Fitzgerald v. Cambridge Rent Control Board

1 Mass. L. Rptr. 497
CourtMassachusetts Superior Court
DecidedFebruary 1, 1994
DocketNo. 92-8204
StatusPublished

This text of 1 Mass. L. Rptr. 497 (Fitzgerald v. Cambridge Rent Control Board) is published on Counsel Stack Legal Research, covering Massachusetts Superior Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fitzgerald v. Cambridge Rent Control Board, 1 Mass. L. Rptr. 497 (Mass. Ct. App. 1994).

Opinion

McHugh, J.

I. BACKGROUND

This is an action in which plaintiff, Benedict F. Fitzgerald, Jr., (“Fitzgerald”), Trustee of the Tara Ware Street Trust, seeks review of, and declaratory relief concerning, a ruling of the defendant, Cambridge Rent Control Board (“Board”), denying his application for an Initial Removal Permit (“Permit”) and granting to him instead a Conditional Removal Permit. Review is sought pursuant to St. 1976, c. 36, §10 as amended by St. 1985, c. 399 and pursuant to G.L.c. 30A, §14.

Plaintiff alleges, in essence, that the Board took improper administrative notice of Board findings in an earlier case, acted in an arbitrary and capricious manner in denying his request for an unconditional removal permit and, by denying that request, exceeded its authority. Finally, plaintiff alleges that the Board’s action violates the Massachusetts Constitution, Part I, Articles I and X, and the Fifth Amendment to the Constitution of the United States because that action amounts to a “taking” of his property without just compensation and also violates the ban on involuntary servitude contained in the Thirteenth Amendment to the Constitution of the United States.

Based on the claimed errors and improprieties, plaintiff asks the Court to declare that the Cambridge Rent Control Ordinance is, in part at least, unconstitutional, to reverse the Board’s denial of his permit application and to order the Board to issue a permit without any conditions or, at the least, to order the Board to hold a rehearing on plaintiffs application for a permit.

The case came on for a hearing on the administrative record. A brief statement of the circumstances surrounding the administrative proceedings as well as the Board’s findings is helpful to put plaintiffs claims in their proper perspective.

II. PRIOR PROCEEDINGS

The administrative record reveals that Fitzgerald is the Trustee of the Tara Ware Street Trust (“the Trust”). The Trust owns a building at 25 Ware Street in Cambridge, Massachusetts. Plaintiff, his wife and his daughter are the beneficiaries of the Trust. Twenty-five Ware Street is a three-stoiy brick structure with four rooms on the third floor and three rooms on the second floor. Although plaintiff alleges that the building is a single-family house, the Board found in an earlier proceeding that the building is instead a five-unit, rent-controlled lodging house because plaintiff had been renting out rooms to individual tenants for a number of years. That ruling was affirmed on appeal in the Cambridge District Court and is now on appeal in the Appeals Court.

Approximately two years ago, plaintiff decided to occupy the building as a single-family dwelling and to stop renting any units in the building to others. Accordingly, he applied to the Board for a permit for “removal” of the four lodging units from rent control as required by the Cambridge Rent Control Ordinance (“the Ordinance”). The Ordinance is found in Chapter 8.44 of the Cambridge Municipal Code and, in pertinent part, says that “[n]o owner . . . shall remove from the market any controlled rental unit, unless the Board after a hearing grants a permit.” Ordinance, §8.44-040(A). The Ordinance goes on to say that the following acts are included in the definition of “removal from the market:”

5. Cause a unit, not the primary residence of a legal unit owner, to be vacant for one hundred twenty days or more or by refusing to rent or to offer to rent such unit in good faith . . . The existence of a vacancy for one hundred twenty days or more, [498]*498without a showing of good cause, shall constitute removal from the market.
6. “Removal from the market” does not include occupancy of a non-condominium unit by the owner of the building in which it is located or by any member of his/her immediate family.

Ordinance, §§8.44.020(D)(5), 8.44.020(D)(6).

The plaintiffs application for a removal permit came on for a hearing before a hearing examiner on April 22, 1992. The examiner took administrative notice of the hearing examiner’s findings and recommendations in the earlier proceedings in which plaintiff was found to be operating a lodging house. Record at 27-29. Ultimately, and in reliance on those earlier findings, the examiner found, among other things, that

1. [Plaintiffs) building is a five-unit rent controlled lodging house consisting of one dwelling unit which includes four rooming units on the third floor.
3. The four units on the third floor have been rented as rooming units for at least the past ten years.
5. While [plaintiff! alleges that he occupies the second floor with his wife and daughter who is thiriy years old, there is insufficient credible evidence to support such a finding . . .

Record at 95.

The examiner also found that loss of the rental units in plaintiffs building resulting from a “reconversion” of the building to a single-family dwelling would “aggravate the shortage of decent rental housing," in Cambridge. Record at 98. Accordingly, the examiner recommended that the Board deny plaintiffs request for a removal permit. On August 12, 1992, plaintiff filed objections to the examiner’s report, including objections based on constitutional grounds.

On November 9, 1992, the Board affirmed the examiner’s findings but modified his recommendation. In pertinent part, the modification is embodied in the following portions of the Board’s decision:

[T]he Board voted to grant (plaintiff) a temporary removal permit so that he may occupy the subject property as a single-family house so long as he lives there.
The Board further voted to grant [plaintiff] a conditional removal permit for two of the four rooming units on the third floor. This ruling is expressly conditioned on the other two rooming units remaining subject to the provisions of the Rent Control Act, notwithstanding owner-occupancy of the building.
In granting this relief, the Board found that its ruling . . . releases the owner from any obligation to apply for a lodging house license or to install costly secondary egress from the third floor.
This ruling which applies to all successor owners, shall be recorded in the Middlesex Registry of Deeds.

Record at 8. While conceivable arguments to the contrary may be made,1 the Board’s order thus permitted the plaintiff to use the building as a single-family dwelling on the condition that two of the units on the fourth floor, at least, would be and remain subject to the provisions of the Ordinance after plaintiff himself stopped living there.2

On November 25, 1992, plaintiff requested a rehearing, claiming various errors. The Board denied that request on December 1, 1992 and plaintiff thereupon sought judicial review.

III. DISCUSSION A. STATUTORY CLAIMS

Section 10(a) of the Ordinance, St. 1976, c. 36, provides that judicial review of Board decisions shall be conducted in accordance with the provisions of the Administrative Procedures Act, G.L.c. 30A, §14.

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1 Mass. L. Rptr. 497, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fitzgerald-v-cambridge-rent-control-board-masssuperct-1994.