The SLO County District Attorney’s Office announced the settlement of a lawsuit brought by several county D.A.s against a big mobile home management company for cheating their tenants.
According to a news release, D.A. Dan Dow announced settlement of the case against the South Peak Mobile Park, located at 145 South St., SLO, about a block off South Higuera Street, and several connected real estate firms. The lawsuit was brought by the SLO County D.A.’s Consumer Protection Unit, in conjunction with prosecutors in Fresno, San Joaquin and Marin Counties.
The targets of the D.A.s were: the property management company, Harmony Communities, Inc., and its associated real estate brokerage company, Partners Real Estate, Inc. Harmony Communities, Inc.
Harmony manages the South Peak MHP in SLO along with some 50 other properties spread across the state. The lawsuit was filed in San Joaquin County (Stockton), as that’s where the companies’ are based, the release said.
“The complaint alleged that for several years, Harmony Communities failed to reimburse background fees Harmony charged, which reimbursement is required by California’s Mobile Residency Law.
“The Complaint also alleged that Partner’s Real Estate, Inc., made misleading statements about housing units it listed on the multiple listing service [MLS] that were managed by Harmony Communities, Inc.”
The settlement requires the company to pay $61,000 in civil penalties. Harmony Communities must pay $21,000 and Partner’s Real Estate must pay $20,000. Plus both companies must pay $5,000 to Central California Legal Services, “a non-profit corporation, for the purpose of providing free legal assistance relating to housing issues,” the news release said. And, “both defendants were ordered to pay $15,000 to the four District Attorney offices for reimbursement of their investigative and prosecution costs.”
The final judgment also prohibits Partner’s Real Estate “from making statements on MLS that could lead a buyer to falsely believe they are purchasing a manufactured home regulated by HUD,” the release said. “Additionally, recreational vehicles will need to be clearly identified as recreational vehicles within the advertisements.”
SLO County D.A. Dan Dow said, “Mobile home park residents generally have lower value assets and net worth than those living in traditional homes, often making these residents economically vulnerable. We want to ensure that the management teams and operators of mobile home parks comply with California law and maintain business practices that prevent abuses and ensure fair treatment of residents who live in these communities.”
The victory is sweet for a D.A.’s Unit that seeks to protect the public from unscrupulous people and companies. The “consumer protection team is committed to protecting the public from unlawful, unfair, and fraudulent or deceptive business practices,” the news release said. “Consumer protection cases can be pursued in either criminal or civil court. Examples of such cases include contractor’s fraud, false or misleading advertising, and ‘bait and switch’ scams. The unit also aims to increase public awareness of consumer issues through presentations to local groups when called upon.”
For more information about consumer protection laws or to report suspected violations contact the California Department of Consumer Affairs Consumer Assistance Line at (800) 952-5210 or see the website at: www.dca.ca.gov.
