The John Marshall Law School had a recent presentation that reportedly featured in attendance members of the:
- Department of Justice (DOJ),
John Marshall Law School logo, photo credit = Starclass. - Housing and Urban Development (HUD),
- State and Federal officials,
- Fair Housing focused non-profits, attorneys,
- Plaintiffs’ attorneys, educators and others.
During a briefing, our MHProNews sources tell us a presenter stated that DOJ has made “mobile homes” and “trailer parks” a “DOJ focus.”
These “parks” were referred to as “cash cows” for “their owners.” A quarter-million dollar case has recently been settled by DOJ, and we’re told that other cases are pending. But there is more.
One source tell us that: “I just learned that the DOJ can tape phone conversations, even if state laws preclude that.”
Disclosure
Regular Masthead readers know that ‘straight news’ is found on the Daily Business News, while on this blog you can get a mix of news and/or editorial commentary. This post is both news and commentary. “We Provide, You Decide.” ©
Let’s ask this rhetorical question. If you heard the phrases quoted above and saw the information that follows below – and had this confirmed by more than one attendee – would you think there is possibly more than Fair Housing focused concerns in the mix that are ‘targeting’ MH?
Fair Housing, Yes,…AND…?
Please don’t misread this; as we believe Fair Housing is an important right to protect. I stressed that to attorney Anne Houghtaling and others, and want to remind readers that they can get a crash course in Fair Housing basics at this link. Every state, regional and national Manufactured Housing Association that has MHCs as members, or any firm that is selling or renting MH as housing, ought to be sharing and reviewing the article linked above ASAP. The article provides a timeless reminder of an easy-to-recall rule of thumb on Fair Housing shared by an attorney.
We feature Nadeen Green, JD, the “Fair Housing Lady” and related legal articles virtually every month, and have for years. As a pro-MH publisher, we want all to know and practice Fair Housing, as it is good for the public and thus good for your business.
Other Sources
That said, we reached out to other contacts to see what they were hearing on this John Marshall Law School session and DOJ related topic. Virtually all of our contacts on this are attorneys; they are all experts.
So when one source replied by advising us that “financing” was also “likely“ in the background, you understand why we feel the need to raise the attention level on this event – and what could be taking shape – for multiple reasons. There have been more than enough cheap shots made by agenda-driven individuals or operations aimed at MH on the finance topic. We believe in correcting the record on cheap shots, or badly informed sources; but we’d rather head off errors than to later have to disprove them.
Hope Fair Housing
MHProNews spoke with attorney Anne V. Houghtaling. Ms. Houghtaling is the Executive Director of Hope Fair Housing. Their website states that she has been involved in Fair Housing since 1995.
The Hope website also states:
“Ms. Houghtaling has conducted hundreds of rental, sales, insurance and mortgage lending tests.” (Bold emphasis added).
Another attorney present told us that “predatory lending” was mentioned during the meeting, but it was in a “historical context.”
The quotes shared above were confirmed by Ms. Houghtaling (sounds like, “Hotelling”) when we spoke to her on Friday. That said, my understanding from Ms. Houghtaling was that she had no knowledge of plaintiffs’ attorneys being present at this forum. While confirming that predatory lending was mentioned, she stated she was unaware of any finance related agendas.
Anne struck me as direct and forthcoming, not at all evasive. She is clearly passionate about Fair Housing. Ms. Houghtaling stated her respect for manufactured housing as an important form of affordable housing.
In fact, the importance of MH as affordable housing was precisely why she wants to see Fair Housing properly implemented in the MHC arena.
Attorney Anne Houghtaling – follow up
Ms. Houghtaling was invited by MHProNews to confirm various statements and facts, and to provide us with her own quotable quotes, which we will hopefully have by mid-week.
In the meantime, it seems reasonable to give her the benefit of the doubt when she states that her focus and interest at Hope Fair Housing is on Fair Housing related matters only.
All that noted, the Hope Fair Housing Executive Director was candid in admitting that other agendas might have been present in the room, other than her Fair Housing focus.
On any question related to DOJ, Anne understandably said that the federal agency should be asked directly. We’ve asked for a legal contact to do precisely that, and we’ll keep you posted on any word heard.
This Effing-ham Case…and More…
It is worth noting that our Matthew Silver first reported on this Effingham, IL case last year, when the charge was brought against persons at an MH Community located there. We encouraged then and now that MH pros brush up on their Fair Housing knowledge.
You can download the $250,000+ DOJ settlement agreement, linked here, which was finalized recently.
Ms. Houghtaling told us that there are multiple cases in process, presumably like the one noted above. Anne thoughtfully stated her willingness to bring more details on those to us soon. We’ve also invited her to do a guest column.
A Lesson – Free Speech can be Costly Speech
While we are big believers in the First Amendment right to freedom of speech, we must recognize that a poor choice of words in our world today – using that right to free speech unwisely – can be costly.
There are those who promote MH as “cash cows” to prospective investors.
Indeed, MH Communities can be profitable. Nor should the industry be demonized when many are successful in MHCs. Industry community operators often do an amazing job of bringing quality, appealing living to people in a wide array of demographic, ethnic and other groups. That’s to be celebrated. Would that more were jumping into the MH and MHC sectors – building new or improving existing MHCs – to serve the critical need for more affordable homes in the U.S..
Still, a balance ought to be struck, because by promoting MHCs as cash cows, it isn’t just prospective investors that such speech attracts. It also attracts plaintiffs’ attorneys who are looking for opportunities to target someone with deep pockets. This is another warning flare from this story that we want to share.
But the reverse is also true. If officials overreach and begin to unjustly target a clearly needed sector of housing because they are cash cows, then it would ultimately be harmful to those whom MHCs seek to serve.
Segue on Regulations
Speaking of overreach on regulations on MH. We are perhaps only hours away from releasing a new video we mentioned in our mid-week blog post. Please keep your eye out on the Industry in Focus Reports and on the Daily Business News for an update on that finance and regulatory focused video.
Column (not the case) Closed
This column may be about closed, but the cases it mentions are potentially the tip an iceberg that MH professionals need to understand and address. My experience is that many if not most MH associations do a good job of giving reminders and updates on fair housing and other regulatory issues. Association meetings I’ve attended over the years routinely open with anti-trust reminders, which are often stated in printed hand-outs too.
To rephrase, MH associations and businesses that work within them are routinely doing things by the book.
In or out of associations, most in MH want to do things properly. But there must be an ongoing effort to reach out to those who are under informed, or aren’t part of any association. They are the ones who are most likely to cross a legal line, often without knowing it’s there.
It pays to keep up with the news, tips and views published here. It pays to be a member of a good association. We encourage other formal education for good reasons. It costs more to not get it, than to have it, as the Effingham case reminds us all. ##
