OXFORD HOUSE, INC. v. TOWNSHIP OF NORTH BERGEN

CourtDistrict Court, D. New Jersey
DecidedJune 29, 2022
Docket2:21-cv-19260
StatusUnknown

This text of OXFORD HOUSE, INC. v. TOWNSHIP OF NORTH BERGEN (OXFORD HOUSE, INC. v. TOWNSHIP OF NORTH BERGEN) is published on Counsel Stack Legal Research, covering District Court, D. New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
OXFORD HOUSE, INC. v. TOWNSHIP OF NORTH BERGEN, (D.N.J. 2022).

Opinion

Not for Publication

UNITED STATES DISTRICT COURT DISTRICT OF NEW JERSEY

OXFORD HOUSE, INC.,

Plaintiff, Civil Action No.: 21-19260 (ES) (ESK)

v. OPINION

TOWNSHIP OF NORTH BERGEN,

Defendant.

SALAS, DISTRICT JUDGE Before the Court is Plaintiff Oxford House, Inc.’s motion for a preliminary injunction. (D.E. Nos. 1-9 & 8). Defendant Township of North Bergen (“Defendant” or the “Township”) opposes the motion. (D.E. No. 23). Having considered the parties’ submissions, the Court decides this matter without oral argument. See Fed. R. Civ. P. 78(b); L. Civ. R. 78.1(b). For the reasons set forth below, the Court DENIES the motion. I. BACKGROUND Plaintiff is an organization that establishes affordable housing for individuals recovering from substance abuse and/or alcoholism across the United States. (D.E. No. 1 (“Complaint” or “Compl.”) ¶ 4). The Oxford House model is designed to provide persons recovering from alcoholism or other forms of substance abuse with a living arrangement that aids recovery by directly combatting loneliness and isolation. (Id. ¶ 28). After Plaintiff secures a lease, the residents of the respective Oxford House take full responsibility. (Id. ¶ 20). There is no paid staff, counseling, therapy, or house manager on site. (Id.). The residents have a direct landlord-tenant relationship with the lessor and are responsible for their equal share of the rent. (Id. ¶¶ 22 & 24). They are also equally responsible for the dwelling’s utilities and housekeeping functions. (Id. ¶¶ 25 & 28). The residents make all decisions as to the occupancy and functioning of the property. (Id. ¶¶ 25 & 26). So long as a resident does not use drugs or alcohol, pays rent on time, and abides by the norms of the house, the resident is free to stay indefinitely. (Id. ¶ 27). Since 2001, Plaintiff has contracted with the State of New Jersey to administer funding for its group homes. (Id. ¶¶ 15

& 16). On February 8, 2021, Babu Balarmiah signed a lease to rent the second-floor unit of 1109 8th Street in North Bergen, New Jersey (“the Property”) to a maximum of six men for use as an Oxford House for a monthly rent of $2,300. (Id. ¶ 18). The prospective residents would be responsible for running the Oxford House at the Property under the Oxford House model. (Id. ¶¶ 23 & 25). The Property is a two-family dwelling, which is defined by a Township ordinance as “[a] building containing two dwelling units only.” (D.E. No. 23-2, Ex. A to Hammer Cert. at 18).1 Defendant requires all landlords or their agents to apply for a Certificate of Occupancy (“COO”) prior to the tenant taking possession of the premises. (Compl. ¶ 30).

On February 25, 2021, Mr. Balarmiah’s realtor, Irene Hsieh, submitted an application for a COO on behalf of Plaintiff. (Id. ¶ 33). A list of prospective residents was included in the submission. (Id. & D.E. No. 23-2, Ex. A to Hammer Cert. at 8–10). Also on February 25, 2021, Ms. Hsieh sent Peter Hammer, the Director of Community Improvement for the Township, an email containing information on the Oxford House concept. (Compl. ¶ 34 & D.E. No. 23-2, Ex. B to Hammer Cert. at 26–30). The informational literature indicated that “individuals with a Charter from Oxford House, Inc. will lease a single-family house.” (D.E. No. 23-2, Ex. B to Hammer Cert. at 28 (emphasis added)). On or about March 1, 2021, Mr. Hammer informed Ms.

1 Unless otherwise noted, all references to Docket Entry Number 23-2 refer to the pagination automatically generated by the Court’s CM/ECF system. Hsieh by telephone that the application was denied because Plaintiff’s use of the Property would violate the Township’s zoning ordinances. (Compl. ¶¶ 35 & 38). Mr. Hammer confirmed the same by email. (D.E. No. 23-2, Ex. B to Hammer Cert. at 31). On March 4, 2021, Plaintiff’s counsel contacted Defendant to request that the prospective residents be treated as the functional equivalent of a family. (Compl. ¶ 39 & D.E. No. 1-3, Ex. C

at 2)). On March 9, 2021, Defendant’s counsel responded by acknowledging that the prospective residents functioned as the equivalent of a family, but that the COO had been denied because it was Defendant’s understanding that Plaintiff would be operating a “Community Residence” in a two-family dwelling in violation of N.J.S.A. § 40:55D-66.1 (the “Community Residence provision”).2 (Compl. ¶ 41 & D.E. No. 1-4, Ex. D). Defendant’s counsel noted that “[i]f this were a single-family dwelling, the [COO] would have certainly been granted.” (Compl. ¶ 43 & D.E. No. 1-4, Ex. D). Defendant’s counsel further advised Plaintiff that it may appeal the decision to the Township’s Zoning Board. (D.E. No. 1-4, Ex. D at 3). By letter dated March 11, 2021, Plaintiff’s counsel replied, stating that the prospective Oxford House is not a “Community

[r]esidence” as that term is statutorily defined. (Compl. ¶¶ 45–47 & D.E. No. 1-6, Ex. F). Plaintiff did not receive a response to its March 11, 2021 letter. (See Compl. ¶ 48). Over four months later,

2 The Community Residence provision provides:

Community residences for persons with developmental disabilities, community shelters for victims of domestic violence, community residences for persons with terminal illnesses, community residences for persons with head injuries, and adult family care homes for persons who are elderly and adults with physical disabilities shall be a permitted use in all residential districts of a municipality, and the requirements therefor shall be the same as for single family dwelling units located within such districts.

N.J.S.A. § 40:55D-66.1 (emphases added). It is unclear whether the Community Residence provision expressly prohibits the operation of an Oxford House in a two-family dwelling. However, that issue is not squarely before the Court. on July 20, 2021, Plaintiff informed Defendant that it was prepared to take legal action if the COO was not granted. (Id. ¶ 49 & D.E. No. 1-7, Ex. G). Over three months later, on October 22, 2021, Plaintiff filed the instant action raising the following claims: (i) violation of the Fair Housing Act (“FHA”), 42 U.S.C. § 3602, et seq. (Count I); (ii) violation of the Americans with Disabilities Act (“ADA”), 42 U.S.C. § 12132, et seq. (Count

II); and (iii) violation of the New Jersey Law Against Discrimination (“NJLAD”), N.J.S.A. § 10:5- 1, et seq. (Count III). (Compl. ¶¶ 67–79). Along with the Complaint, Plaintiff also filed a request for a temporary restraining order, preliminary injunction, and expedited hearing. (Id. ¶¶ 80–83 & D.E. No. 1-8). Plaintiff sought to temporarily enjoin Defendant from preventing disabled men from taking possession of and occupying the Property and requested a preliminary injunction ordering Defendant to issue a COO to Plaintiff for operation of an Oxford House. (D.E. No. 1-8 at 2). On October 25, 2021, the Court converted Plaintiff’s request for temporary restraints to a motion for a preliminary injunction. (D.E. No. 2). Expedited discovery commenced and the motion was fully briefed in due course. (D.E. No. 1-9 (“Mov. Br.”); D.E. No. 23 (“Opp.”); D.E.

No. 24 (“Reply”)). Discovery is ongoing but complete for purposes of this motion. (D.E. No. 32). II. LEGAL STANDARD A court has discretion to grant or deny a motion for a preliminary injunction. Am. Express Travel Related Servs., Inc. v. Sidamon-Eristoff, 669 F.3d 359, 366 (3d Cir. 2012).

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OXFORD HOUSE, INC. v. TOWNSHIP OF NORTH BERGEN, Counsel Stack Legal Research, https://law.counselstack.com/opinion/oxford-house-inc-v-township-of-north-bergen-njd-2022.