Eight-year Fresno housing lawsuit ends in settlement. Why tenants must act quickly
A final settlement agreement has been reached after nearly eight years in a habitability lawsuit brought against JD Homes, one of Fresno’s largest rental companies.
However, tenants must act fast if they want to receive the benefit of at least one of the term agreements – the ability to request a third-party rental inspection. According to an announcement from Tenants Together, current JD Homes renters have until Monday, Dec. 27 to request a rental inspection from a third party.
The lawsuit, which began in January 2014, represents around 16,000 current and former tenants dating back to January 2010. It alleges that JD Homes rented housing with uninhabitable, substandard and dangerous conditions.
The management company had been sued in 1997 for allegedly refusing to make repairs and was highlighted in The Fresno Bee’s 2016 Living in Misery series on substandard living conditions in Fresno. One JD Homes renter spoke to The Bee in April about her unresolved repairs and pest issues.
In late April 2021, a rent freeze for all JD Homes tenants went into effect and will continue until Dec. 29, 2021. On Thursday, renter rights organization Tenants Together announced that the final terms of the lawsuit were reached.
“We have achieved through this lawsuit a major breakthrough for thousands of low-income tenants in the City and County of Fresno,” Lupe Arreola, executive director of Tenants Together, said in a news release.
In the same statement, an unnamed JD Homes spokesperson denied the allegations of uninhabitable conditions and said the settlement is a way for the rental company to “continue to focus on providing affordable housing in this county without the time-consuming distraction and expense of litigation.”
The settlement includes:
Current JD Homes tenants may request a third-party inspection by Monday, Dec. 27, 2021 to address habitability issues. JD Homes agreed to make all repairs required by the third-party inspector.
A rent freeze at all JD Home rentals began April 29, 2021 and will last until Dec. 29.
Former tenants can receive a rent voucher or cash alternative program. The voucher or cash alternative is $250 for a one-bedroom unit, $350 for two bedrooms and $500 for three bedrooms or more in a rental unit, according to the lawsuit’s website.
An ombudsman will be established to receive and process tenant complaints for two years.
For one year after the settlement, tenancies can only be terminated for “good cause.”
Arreola with Tenants Together told The Bee the organization could not comment beyond what was included in the news release.
She advised anyone with further questions to visit the settlement website. Tenants can also reach out to KCC Class Action Services, which will administer the settlement, at 844-612-7911.