By District Attorney Dan Dow | Source
District Attorney Dan Dow announced today that a civil settlement has been reached with a mobile home park management company that manages San Luis Obispo’s South Peak Mobile Park, and with its associated real estate brokerage firm. The settlement requires $61,000 payment for civil penalties and a contribution to a non-profit organization offering free legal assistance to tenants.
The San Luis Obispo County District Attorney’s Office Consumer Protection Unit has settled with the property management company, Harmony Communities, Inc., and its associated real estate brokerage company, Partners Real Estate, Inc. Harmony Communities, Inc. Harmony manages South Peak Mobile Home Park located on South Street in San Luis Obispo, along with more than 50 other mobile home parks in California.
The San Luis Obispo County District Attorney’s Office investigation was also joined by the District Attorney’s Offices in Fresno, San Joaquin and Marin Counties. The civil complaint was filed where the defendant’s principal place of business was located–San Joaquin County Superior Court.
The complaint alleged that for several years, Harmony Communities failed to reimburse background fees Harmony charged, which reimbursement is required by California’s Mobile Residency Law. The Complaint also alleged that Partner’s Real Estate, Inc. made misleading statements about housing units it listed on the multiple listing service (MLS) that were managed by Harmony Communities, Inc.
“Mobile home park residents generally have lower value assets and net worth than those living in traditional homes, often making these residents economically vulnerable,” said District Attorney Dan Dow. “We want to ensure that the management teams and operators of mobile home parks comply with California law and maintain business practices that prevent abuses and ensure fair treatment of residents who live in these communities.”
The final judgment and order pursuant to stipulation prohibits Partner’s Real Estate from making statements on MLS that could lead a buyer to falsely believe they are purchasing a manufactured home regulated by HUD. Additionally, recreational vehicles will need to be clearly identified as recreational vehicles within the advertisements.
In addition, Harmony Communities is ordered to pay $21,000 in civil penalties and Partner’s Real Estate is ordered to pay $20,000 in civil penalties. Both defendants are ordered to pay $5,000 in restitution to Central California Legal Services, a non-profit corporation, for the purpose of providing free legal assistance relating to housing issues. Finally, both defendants were ordered to pay $15,000 to the four District Attorney offices for reimbursement of their investigative and prosecution costs.
