Ask a Lawyer

Can I simply choose not to renew a resident’s lease at the end of its term? Some of my tenants can be frustrating to deal with, and I’d rather not renew with them.

The Manufactured Home Community Rights Act (MHCRA) significantly limits a community owner’s ability to terminate a tenancy or refuse to renew a lease. Unlike many apartment leases or your tenants who rent the homes and lots from you, the expiration of the lease term alone is not sufficient grounds to require a resident to leave. Instead, a community owner must have one of the statutory grounds for termination, such as nonpayment of rent or repeated violations of community rules. Absent a statutory basis for termination, leases for your homeowner-residents have perpetual terms, notwithstanding the term stated in your lease. Simply stated, a resident who is not in default may remain in the community for as long as they desire.

Can I increase lot rent whenever I believe it is necessary?

No. The MHCRA prohibits more than one rent increase within a 12-month period.

Can I prohibit residents from charging electric vehicles from their homes?

Under current law, yes. However, with the ever-increasing use of electric vehicles, I would expect at some point to see legislative efforts limiting landlords’ ability to prohibit this. If you wish to enact a rule prohibiting charging electric vehicles, you should focus on legitimate concerns such as electrical capacity, fire safety, utility costs and installation requirements.

What do you see as the greatest legal exposure for community owners today concerning community operations?

Typically, it is not one single factor, but rather inconsistent management practices. Different managers enforcing rules differently, undocumented conversations, delayed responses to resident complaints and failure to follow established procedures often create greater liability than the underlying dispute itself. I strongly recommend regular staff training, updated written policies, standardized lease forms and periodic legal review of leases, rules, policies and practices. These simple actions can significantly reduce legal liability exposure.