Firm Obtains Jury Award for Manufactured Home Community
3/31/2004
A Dakota County jury rendered a $383,628 verdict in favor of Manufactured Home Park Residents of Cedar Knolls in Apple Valley.
The Case of Schaff, et al. v. Chateau Communities, Inc., Dakota Court File No. 19-CX-03-6402, is a class action lawsuit brought on behalf of all of the residents of Cedar Knolls Manufactured Home Community in Apple Valley as of October 1, 1998, whose lease agreements provided that water and sewer services were to be provided by the Park at no extra charge above the lot rental fee. In 1999, Cedar Knolls unilaterally changed the lease agreements and began submetering and charging residents for their water and sewer services. The jury found that the change substantially modified the lease agreements and was unenforceable. Additionally, the jury found that the rates Cedar Knolls charged to residents were more than what the City of Apple Valley could charge directly, which was also unlawful. The class was represented by Barry O'Neil and Valerie Sims of the Lommen Nelson Law Firm. The jury's verdict is consistent with the Minnesota Court of Appeals decision in Sargent v. Bethel Properties, Inc., 653 N.W.2d 800 (Minn. Ct. App. 2002).
The park owner, which has since merged with Hometown America, has appealed the verdict to the Minnesota Court of Appeals. A decision is expected in fall 2005. (Click here for a recent article on this issue.)