Morales v. Housing Authority of the City of Allentown (In Re Morales)

45 B.R. 314, 1985 Bankr. LEXIS 6883
CourtUnited States Bankruptcy Court, E.D. Pennsylvania
DecidedJanuary 18, 1985
Docket19-11263
StatusPublished
Cited by5 cases

This text of 45 B.R. 314 (Morales v. Housing Authority of the City of Allentown (In Re Morales)) is published on Counsel Stack Legal Research, covering United States Bankruptcy 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
Morales v. Housing Authority of the City of Allentown (In Re Morales), 45 B.R. 314, 1985 Bankr. LEXIS 6883 (Pa. 1985).

Opinion

MEMORANDUM OPINION

THOMAS M. TWARDOWSKI, Bankruptcy Judge.

In this adversary proceeding, the Chapter 13 debtor-plaintiff seeks a preliminary injunction enjoining defendant Housing Authority of the City of Allentown (“HACA”) from preventing her from re-occupying the premises (or comparable premises) which HACA had formerly leased to her pursuant to their lease agreement of January 18, 1980. For the reasons hereinafter given, we shall grant preliminary injunctive relief to the debtor. 1

The present controversy stems from a landlord and tenant action brought by HACA against the debtor in a state District Justice Court. On August 2, 1984, the District Justice entered judgment in this action in favor of HACA and against the debtor in the amount of $123.13. In addition, HACA was granted possession of the premises leased by it to the debtor since January 18, 1980. On August 23, 1984, the District Justice, at HACA’s request, issued to the Constable an Order for Possession of the subject premises. The Constable served the Order for Possession upon the debtor on August 23, 1984 at 6:15 P.M. The Order for Possession contained a notification to the debtor which stated, in essence, that if she did not vacate the premises within 15 days after the date of the notice, the Constable was legally authorized to use such force as necessary to enter the premises and eject the debtor therefrom.

On September 7, 1984, at approximately 4:00 P.M., the Constable executed the Order for Possession by securing the premises in the debtor’s absence. Later on September 7, 1984, the debtor reentered the premises by gaining entrance through a basement window. After having learned from HACA of the debtor’s reentry, the Constable, on September 11, 1984 at 3:45 P.M., again secured the subject premises in the debtor’s absence.

The debtor filed her Chapter 13 bankruptcy petition on September 11, 1984 at 3:55 P.M., listing HACA as an unsecured creditor.

On September 12, 1984, the debtor notified HACA of her bankruptcy filing and demanded reentry into the premises. This demand was refused by HACA. The debt- or, with HACA’s permission, removed all of her personal property from the premises on September 12, 1984.

On September 11, 1984, subsequent to the aforementioned re-securing of the premises, the debtor moved into the home of another of HACA’s tenants, where, with HACA’s permission, she still remains. However, everyone concerned agrees that this is not a satisfactory permanent living arrangement. At all times relevant herein, the debtor has resided, and continues to reside, with her seven-year old daughter.

In September, 1984, following the re-securing of the premises, HACA re-rented the subject premises to new tenants taken from HACA’s waiting list of approximately 600 applicants for public housing.

*316 Subsequently, the debtor commenced the present adversary proceeding by filing a complaint against HACA and the bankruptcy trustee. The complaint essentially alleges that HACA wrongfully dispossessed the debtor from the subject premises and that, following the debtor’s bankruptcy filing, HACA’s continuing refusal to permit the debtor to re-occupy the premises constitutes a violation of the automatic stay imposed by section 362(a) of the Bankruptcy Code, 11 U.S.C. § 362(a), and renders HACA in contempt of our Order imposing the automatic stay. The complaint further alleges that HACA’s actions render HACA liable to the debtor pursuant to 42 U.S.C. § 1983 as a deprivation, under color of state law, of the debtor’s rights secured by the Bankruptcy Code. The complaint requests relief in the form of, inter alia, monetary damages and attorney fees. The complaint also requests that HACA “be enjoined from preventing the Plaintiff from regaining possession of her premises and from taking any further action against her.”

Pursuant to her complaint, the debtor has filed her instant motion for a preliminary injunction, in which she requests an Order enjoining HACA from taking any action to prevent the debtor from occupying the subject premises or comparable premises pending further Order of this Court. At the hearing on the debtor’s motion for a preliminary injunction, all of the aforementioned facts were stipulated to by the parties.

It is well-established that, in order to be entitled to preliminary injunctive relief, the moving party must generally show (1) a reasonable probability of eventual success on the merits in the litigation and (2) that the movant will be irreparably injured 'pendente lite if such relief is not granted. The Court should also take into account, when relevant, (3) the possibility of harm to other interested persons from the grant or denial of the injunction, and (4) the public interest. Constructors Association of Western Pennsylvania v. Kreps, 573 F.2d 811, 815 (3rd Cir.1978); Delaware River Port Authority v. Transamerican Trailer Transport, Inc., 501 F.2d 917, 919-920 (3rd Cir.1974); In re Markim, Inc., 12 B.R. 583, 585 (Bankr.E.D.Pa.1981).

In the present matter, it is undisputed that the debtor is entitled to the preliminary injunctive relief she seeks if she can show that she has a reasonable probability of ultimately succeeding on the merits of this adversary proceeding. In determining whether such a showing has been made, the parties agree that the dispositive issue is whether or not, under Pennsylvania law, the debtor had been lawfully ejected from the subject premises as of the time she filed her bankruptcy petition. If not, she has retained an interest in the premises. Such an interest would constitute property of the debtor’s bankruptcy estate under section 541(a)(1) of the Bankruptcy Code, 11 U.S.C. § 541(a)(1). Therefore, HACA’s continuing refusal to allow the debtor to regain possession of the subject premises (or of comparable premises administered by HACA) following her bankruptcy filing would constitute a violation of the automatic stay of § 362(a) of the Bankruptcy Code. 2 See In re Gambogi, 20 B.R. 587 (Bankr.D.R.I.1982); In re Pickus, 8 B.R. 114 (Bankr.D.Conn.1980).

With regard to the lawfulness of the debtor’s ejection, the threshold issue is whether or not the ejection of the debtor on September 7, 1984 was valid under Pennsylvania law. This issue turns upon the proper interpretation of Rule 519 (Forcible Entry and Ejectment) of the Pennsylvania Rules of Civil Procedure Governing Actions and Proceedings before District Justices (hereinafter “District Justice Rules”).

Rule 519 states in relevant part:

“If, after fifteen (15) days after the service of the order for possession, the defendant ...

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71 B.R. 780 (E.D. Pennsylvania, 1987)
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Bluebook (online)
45 B.R. 314, 1985 Bankr. LEXIS 6883, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morales-v-housing-authority-of-the-city-of-allentown-in-re-morales-paeb-1985.