Summary Judgment in Wasatch awards $4.8M to Section 8 Tenants

01.31.24 - Judge Mueller of the Eastern District of California recently awarded $4.8 million to a certified class of Section 8 tenants in our ongoing litigation Terry et al. v. Wasatch Advantage Group et al. After the Court determined that certain charges for washers and dryers, renter’s insurance, media packages, parking, and more should be considered unlawful excess rent under the parties’ Housing Assistance Payment contracts, defendants argued that they were not required to pay the charges back in full. Instead, defendants argued they should be able to deduct costs they incurred in providing the charges from the damages award. Plaintiffs moved for summary judgment on the issue, which the Court granted in full. The Court ruled that the Housing Assistance Payment contract unambiguously requires the full return of any excess rent charges and awarded $2.4 million in contract damages and another $2 million in interest as of July 2023.