Hayes v. Harvey

186 F. Supp. 3d 427, 2016 U.S. Dist. LEXIS 61497, 2016 WL 2744816
CourtDistrict Court, E.D. Pennsylvania
DecidedMay 10, 2016
DocketCIVIL ACTION NO. 15-2617
StatusPublished
Cited by4 cases

This text of 186 F. Supp. 3d 427 (Hayes v. Harvey) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hayes v. Harvey, 186 F. Supp. 3d 427, 2016 U.S. Dist. LEXIS 61497, 2016 WL 2744816 (E.D. Pa. 2016).

Opinion

MEMORANDUM OPINION

NITZAI. QUIÑONES ALEJANDRO, USDC J.

INTRODUCTION

This is an action seeking declaratory judgment and injunctive relief under the United States Housing Act of 1937 (the “Housing Act”), as amended, 42 U.S.C. § 1437f. Presently, before this Court are the parties’ cross-motions for summary judgment filed pursuant to Federal Rule of Civil Procedure 56, [ECF 16 and 17], which have fully briefed the issues.1 The parties’ dispute arose from the decision of Philip E. Harvey (“Defendant”) in February 2015, to not renew the Section 8 tenant-based housing assistance payment contract and the related lease agreement with Theodore Hayes and Aqeela Fogle (collectively “Plaintiffs” or the “Hayes Family”), set to expire naturally on April 30, 2015. Specifically, the parties disagree as to their respective rights and obligations as owner/landlord and tenant under various provisions of the Housing Act.

For the reasons set forth, Plaintiffs’ motion for summary judgment is denied, and Defendant’s motion for summary judgment is granted.

BACKGROUND

The relevant facts in this case were drawn from the “Statement of Undisputed Facts,” submitted by Plaintiffs, [ECF 16-1], which Defendant does not contest but, instead, supplements with additional facts. [429]*429[EOF 17]. These facts are summarized as follows:

Plaintiffs Theodore Hayes and Aqeela Fogle are a Section 8 voucher tenant family who live at 538B Pine Street, Philadelphia, Pennsylvania (the “Property”). This residence was built in 1982 as part of Washington Square East, a Section 8 project-based housing development in the Society Hill area of Philadelphia, and was federally subsidized pursuant to Section 8 of the United States Housing Act of 1937, 42 U.S.C. § 1437f. The Washington Square East complex consisted of three duplex row homes, totaling six units, and covered 536-540 Pine Street.
In 2008, Pine Street Associates, the owners of Washington Square East, chose not to renew its project-based Section 8 contract and sent the then existing tenants a one-year opt-out notice advising the tenants that the Section 8 contract was set to expire on January 17, 2009. Thereafter, the Philadelphia Housing Authority (the “PHA”), the local public housing authority charged with administering tenant-based assistance programs, provided each of the Washington Square East tenants, including Plaintiffs, with Enhanced Vouchers, in accordance with the Housing Act, 42 U.S.C. § 1437f(t). Plaintiffs chose to remain in 538B Pine Street.2
In August 2010, Pine Street Associates sold the Property, (536-540 Pine Street), to Defendant for $1.2 million, free and clear of any impediments, encumbrances, liens and/or restrictions. The recorded deed contains no restrictions on the residential rental use of the premises.

On November 8, 2010, Defendant signed a Section 8 voucher lease (the “Lease”) with Mrs. Florence Hayes, the head of household at the time for the Hayes Family, regarding the 538B Pine Street unit. The term of the Lease was retroactive to May 11, 2010, with an initial termination date of April 30, 2011, but subject to automatic renewal for another one-year term. The Lease, however, is silent as to the timing of any notice requirement by the landlord/owner for the termination of the Lease at the end of a term. The parties renewed the Lease in 2011 for a two-year term and again in 2013. The most recent Lease term ended on April 30, 2015.

In its pertinent section, the Lease provides that the owner may only terminate the tenancy or lease on the following grounds:

1. Serious or repeated violation of the terms and conditions of the lease.
2. Violation of Federal, State or local law that impose obligations on the Tenant in connection with the occupancy, the contract unit and the premises.
3. Criminal activity ...
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4. Other good cause. “Other good cause” may include, but is not limited to, any of the following examples:
I. Failure by the Tenant family to accept the offer of a new lease or revision after the first year of the lease;
II. A family history of disturbance of neighbors or destruction of property, or of living or housekeeping habits resulting in damage to the unit or property;
[430]*430III, The Owner’s desire to utilize the unit for personal or family use or for a purpose other than use as a residential unit after the first year of the lease;
IV. A business or economic reason for termination of the tenancy (such as sale of property, renovation of the unit, desire to rent the unit at a higher rental) after the first year of the lease.
Note: The Owner must give PHA a copy of any Owner eviction notice of Tenant at the same time that the Owner gives notice to Tenant.
On the date the parties entered into the Lease, Defendant also entered into a Housing Assistance Payments Contract (the “HAP Contract”), with the PHA, pursuant to the “Section 8 Tenant-Based Assistance Housing Choice Voucher Program.” (See Exhibit S) (emphasis added). Under its stated “purpose” provision, the HAP Contract provided:
This is a HAP contract between the PHA and the owner. The HAP contract is entered to provide assistance for the family under the Section 8 voucher program (see HUD program regulations at 24 Code of Federal Regulations Part 982).
The HAP Contract similarly restricts the grounds on which an owner can terminate the Lease.
On February 2, 2015, Mrs. Florence Hayes, the original head of household on the Lease, passed away. The PHA removed Mrs. Hayes’ name from the Lease and issued an addendum, listing and identifying Plaintiff Theodore Hayes on the Lease as the head of household.
On February 17, 2015, Defendant sent a “Nonrenewal Letter” to the Hayes Family indicating his intention to not renew the Lease due to the death of Mrs. Florence Hayes (the named head of household), and requiring that the apartment be vacated by the end of the current term, April 30, 2015. The letter also advised the Hayes Family of Defendant’s intention to fully renovate the apartment after they vacated the premises. A copy of the letter was also sent to the PHA.
On May 1, 2015, Defendant sent the Hayes Family a “Notice to Vacate,” which referenced the earlier letter and repeated Defendant’s intention to not renew the Lease. This notice again advised the Hayes Family of Defendant’s intention to renovate the property and to have a family member move into the premises. The letter provided the Hayes Family five additional days to vacate the premises before eviction proceedings would be initiated.

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Related

Theodore Hayes v. Philip Harvey
874 F.3d 98 (Third Circuit, 2017)

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Bluebook (online)
186 F. Supp. 3d 427, 2016 U.S. Dist. LEXIS 61497, 2016 WL 2744816, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hayes-v-harvey-paed-2016.