Eli Savit, Prosecuting Attorney for Washtenaw County, ex rel. the People of the State of Michigan, and Kaitlin Hall and Kyesha Ford, on behalf of themselves and all others similarly situated, 26-000080-CP (Washtenaw Cty Trial Ct., MI)
The class action lawsuit, filed jointly with the Washtenaw County Prosecutor’s Office, seeks relief for Michigan renters who have been subjected to a predatory subleasing scheme by the defendants. The lawsuit alleges that the defendants lease rental homes from traditional landlords and then sublease them–with huge upcharges of thousands of dollars–to families who have the means to make regular rental payments but believe they won’t be able to find housing because of their low credit scores. The lawsuit further claims that the defendants promise that they will help the tenants improve their credit and secure stable housing, but instead fail to timely transmit tenants’ rent to the landlords, leading to evictions, and engage in aggressive debt collection tactics including false, negative credit reporting. As a result, the families risk eviction and end up in a worse position than when they started. The lawsuit alleges violations of Michigan’s Consumer Protection Act, Credit Services Protection Act, Regulation of Collection Practices Act, and Occupational Code.
Co-Counsel: Washtenaw County Prosecutor’s Office, Center for Civil Justice
See all resources related to: Consumer Protections for Tenants, Credit Reporting & Data Fairness