Barrientos v. 1801-1825 Morton LLC (2009)

Citation: Barrientos v. 1801-1825 Morton LLC (2009)
Parent Document: Barrientos v. 1801-1825 Morton LLC (2009)
Jurisdiction: United States (federal)
Effective Date: 2009-10-09
Original Source: https://www.courtlistener.com/opinion/3065171/barrientos-v-1801-1825-morton-llc/ ↗

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In 1996, Congress repealed the “endless lease” provision
by eliminating the “good cause” requirement for nonrenewal,
though it retained the requirement for termination of a ten-
ancy during the term of the lease. Pub. L. No. 104-134,
§ 203(c)(2), 110 Stat. 1321, 1321-281 (1996). In 1998, Con-
gress made the 1996 changes permanent. Pub. L. No. 105-
276, §§ 545, 549(a), 112 Stat. 2461, 2596-604, 2607-09
(1998). The current governing statute provides that “during
the term of the lease, the owner shall not terminate the ten-
ancy except for serious or repeated violation of the terms and
conditions of the lease, for violation of applicable Federal,
State, or local law, or for other good cause.” 42 U.S.C.
§ 1437f(o)(7)(C). In 1999, HUD issued final implementing
regulations, leaving its definition of “good cause” unchanged.
64 Fed. Reg. 56,894 (Oct. 21, 1999). Thus, the relevant HUD
regulation currently provides that “ ‘[o]ther good cause’ . . .
may include, but is not limited to . . . [a] business or economic
reason for termination of the tenancy (such as sale of the
property, renovation of the unit, or desire to lease the unit at
a higher rental).” 24 C.F.R. § 982.310(d)(1)(iv). The regula-
tions also provide that “[d]uring the initial lease term, the
owner may not terminate the tenancy for ‘other good cause,’
. . . based on . . . a business or economic reason,” id.
§ 982.310(d)(2), and that the initial lease term must be at least
one year, id. § 982.309(a)(1).
14434        BARRIENTOS v. 1801-1825 MORTON LLC
B.   LARSO

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