Landlord Improperly Terminated Tenant's Section 8 Subsidy

Landlord of project-based Section 8 building sued to evict tenant for nonpayment of rent after terminating tenant's Section 8 subsidy. Landlord claimed that tenant owed $17,000 after failing to cooperate with the annual recertification requirements. The court ruled for landlord based on tenant's default. Tenant, through an attorney, later asked the court to vacate the default judgment. He claimed that landlord improperly terminated his rent subsidy and that he didn't owe the back rent claimed. The court ruled for tenant. Landlord appealed and lost. HUD Handbook 4350.3 Rev-1, concerning occupancy requirements of subsidized multifamily housing programs, requires a series of notices to tenants during the annual income recertification process. Landlord's first and third recertification notices didn't set forth the required name and contact information of the person employed at the building to recertify tenant and the amount of rent that tenant would have to pay without recertification of income eligibility. Since the notices were defective, tenant's rent subsidy was terminated improperly.

Starrett City, Inc. v. Brown-Lee: NYLJ, 12/24/08, p. 35, col. 6 (App. T. 2 Dept.; Pesce, PJ, Rios, J, Weston Patterson, J dissenting)