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HUD Housing Programs: Tenants’ Rights (The Green Book): 11.4.2.3 Alleged Fraud or Failure to Report Changes in Income or Family Composition

Because the amount of a family’s rent depends on its income, expenses, and composition, a family must certify its income, expenses, and composition when it enters the program and recertify this information annually or, in certain circumstances, more often as described in the PHA’s Section 8 Administrative Plan.1184 A family is required to “supply any information requested by the PHA or HUD for use in a regularly scheduled reexamination or interim reexamination of family income and composition,”1185

HUD Housing Programs: Tenants’ Rights (The Green Book): 11.4.2.4 Failure to Cooperate with Recertification

A recurrent problem is alleged tenant failure to cooperate in the recertification process.1221 The family obligation regulation requires the tenant to provide such information or documentation as the PHA determines is necessary in the recertification process.1222 If a family fails to provide the information or documentation or fails to sign the recertification forms, the PHA may terminate the family’s eligibility for failure to cooperate.1223

HUD Housing Programs: Tenants’ Rights (The Green Book): 11.4.2.5 Unauthorized Occupants

The family must request PHA approval to add any other person as an occupant of the unit.1235 Except for a foster child or live-in aide as provided in 24 C.F.R § 982.551(h)(4), no person other than members of the assisted family may reside in the unit.1236 Advance PHA approval is not required for minors who join the household by birth, adoption, or court-awarded custody, although the PHA should receive prompt notice of such additions.1237

HUD Housing Programs: Tenants’ Rights (The Green Book): 11.4.2.6 Side Payments

Landlords occasionally extract extra payments from tenants, over the amount legally due as the family’s share of the rent. Upon discovering these situations, some PHAs pursue termination, viewing the tenant as complicit in a scheme to defraud the government. Termination proceedings of this kind are particularly cruel, punishing the victims of a landlord’s exploitation.1249

HUD Housing Programs: Tenants’ Rights (The Green Book): 11.4.2.8 Housing Quality Standards (HQS) Violation

Some tenant-caused Housing Quality Standards violations may be grounds for subsidy termination; these include: failure to pay for tenant-supplied utilities,1289 failure to supply appliances the tenant agreed to provide,1290 and damage to the unit beyond normal wear and use.1291 A family must be given 24 hours to correct a life-threatening condition, and at least 30 days to correct other HQS violations.1

HUD Housing Programs: Tenants’ Rights (The Green Book): 11.4.2.10 Absence from Unit

An “absence” occurs when no family member resides in the unit.1303 A family may not be absent from the assisted unit for more than 180 consecutive days, and PHAs may establish policies regarding shorter absences.1304 Being absent for longer than the permitted period is a basis for termination.1305 HUD rules also require a family to promptly notify the PHA of any absence and provide information about the reasons for the absence; failure to do

HUD Housing Programs: Tenants’ Rights (The Green Book): 11.4.2.11 Over-Income Tenants

Under the rules and the HAP contract, a tenant’s housing assistance payments will stop when: (1) 30% of the family’s adjusted income equals or exceeds the payment standard; or (2) the family share equals or exceeds the gross rent.1313 Payments may resume if the family’s income, composition, or other relevant circumstances change during the term of the HAP contract.1314 If no assistance payments are made for 180 days, the HAP contract automatically terminates.

Mortgage Servicing and Loan Modifications: NEW HAMPSHIRE

N.H. Rev. Stat. Ann. § 397-A:15(VII)

Requirements: Upon full payment of second mortgage loans, holder is to release or provide evidence for release; if holder has original note, must be returned to borrower upon written request within reasonable time period. Penalties: misdemeanor, fines, license revocation or suspension. § 397-A:20.

Mortgage Servicing and Loan Modifications: NEW MEXICO

N.M. Stat. Ann. §§ 48-7-4, 48-7-4.1, 48-7-5

Requirements: Upon full satisfaction it is the mortgagee’s duty to have release recorded. Penalty is a fine of at least $10 and no more than $25; also liability in civil action to clear title for costs and attorney fees. If noncompliance ninety days after payment, title insurer may have release recorded.

Mortgage Servicing and Loan Modifications: NEW YORK

N.Y. Real Prop. Law § 275 (McKinney)

Requirements: Upon satisfaction holder must have release recorded within thirty days. Liability for noncompliance: $500 if after thirty days, $1000 if after sixty days; $1500 if after ninety days.

Mortgage Servicing and Loan Modifications: NORTH CAROLINA

N.C. Gen. Stat. § 45-36.9

Requirements: Creditor or servicer must record satisfaction or a release within thirty days after full payment; liable for actual but not punitive damages for failure to do so, plus $1000 and attorney fees if creditor does not record satisfaction within thirty days of debtor’s demand. A different statute, N.C. Gen. Stat. § 45-36.3, applies only to satisfactions that occur before October 1, 2005.

Mortgage Servicing and Loan Modifications: OKLAHOMA

Okla. Stat. tit. 46, § 15

Requirements: Holder to file release within thirty days of satisfaction; upon failure to do so mortgagor may request in writing a release. Upon noncompliance within ten days after request, holder is liable in civil action to mortgagor for 1% of principal per day, not to exceed $100, for each day after ten-day period; total penalty not to exceed principal amount. Title insurance company attorney may bring action on behalf of mortgagor.

Mortgage Servicing and Loan Modifications: OREGON

Or. Rev. Stat. § 86.140

Requirements: Upon failure to discharge mortgage within thirty days of request, mortgagee or assignee is liable for actual damages plus $500, recoverable in action at law.

Mortgage Servicing and Loan Modifications: PENNSYLVANIA

21 Pa. Stat. and Cons. Stat. Ann. §§ 681, 682 (West)

Requirements: Upon full payment, mortgagee to enter satisfaction. Upon failure to do so within forty-five days of request, mortgagor is entitled in legal actions to any amount of damages not exceeding the mortgage-money.

7 Pa. Cons. Stat. §§ 6121(8), 6126(7) (West) (Mortgage Licensing Act)

Mortgage Servicing and Loan Modifications: RHODE ISLAND

R.I. Gen. Laws §§ 34-26-2, 34-26-5

Requirements: Upon full payment, mortgagee, successor, or assignee is to enter within thirty days satisfaction or execute release. Liability for noncompliance within ten days of a request for discharge: actual damages in civil action, triple costs, and attorney fees.

Mortgage Servicing and Loan Modifications: SOUTH CAROLINA

S.C. Code Ann. §§ 29-3-310, 29-3-320

Requirements: Upon full payment and delivery of request, holder is within three months to provide mortgagor proof of satisfaction or is to record release with option of charging mortgagor up to $25 recording fee. Liability for noncompliance: damages of the lesser of one half of the debt amount or $25,000, actual damages, costs, and attorney fees. Successful suit also will result in court order to have satisfaction entered by court officer.