pets is generally okay (and common) for rental units, the latter is a big no-no: a blanket restriction on service animals is discrimination on the basis of disability.

Practical Implications

Although the landlord in this story was likely fine in not allowing tenants with pets, it was not lawful to outright prohibit service animals.  If a tenant with a service animal wished to apply for a rental unit, the landlord would have to consider them for a reasonable accommodation.  If the landlord fails to properly consider this request, this is housing discrimination.

The increased use of service dogs promises that this will be an issue for years to come.  While every situation is different, I would imagine that most landlords will have difficulty making a case that a service dog is not a reasonable accommodation.  Landlords who fail to take this issue seriously set themselves up for severe damages and penalties.

In this case, the penalty against the landlord was likely not as bad as it could have been.  It is not unheard of for housing discrimination cases in Massachusetts to result in steep damages for landlords.

Conclusion 

If you need assistance with a housing discrimination matter, contact me for a consultation.

Getting Back a Security Deposit in Massachusetts

It is not uncommon for Massachusetts landlords to accept  security deposits from tenants.  In doing so, many make mistakes in complying with Massachusetts’s security deposit law; arguably one of the most complex and detailed laws in the state.

This law provides numerous protections that can help tenants with getting a security deposit back if a landlord unreasonably refuses to return it.

Overview of the Massachusetts Security Deposit Law

Massachusetts’s security deposit law regulates how a landlord is allowed to collect and hold a tenant’s security deposit.  Skim through this law and you’ll see that almost everything concerning a security deposit is subject to one of this law’s provisions.  The amount of the security deposit, bank account where it can be held, and the return of the deposit are all covered by this law.

Failure to comply with Massachusetts’s security deposit law has dire consequences for landlords.  Penalties can include treble damages, court costs, and attorney fees.  This means that even a small security deposit violation can lead to a large judgement for non-compliance with this law.

Penalties for Not Complying with the Security Deposit Law

Penalties for not complying with this law generally fall into two categories: forfeiture of the deposit or treble damages.

The first type of penalty, forfeiture, allows a tenant to get their deposit back right away if the landlord fails to comply with certain portions of the law, and the tenant demands the deposit’s return.  If a landlord does not immediately return the deposit, they risk subjecting themselves to the more severe penalties under this law.

The second category of damages are treble damages, which are reserved for the most egregious violations of the security deposit law.  Most common is a landlord’s failure to return the deposit (or account for its use) within thirty days after the tenancy ends.

Options for Getting Back a Security Deposit 

A common way for raising a security deposit claim is through a Consumer Protection Law demand letter.  Such a demand letter can be an effective means of getting a prompt resolution to one of these disputes.  Moreover, a landlord’s failure to respond to such a letter with a reasonable settlement offer can be further grounds for liability.

Security deposit claims can be pursued in small claims court or in a civil action.  To do so, a tenant should strongly consider speaking with an experienced landlord-tenant attorney about one of these matters.

Conclusion 

If you need help with getting back a security deposit in Massachusetts, contact me for a consultation.

Help for Landlords With Bad Tenants in Massachusetts

Landlords with bad tenants are often in need of immediate resolutions to their problems.  While a landlord must bring an eviction case against a tenant to get a tenant out of a rental unit, a landlord has other options for dealing with a bad tenant prior to the conclusion of an eviction case.  A “bad tenant” is one I define as someone who is (a) not paying rent or (2) damaging the rental premise.

Rent Escrow

One of the most common reasons for evicting a tenant is non-payment of rent.  Although an eviction case is intended to proceed quickly, many times, the final resolution of these cases can be delayed due to the trial court’s schedule or a tenant’s request for a jury trial.

In such a scenario, where the trial date is not imminent, a landlord can (and should) request that the court order the tenant to escrow rent as the court case proceeds.  The rationale is straightforward: if the tenant is living at the rental unit, it is reasonable for them to pay something as the eviction case proceeds.

The law on rent escrow is divided, and requires a convincing argument to obtain this relief.  Simply arguing for a rent escrow, without citing the proper authority, will likely not be enough to convince a court on this point.

Injunctive Relief 

Another important tool for landlords with bad tenants is seeking injunctive relief.  Injunctive relief is a court order requiring or preventing a party from doing something.  For example, if a tenant is purposely damaging a rental unit, a landlord is permitted to ask for an injunction prohibiting the tenant from doing so.  A tenant who disregards such a court order can be subject to contempt of court and other harsh penalties.

No Self-Help

An important reminder for landlords with bad tenants.  A landlord cannot, under any circumstances, use “self-help” methods to evict or punish a tenant.  Changing an apartment’s locks or shutting off the utilities is highly illegal in Massachusetts and can result not only in large penalties from the court, but criminal punishment as well.

Don’t take this chance!  Contact an experienced landlord/tenant attorney when dealing with bad tenants.

Massachusetts’s Security Deposit Law

A recent article from the Boston Globe, “Apartment management won’t return security deposit? That’s just one problem at this Revere complex,” highlights the importance of understanding Massachusetts’ security deposit law: an important consumer protection law for tenants.

Overview of Massachusetts’s Security Deposit Law

This article discusses a common scenario for tenants who have provided a landlord with a security deposit: a landlord’s outright refusal to return the deposit at the end of the tenancy.  Prior to the security deposit law, tenants had few options for pursuing such claims; often, the expense in attorney fees for suing  for one of these deposits made such claims far more expensive than the actual deposit itself.

For this reason, Massachusetts passed the security deposit law, which, I imagine, is one of the most pro-tenant laws in the entire country.  This law imposes numerous regulations on the acceptance, holding, and return of a security deposit, and provides stiff penalties for a landlord’s failure to comply with this law, namely, treble damages of the deposit. This is 0ne reason, among many, why a landlord should consider not accepting a security deposit in the first place.

Violation of the Security Deposit Law 

It is a common misconception that every violation of the security deposit law allows a tenant to recover treble damages, attorney fees, and costs against a landlord.  Rather, the Supreme Judicial Court has clarified that some violations of the law simply require the immediate return of the deposit, while others mandate treble damages.  Generally, a landlord’s failure to return a security deposit within thirty days after the end of the tenancy (or otherwise account for its use towards any damage in the apartment) will impose the treble damage penalty.

Conclusion

If you find yourself having difficulty with a security deposit, contact me for a consultation.  I have helped many Massachusetts tenants obtain the return of their deposits and take full advantage of the protections of this law.

Firm News: Sherwin Law Firm Moves to Charlestown

Starting July 1st, my firm will be moving to Charlestown, Massachusetts (only several blocks away from my current office).  My new office has plenty of parking and facilities that will help me continue to best serve my clients, and hopefully open up new opportunities for me in years to come.

It was a blast to have worked in Somerville for the past five years.  Luckily, I won’t be far away, and look forward to staying active in this wonderful city.

Here’s hoping your summer is off to a great start!

 

Service of an Eviction Case

reversing-a-foreclosure

Service of an eviction case is a requirement for starting any eviction against a tenant.  The law requires that the tenants have proper notice that such a case has been brought against them.  A landlord’s failure to comply with these service requirements can be fatal to one’s case.

Service of an Eviction Case

An eviction generally requires serving two types of documents to a tenant: a notice to quit, informing the tenant that their tenancy is being terminated, and a summons,  informing the tenant that an eviction case is occurring in court against them.

Service of an eviction is needed to put a tenant on fair notice that the landlord is attempting to obtain possession of the rental unit.  Simply calling or emailing the tenant is not sufficient; the law requires (like any other lawsuit) that the tenant have formal notice of the eviction.

Contrary to popular belief, a landlord does not need to serve a notice to quit by constable or sheriff.  However, the landlord bears the burden of proving that the tenant received this notice.  If the landlord is unable to do so, the court will dismiss the eviction.  For this reason, most landlords (smartly) serve notices to quit through a constable or sheriff.  Under the law, such service creates a presumption that the tenant received the notice.  Absent a compelling argument to the contrary, proof of service by a constable or sheriff establishes that the tenant received the notice to quit.

A summons, which is a formal court notice stating that an eviction case will begin, must be served by a sheriff.  A constable, who is a private officer, is also permitted to serve most eviction cases.  This formal service is a mandatory requirement, unless the tenant elects to waiver service.  Failure to properly serve an eviction case will likely result in its immediate dismissal by the court.

Conclusion

Service of an eviction is a critical part of a Massachusetts landlord-tenant case.  Failure to comply with these requirements can add unnecessary time and expense onto one of these cases, and make the process far more difficult than it needs to be.  For this reason, consider hiring an experienced landlord-tenant attorney to assist with one of these matters.

 

Who Can File An Eviction in Massachusetts?

foreclosure appeal

The Supreme Judicial Court issued an important decision this week for landlord-tenant law: who can file an eviction in Massachusetts?  The decision, Rental Property Management Services v. Hatcher, is included below.

Overview

The facts of this case are fairly straightforward.  A property manager (a person hired to maintain rental property) filed an eviction (“summary process”) case against a tenant in Housing Court.  This property manager brought this case in the name of “Property Management Services” (his business), which was not the owner of the subject property, nor the lessor.  This property manager personally signed the eviction summons.

Who Can File An Eviction in Massachusetts?

This case presented two main questions for the Supreme Judicial Court.  First, could this property management service bring this eviction case against the tenant?  Second, could the property manager (who was not a lawyer) sign the eviction summons?

The Court held that only an owner or lessor of rental property is entitled to bring an eviction case against a tenant.  Here, while the property management company may have been responsible for maintaining the property, it was not the right party to bring this eviction.

It is not uncommon in Massachusetts for property management companies to directly enter into leases with tenants.  Here, if this property management company had a lease or written agreement with the tenant, I suspect the outcome may have been different.  However, where this company was neither the owner nor lessor, it was not entitled to proceed with this eviction.

The Court then addressed whether the property manager was permitted to sign the eviction paperwork.  Because this manager was not an attorney, the Court held that he was not permitted to do so, and had engaged in the unauthorized practice of law.

Lessons for Massachusetts Landlords

This case has an important lesson for Massachusetts landlords: proceed with caution when filing an eviction in Massachusetts.  While I highly recommend that landlords use property management services if they need assistance in maintaining their rental units, these services cannot substitute as lawyers.

The Court declined to find that doing so was an unfair and deceptive business practice against the tenant (a claim that could allow for monetary damages and attorney fees).  Hatcher is clear, however, that a Court can punish a party who knowingly disobeys these eviction requirements.

Conclusion

If you are confused about who can file an eviction in Massachusetts, take away this critical advice: hire an experienced landlord-tenant attorney for your eviction.  Aside from avoiding some of the problems stated above, an experienced attorney will help you navigate this tricky area of law and reach an effective resolution to your dispute.  If you are in need of such assistance, contact me for a consultation.

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Landlord Not Returning a Security Deposit in Massachusetts

reversing-a-foreclosure

A landlord not returning a security deposit is one of the most common complaints that comes up between tenants and landlords in Massachusetts.  Massachusetts law heavily regulates the handling of security deposits, and this law can be used when a landlord improperly refuses to return a security deposit.

Massachusetts’s Security Deposit Law

A quick skim of Massachusetts’s security deposit law shows the complexity of this law.  G.L. 186 Section 15B regulates every aspect of a security deposit, from the acceptance of the deposit up to its return to the tenant.  The extensive requirements of this law is one reason why I advise Massachusetts landlords to never accept a security deposit.

Penalties for not complying with this law can be steep.  Some violations entitle the tenant to the immediate return of their deposit, and others permit the tenant to obtain triple damages, costs, and attorney fees against a landlord who fails to comply with this law.

What To Do About a Landlord Not Returning a Security Deposit 

If a landlord fails to return your security deposit, contact an experienced landlord/tenant attorney for assistance.  While the security deposit law offers numerous protections for tenants, an experienced attorney is often necessary for determining whether a violation occurred, how to pursue such a claim against the landlord, and the likely damages that can be obtained from such a case.

Landlords can equally benefit from having the assistance of an experienced attorney when handling a security deposit claim.  An attorney can help determine if a violation occurred and whether any possible defenses exists to such a claim.  An attorney can be helpful  in negotiating a settlement and minimizing damages.

A landlord should not wait until a security deposit claim has arisen to seek the assistance of a landlord/tenant attorney.  If you think you may be in violation of this law, or want help in making sure you comply with the law’s detailed requirements, speak to a landlord/tenant attorney right away.

Conclusion 

If you find yourself involved with a security deposit matter, contact me for a consultation.  Having an experienced attorney on your side can make all of the difference in getting you the help you need.