Housing Authority v. Spratley

743 A.2d 309, 327 N.J. Super. 246
CourtNew Jersey Superior Court Appellate Division
DecidedDecember 30, 1999
StatusPublished
Cited by11 cases

This text of 743 A.2d 309 (Housing Authority v. Spratley) is published on Counsel Stack Legal Research, covering New Jersey Superior Court Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Housing Authority v. Spratley, 743 A.2d 309, 327 N.J. Super. 246 (N.J. Ct. App. 1999).

Opinion

743 A.2d 309 (1999)
327 N.J. Super. 246

HOUSING AUTHORITY AND URBAN REDEVELOPMENT AGENCY OF CITY OF ATLANTIC CITY, Plaintiff-Appellant,
v.
Joanne SPRATLEY, Margarite Burgess and Stacy Jackson, Defendants-Respondents.

Superior Court of New Jersey, Appellate Division.

Submitted December 1, 1999.
Decided December 30, 1999.

*310 Zeller & Bryant, Cherry Hill, for plaintiff-appellant (Natonya C. Phillips and Allen S. Zeller, on the brief).

Cape-Atlantic Legal Services, for defendants-respondents (Kenneth M. Goldman, on the brief).

Before Judges BAIME, BROCHIN and EICHEN.

The opinion of the court was delivered by

BAIME, P.J.A.D.

The Housing Authority of Atlantic City instituted summary dispossess actions against defendants based upon their refusal to accept an addendum to their leases. *311 The addendum permitted the Housing Authority to bring eviction proceedings for any drug-related criminal activity committed on or off the demised premises by the tenant, any member of the tenant's household, or any guest or other person under the tenant's control. This lease provision is mandated in all federally funded housing projects by federal statute and regulation and is part of the "one strike and you're out" policy promulgated by the Department of Housing and Urban Redevelopment (HUD). On motion of the defendants, the Special Civil Part dismissed the Housing Authority's complaints, finding that the addendum was unreasonable. The Housing Authority appeals. We reverse.

I.

The Housing Authority owns and operates the apartment complex in which defendants reside. The Authority receives federal funds. Defendants' rents are federally subsidized.

In 1990, Congress passed the Cranston-Gonzalez National Affordable Housing Act. 42 U.S.C. § 1437d(l)(5). The Act requires all public housing agencies to incorporate in their leases an "accountability" provision. Ibid. As amended in 1996, the mandated clause states in pertinent part:

Any criminal activity that threatens the health, safety or right to peaceful enjoyment of the premises by other tenants or any drug-related criminal activity on or off such premises, engaged in by a public housing tenant, any member of the tenant's household, or any guest or other person under the tenant's control, shall be cause for termination of [the] tenancy.

[42 U.S.C. § 1437d(l)(5).]

Implementing regulations provide that "any drug-related criminal activity ... [by a tenant, any member of the household, a guest, or another person under the tenant's control] shall be cause for termination of [the] tenancy, and for eviction from the unit." 24 C.F.R. § 966.4(f)(12)(1999).

In 1998, defendants were presented with new leases incorporating language that essentially tracks the statutory and regulatory provisions. The addendum states that the "authority shall terminate the tenancy of any resident family whose members ..., guest or other invitees engag[e] in drug-related criminal activity on or off the premises." The tenants refused to accept the proposed leases for fear they would be subject to eviction for the criminal acts of other parties. Specifically, they construed the addendum as making them "strictly liable" for drug-related activities committed by family members or guests regardless of their lack of knowledge or fault.

After serving defendants with appropriate notices, the Housing Authority filed separate summary dispossess complaints against each tenant. The Housing Authority relied upon N.J.S.A. 2A:18-61.1(i), which permits a summary eviction where the tenant refuses to accept "reasonable changes of substance in the terms and conditions of the lease." The actions were subsequently consolidated. On these meager facts, the Special Civil Part found that the federally mandated lease provision was "unreasonable" because it "subject[ed] tenants to eviction for the criminal acts of others over whom they ha[ve] no control" and about whose activities "they ha[ve] no knowledge." The court further concluded that HUD's "one strike and you're out" policy did not preempt New Jersey's Anti-Eviction Act (N.J.S.A. 2A:18-61.1) because regulations adopted by HUD conferred discretion on public housing agencies to craft eviction policies protecting tenants and allowing for individual circumstances. Although the court did not refer to any specific regulation, we assume that it was pointing to 24 C.F.R. § 966.4(l)(5)(i), which states that a public housing agency "shall have discretion to consider all of the circumstances of the case, including the seriousness of the offense, the extent of participation by family members, and the effects *312 that the eviction would have on family members not involved in the proscribed activity." The regulation permits a public housing agency to allow "continued occupancy by remaining family members." Ibid. It is against this factual backdrop that we address the arguments advanced.

II.

We begin with the question whether the federal statutes and regulations permit a public housing agency to evict a tenant who is not at fault because of the drug-related activities of a household member, guest or other person under the tenant's control. The parties have devoted much time and effort in addressing this point. The Housing Authority argues that the Cranston-Gonzalez Act and its implementing regulations authorize such a remedy. Defendants assert that this was not the legislative or regulatory intent. We briefly alluded to the problem in Housing Authority of the City of Jersey City v. Thomas, 318 N.J.Super. 191, 195-96, 723 A.2d 119 (App.Div.1999), but found it unnecessary to resolve the issue because the record was not fully developed. The issue has received uneven treatment in other jurisdictions. Compare City of South San Francisco Housing Auth. v. Guillory, 41 Cal.App. 4th Supp. 13, 19, 49 Cal.Rptr.2d 367, 371 (1995) (Congress provided "straightforward practical" method for eviction based on strict liability); Housing Authority of New Orleans v. Green, 657 So.2d 552, 554 (La.Ct.App.1995) (language does not imply that tenant must have knowledge about drug activity as precondition to eviction); Minneapolis Public Housing Auth. v. Lor, 591 N.W.2d 700, 703 (Minn.1999) (statute provides for strict liability, and discretion conferred on housing authority by the regulation does not "imbue" courts with power to review the manner in which discretion is exercised); Matter of Syracuse Housing Authority v. Boule, ___ A.D.2d ___, 701 N.Y.S.2d 541, ___(1999) (lease provides for strict liability although authority may exercise discretion and decide not to bring eviction proceedings) with Diversified Realty Group, Inc. v. Davis, 257 Ill.App.3d 417, 422, 195 Ill.Dec. 617, 628 N.E.2d 1081, 1085 (1993) (tenant must have "some minimum connection with the unlawful conduct" in order to be evicted); Charlotte Housing Authority v. Patterson, 120 N.C.App. 552, 557, 464 S.E.2d 68, 72 (1995) (good cause for eviction does not exist when tenant is not personally at fault).

We have no occasion to decide the question here. More specifically, we perceive no pressing need to decide the issue in the abstract.

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743 A.2d 309, 327 N.J. Super. 246, Counsel Stack Legal Research, https://law.counselstack.com/opinion/housing-authority-v-spratley-njsuperctappdiv-1999.