United States v. Habersham Properties, Inc.

319 F. Supp. 2d 1366, 2003 U.S. Dist. LEXIS 25450, 2003 WL 23529444
CourtDistrict Court, N.D. Georgia
DecidedOctober 6, 2003
Docket1:02-cv-01531
StatusPublished
Cited by6 cases

This text of 319 F. Supp. 2d 1366 (United States v. Habersham Properties, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Habersham Properties, Inc., 319 F. Supp. 2d 1366, 2003 U.S. Dist. LEXIS 25450, 2003 WL 23529444 (N.D. Ga. 2003).

Opinion

ORDER

MARTIN, District Judge.

This action is before the court on the defendants’ Motions for Summary Judgment [Doc. Nos. 50-1, 53-1 and 57-1] and defendants’ Motions for Oral Argument [Doc. Nos. 51-1 and 54-1],

1. Procedural Background

On June 13, 2002, the United States (hereinafter “the U.S.” or “the government”) initiated this action against Ha-bersham Properties, Inc. (“Habersham”), Peachtree Battle Investors, LLC (“PB Investors”), and Suzanne Monner (“Mon-ner”) for violation of the Fair Housing Act (hereinafter “the FHA” or “the Act”). 42 U.S.C. § 3601, et seq. On August 9, 2002, Lynda Lee Osborne (“Osborne”) intervened in this action pursuant to section 3614(e) of the Act 1 and Fed.R.Civ.P. 24. 2 On March 20, 2003, defendant Habersham and defendant PB Investors filed motions for summary judgment with this court. Defendant Monner filed a motion in support of Habersham’s motion for summary judgment on April 11, 2003.

II. Factual Background

The facts set forth here give all deference to the plaintiffs’ version of the facts, as is required in a summary judgment setting. Accordingly, the court does not consider this account of the facts to be “factual findings” by the court and the court will not be bound by this account in future proceedings in this or any other action.

*1369 PB Investors is the corporate owner of the Crescent Court Apartments (“Crescent Court”). PB Investors is headquartered in DeKalb County and it has owned Crescent Court since 1994. Crescent Court is the only asset of PB Investors. Habers-ham is a property management company that was hired by PB Investors to manage Crescent Court. Habersham manages approximately 26 other residential complexes in the Northern District of Georgia. Mon-ner is the on-site community manager at Crescent Court and has been since 1992, before PB Investors bought the complex. She is an employee of Habersham. When Habersham took over management of the complex, it was decided that Monner would be maintained in her position.

The U.S. alleges that the defendants have violated the FHA by having a “pattern or practice of discrimination” in their leasing practices. The “pattern or practice of discrimination” allegation that the government asserts against the defendants is founded on three separate factual bases. All three of the bases involve the behavior of Monner when conducting the leasing matters of Crescent Court.

A. Lynda Osborne

The first assertion relates to the interaction plaintiff-intervenor Osborne had with Monner when attempting to lease an apartment at Crescent Court. On January 25, 2001, Osborne, who is African-American, went to Crescent Court to inquire about the availability of an apartment. Monner told her there were no apartments currently available. During her visit, Osborne received information regarding the apartments, such as the floor plans, the rent range and a blank application. Before Osborne left, she filled out a guest card and Monner told her to check back after February 1, noting that tenants usually gave notice of their intention to vacate on the first of the month.

On Monday, January 29, 2001, Osborne called Crescent Court using a British accent and inquired about apartment availability. Monner told her there was an apartment available. The following morning, Osborne went to Crescent Court in person to inquire about availability. Mon-ner again told her there was nothing available and suggested she come back on February 1. Later that afternoon, Osborne called Crescent Court again using a British accent and an alias of “Katherine Windsor.” During this phone call, she confirmed that an apartment was available. Osborne also had a Caucasian acquaintance, Kevin Shepard, visit Crescent Court and inquire about apartment availability. Monner told Mr. Shepard that there were no available apartments. Monner also told Mr. Shepard she would help him any way she could. Shortly after this event, Osborne filed a complaint with the Department of Justice.

B. Fair Housing Tests

The second factual allegation arises from a series of government tests run for the purpose of determining whether Crescent Court was violating the FHA in its leasing practices. These tests are run by sending similarly situated “testers” into the subject establishment to monitor the results. The “testers” represent themselves to be as similar to one another as possible, except as to race, or whatever other characteristic is suspected to be the discriminatory trigger. These tests were begun in response to Osborne’s complaint.

1. The May Test Group

For a little over a week, between May 18 and May 24, 2002, the first government test was conducted at Crescent Court. During the course of this week, the government sent five “testers” to Crescent Court. A Caucasian female tester tele *1370 phoned Crescent Court on May 18 and was told by Monner that there was an apartment available. Monner said it would be available for viewing on Monday, the 21st. On May 21, an African-American male tester.was told that there were no apartments available at Crescent Court and was referred to the Westchester Apartments (“the Westchester”). 3 The following day, a Caucasian male tester visited Crescent Court and was allowed to see a vacant apartment. On Thursday, May 24, a Caucasian female tester and an African-American female tester were both told that there were no available apartments. They were both referred to the Westchester. During this time period, there was an apartment available. Apartment # 1021-B had been vacant since April 30, 2001 and was leased out again on May 31, 2001.

2. The June Test Group

During the week of June 18, the second group of government testers began inquiring at Crescent Court. This group consisted of three testers: a Caucasian female, a Caucasian male, and an African-American male. The inquiries were all made at different times of the day. The Caucasian female called Crescent Court at 3:15 p.m. on June 18. Two days later, the African-American male tester visited Crescent Court at 9:30 a.m. Later that same day, shortly after 11:00 a.m., the Caucasian male tester visited Crescent Court. All three testers were initially told that there would be no apartments available until August 15. However, throughout the conversations with the male and female Caucasian testers, Monner eventually changed her statement and said an apartment would be available on August 1.

3. The August Test Group

The third test group approached Crescent Court on the 20th and 21st of August, 2001. This test involved a phone call from a Caucasian male on August 20, during which he was told there was an available apartment.

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Bluebook (online)
319 F. Supp. 2d 1366, 2003 U.S. Dist. LEXIS 25450, 2003 WL 23529444, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-habersham-properties-inc-gand-2003.