Daily Development for Monday, October 24, 2005
by: Patrick A. Randolph, Jr.
Elmer F. Pierson Professor of Law
UMKC School of Law
Of Counsel: Blackwell Sanders Peper Martin
Kansas City, Missouri
dirt@umkc.edu

LANDLORD/TENANT; RESIDENTIAL; WARRANTY OF HABITABILITY:.  Each townhouse in a complex of townhouses is a separate building for the purposes of exemption from the provisions of the Chicago Residential Landlords and Tenants Ordinance. 

Allen v. Lin, 826 N.E.2d 1064 (Ill. App. Ct. 2005). 

Plaintiff tenant and defendant landlords lived in townhouses owned by the landlords.  The townhouses were two units away from one another and were located under one roof.  Tenant brought action against landlords for breach of contract and violations of the City of Chicago Residential Landlords and Tenants Ordinance (Chicago Municipal Code § 5-12-101 et seq. (2004)) (RLTO). 

At the bench trial, the circuit court granted the defendants’ motion for directed verdict on the RLTO claims on the grounds that section 5-12-020(a) of the RLTO exempted the property in question from application of the ordinance.  The exemption applied to “owner-occupied building[s] containing six units or less.”  The trial court relied on the defendant’s testimony that the tenant’s unit and the landlords’ unit were among six units located “under one roof” to determine that these six units comprised a “building” for the purposes of the exemption.  The trial court rejected plaintiff’s argument that townhouses should be considered separate buildings just as if they were single-family homes, even if they are under one roof. 

The appellate court, however,  reversed the trial court’s decision as to the application of RLTO and remanded for further proceedings.  Relying on a principle elucidated in Meyer v. Cohen, 632 N.E.2d 22 (Ill. App. Ct. 1993), the only case in Illinois to have interpreted the “owner-occupied” exclusion of RLTO, the appellate court stated that section 5-12-020(a) must be interpreted in a way that is logical, that gives effect to the legislative intent and that protects public interests.  The court then looked to the stated purpose of RLTO “to establish the rights and obligations of the landlord and the tenant in the rental of dwelling units,” and to Sandstrom v. De Silva, 645 N.E.2d 345 (Ill. App. Ct. 1994), where the court held that each townhouse in a group of townhouses constituted a separate building for the purposes of Chicago Municipal Code section 13-4-010.  In light of these considerations, the court found that each townhouse constitutes a separate building for the purp!

 oses o
f the RLTO.

Comment: Although the opinion does not say so, presumably, by its reading,  the Act also would not apply if there were six units in a row of townhouses and the entire complex was owned by a resident landlord.  The concurrence states that it was the legislative intent to establish a different rule where the landlord resided in the same building as the tenant.  Why should this be different if the units are apartments or townhomes? 

Items reported here and in the ABA publications
are for general information purposes only and
should not be relied upon in the course of
representation or in the forming of decisions in
legal matters.  The same is true of all
commentary provided by contributors to the DIRT
list.  Accuracy of data and opinions expressed
are the sole responsibility of the DIRT editor
and are in no sense the publication of the ABA.


Parties posting messages to DIRT are posting to a
source that is readily accessible by members of
the general public, and should take that fact
into account in evaluating confidentiality
issues.

ABOUT DIRT:

DIRT is an internet discussion group for serious
real estate professionals. Message volume varies,
but commonly runs 5  15 messages per work day.

Daily Developments are posted every work day.  To
subscribe, send the message

subscribe Dirt [your name]

to

listserv@listserv.umkc.edu

To cancel your subscription, send the message
signoff DIRT to the address:

listserv@listserv.umkc.edu

for information on other commands, send the message
Help to the listserv address.

DIRT has an alternate, more extensive coverage that includes not only
commercial and general real estate matters but also focuses specifically upon
residential real estate matters.  Because real estate brokers generally find
this service more valuable, it is named “BrokerDIRT.”  But residential
specialist attorneys, title insurers, lenders and others interested in the
residential market will want to subscribe to this alternative list.  If you
subscribe to BrokerDIRT, it is not necessary also to subscribe to DIRT, as
BrokerDIRT carries all DIRT traffic in addition to the residential discussions.

To subscribe to BrokerDIRT, send the message

subscribe BrokerDIRT [your name]

to

listserv@listserv.umkc.edu

To cancel your subscription to BrokerDIRT, send the message
signoff BrokerDIRT to the address:

listserv@listserv.umkc.edu

DIRT is a service of the American Bar Association
Section on Real Property, Probate & Trust Law and
the University of Missouri, Kansas City, School
of Law.  Daily Developments are copyrighted by
Patrick A. Randolph, Jr., Professor of Law, UMKC
School of Law, but Professor Randolph grants
permission for copying or distribution of Daily
Developments for educational purposes, including
professional continuing education, provided that
no charge is imposed for such distribution and
that appropriate credit is given to Professor
Randolph, DIRT, and its sponsors.

DIRT has a WebPage at:
https://e2k.exchange.umkc.edu/exchweb/bin/redir.asp?URL=http://cctr.umkc.edu/dept/dirt/

*************************************

Your e-mail address will only be used within the ABA and its entities. We do not sell or rent e-mail addresses to anyone outside the ABA.

To change your e-mail address or remove your name from any future general distribution e-mails you can call us at 1-800-285-2221, or write to: American Bar Association, Service Center, 321 N Clark Street, Floor 16, Chicago, IL 60610

If you are an ABA member, log in to the ABA Web site at https://e2k.exchange.umkc.edu/exchweb/bin/redir.asp?URL=http://www.abanet.org/abanet/common/MyABA/home.cfm to edit your member profile. Otherwise, complete the form located at https://e2k.exchange.umkc.edu/exchweb/bin/redir.asp?URL=https://www.abanet.org/members/join/coa2.html

To review our privacy statement, go to https://e2k.exchange.umkc.edu/exchweb/bin/redir.asp?URL=http://www.abanet.org/privacy_statement.html.

If you have any problems, please contact the list owner at
dirt-dd-request@mail.abanet.org.