Sunday, May 15, 2016

Co-Op's Alleged Refusal To Allow Title To Apartment Unit To Be Held By Supplemental Needs Trust Created To Provide For Disabled Man's Care Lands HOA In HUD Hot Water Facing Housing Discrimination Charges

The U.S. Department of Housing & Urban Development recently announced:
  • The U.S. Department of Housing and Urban Development (HUD) announced [] that it is charging a White Plains, New York, co-op with housing discrimination for refusing to grant an exception to its policies that would allow a person with disabilities to buy a unit there. HUD’s Office of Regional Counsel for New England, which has jurisdiction over the case, issued the Charge of Discrimination on April 26. Read the charge.
    The case came to HUD’s attention after a person with disabilities filed a complaint alleging that he was denied the opportunity to buy a unit at Thompkins Manor, a 155-unit cooperative in White Plains, New York, because of his disabilities.

    The man’s parents had created a supplemental needs irrevocable trust to provide for the man’s care. In August 2013, the man and his parents attempted to purchase a cooperative unit using the trust as the owner. According to the Charge, 505 Central Avenue Corp., which owns Thompkins Manor, rejected the application because the cooperative did not permit ownership by trust. The family allegedly asked the company to make an exception to its ownership rule as a reasonable accommodation, but it refused to do so.

    HUD’s charge will be heard by a United States Administrative Law Judge unless any party to the charge elects to have the case heard in federal district court. If an administrative law judge finds after a hearing that discrimination has occurred, he or she may award damages to the complainants for their loss as a result of the discrimination. The judge may also order injunctive relief and other equitable relief, as well as payment of attorney fees. In addition, the judge may impose civil penalties in order to vindicate the public interest. If the case is heard in federal court, the judge may also award punitive damages to the complainants.