Mendoza-Lebron v. Adams

CourtDistrict Court, E.D. New York
DecidedJuly 11, 2025
Docket1:24-cv-05154
StatusUnknown

This text of Mendoza-Lebron v. Adams (Mendoza-Lebron v. Adams) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mendoza-Lebron v. Adams, (E.D.N.Y. 2025).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK

LILLIANA MENDOZA-LEBRON et al.,

Plaintiffs, v. MEMORANDUM & ORDER 24-CV-05154 (HG) ERIC ADAMS, in his capacity as Mayor of the City of New York, et al.,

Defendants.

HECTOR GONZALEZ, United States District Judge: Plaintiff homeowners1 bring this action pursuant to 42 U.S.C. § 1983; the Americans with Disabilities Act (the “ADA”), 42 U.S.C. § 12101 et seq.; the Fair Housing Act (the “FHA”)2, 42 U.S.C. § 3601 et seq.; and various state and local laws, alleging claims against various City of New York (the “City”) Defendants3. ECF No. 1 (Compl.). Before the Court is Defendants’ motion to dismiss pursuant to Rules 12(b)(1)4 and 12(b)(6). ECF No. 19 (Mot. to Dismiss). For the reasons explained below, Defendants’ motion is GRANTED.

1 Plaintiffs are Lilliana Mendoza-Lebron, Harvey Mendoza, Ethel Oliphant, Jim Hamlin- McLeod, Elvira Beltrez-Tavarez, Francisco Tavarez, and Junior Beckford.

2 The ADA and FHA claims are brought as to Plaintiffs Oliphant, Hamlin-McLeod, and Tavarez only. ECF No. 1 at 46.

3 Defendants are Eric Adams, in his capacity as Mayor of the City, Rohit T. Aggarwala, in his capacity as Commissioner of the City’s Department of Environmental Protection (“DEP”); and the New York City Water Board (“Water Board”). The City is not a Defendant.

4 Although Defendants move to dismiss only under Rule 12(b)(6), the Court’s consideration of a motion to dismiss for mootness and lack of standing is properly considered under Rule 12(b)(1). See Gannon v. 31 Essex St. LLC, No. 22-cv-1134, 2023 WL 199287, at *2 (S.D.N.Y. Jan. 17, 2023) (considering a 12(b)(6) motion to dismiss for lack of standing under Rule 12(b)(1)). BACKGROUND5 Plaintiffs are challenging the City’s policy of shutting off running water to buildings whose owners are delinquent on their water bills. ECF No. 1 ¶¶ 1–2. The City’s DEP and Water Board supply water to over eight million people. Id. ¶ 19. Historically, the City has not shut off

residential water service for unpaid bills due to health and safety concerns. Id. ¶ 22. Beginning in 1996 under then-Mayor Giuliani, the City began annually selling and securitizing property tax and water liens through City-established trusts. Id. ¶ 23. Subsequent amendments to the lien sale law in 2001 and 2007 expanded this authority, allowing the City’s lien-sale entities to use judicial foreclosure. Id. ¶ 24. However, protections were added: the 2007 law excluded single- family homeowners and vulnerable low/moderate-income two- or three-family homeowners (i.e., elderly, disabled, veterans, and service-members) from having water/sewer debts sold. Id. ¶¶ 25–28. Though their debts continued to accrue without sale, this policy aimed to let vulnerable residents stay in their homes. Id. In 2020, during the COVID-19 pandemic, a state- mandated suspension halted the lien sale; it briefly resumed in December 2021, with water debt

again excluded. Id. ¶¶ 29–30. In March 2024, Mayor Adams announced a new policy of shutting off water to individual City property owners who were delinquent on their water bills. Id. ¶¶ 31–32. Plaintiffs allege that Defendants are targeting one- and two-family homes for water shutoffs, while using law firms to collect from larger buildings, and that this approach disregards the fact that many small- homeowners owe large debts due to hardship, past repayment plans, or exemptions under the

5 The Court “recite[s] the substance of the allegations as if they represented true facts, with the understanding that these are not findings of the [C]ourt, as [I] have no way of knowing at this stage what are the true facts.” In re Hain Celestial Grp., Inc. Sec. Litig., 20 F.4th 131, 133 (2d Cir. 2021). Unless otherwise indicated, when quoting cases and the parties’ papers, all internal quotation marks, alteration marks, emphases, footnotes, and citations are omitted. The Court refers to the pages assigned by the Electronic Case Files system (“ECF”). City’s policy protecting elderly or disabled residents from lien sales. Id. ¶¶ 34–39. Plaintiffs further allege that although Defendants say their goal “is to be compassionate to those who deserve our compassion and enforcing on those who are trying to game the system,” Defendants have failed to provide notice to Plaintiffs of “any protections for seniors or families with

children, and have not even complied with existing protections that are in place for residents who are living with medical conditions, many of whom are disabled, which would ensure access to running water for vulnerable individuals.” Id. ¶¶ 41–42. The Water Board is subject to the Home Energy Fair Practices Act (“HEFPA”) and its implementing regulations, protecting residential utility customers, including those receiving water service. Id. ¶¶ 47–48. HEFPA regulations—enforced by the New York State Public Service Commission—prohibit water shutoffs in households where a medical emergency exists, as certified by a doctor or health board. Id. ¶¶ 47, 51. These protections also extend to residents who are elderly, blind, disabled, or minors. Id. ¶¶ 50–55. In such cases, water utilities must take proactive steps to avoid termination, including offering payment plans without downpayments;

limiting back-billing collection to 12 months of missed payments; involving social services; and continuing service for a specified period after notification. Id. ¶¶ 55–59. The Water Board’s regulation, titled “The Discontinuance of Water Supply and/or Sewer Service Because of Nonpayment,” or “Regulation 2,” mirrors the HEFPA protections. Id. ¶¶ 60–61. It requires a renewable 30-day pause on shutoffs for medically vulnerable residents and mandates contact with an adult resident, referral to the City’s Human Resources Administration if needed, and a 20-day continuation of service for protected households (including those with elderly, disabled, or minor residents). Id. ¶ 61. Regulation 2 also mandates that termination notices clearly summarize applicable exemptions and procedures for resolving disputes before service is shut off. Id. ¶¶ 62–63.6 As part of their 2024 water debt collection plan, Defendants sent pre-termination notices to Plaintiffs’ households, threatening imminent water shutoffs. Id. ¶¶ 66–67, 94, 117, 141, 160,

195. These notices contain the following provision: “You may be eligible to stop the water shut off if you have a significant medical condition, are disabled, or have children under 6 years of age living in the household. To claim an eligible exemption or enter into a payment agreement contact DEP’s Collection Unit at 718-595-7890 Monday to Friday from 9AM and 5PM.” Id. However, Plaintiffs allege that the notices did “not provide further information regarding how to prove one’s entitlement to these exemptions or protections, nor even meaningful information as to what the grounds for exemption or protection are,” nor did they “provide a complete description of detailed procedures to submit a complaint and have that complaint considered prior to service termination.” Id. ¶¶ 68–69. Plaintiffs further allege that Defendants proceed with terminations despite being notified of exemptions, fail to offer affordable payment plans

without downpayments, neglect to involve social services, and engage in improper back-billing while withholding information about legal protections and providing misleading guidance to residents seeking help. Id. ¶¶ 70–75. All Plaintiffs received some notice from Defendants that they were delinquent on their water bills and threatening to shut off their water. Id.

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