Bowling Green Manor Ltd. Partnership v. LaChance

WD-94-117 (Ohio Ct. App. June 30, 1995) ; Clearinghouse Number: 51119

Description

Landlord Who Enters into Restrictive Covenant in Exchange for Tax Credit May Not Evict Tenants for Lease Expiration Without Good Cause

Abstract

In these related cases, the appellate court has reversed the lower courts' orders evicting appellant tenants. Appellee landlord entered into a restrictive covenant with the Ohio Housing Finance Agency to provide low-income housing in return for a federal tax credit. Upon expiration of tenants' lease terms, landlord sought to terminate their tenancies. Both tenants received federal rent subsidies. The municipal court found that landlord was not a "public housing project" subject to the federal rules and regulations and decided for eviction. On appeal, tenants argued that landlord was required to allege and demonstrate good cause for their eviction. Noting that this was an issue of first impression in Ohio, the appellate court found that, since landlord had entered into a restrictive covenant for the housing tax credit allocation with its concomitant federal regulation, tenants' eviction involved state action; tenants had a due process interest in continued, stable housing; and, based on the restrictive covenant, the tax credit program's clear statutory purpose of providing low-income housing, and tenants' receipt of federally provided rent assistance, tenants were entitled to continued occupancy beyond the expiration of their leases absent good cause for eviction.

Additional Information

Attorney Information
Defendant-Appellant represented by Steve Robins, Lisa Albright-Jurs, Advocates for Basic Legal Equality, 1514 W. State St., Fremont, OH 43420, (419) 334-8908.
Docket Date
1970-01-01 06:00:00+00:00