LOS ANGELES (May 14, 2012) – Leaders of three major legal groups said today’s budget proposal takes money meant to prevent foreclosures and “leaves homeowners dangling again.” The following statement is from Public Counsel President and CEO Hernán Vera, Legal Aid Foundation of Los Angeles Executive Director Silvia Argueta, and Bet Tzedek President and CEO Sandy Samuels:

“California is set to receive $410 million to protect homeowners facing foreclosure after a settlement with the nation’s biggest banks. That agreement struck a fair bargain for California’s hard-hit homeowners and tenants. Today, Governor Brown proposed to sweep most of that money meant to aid California families into the budget crisis.

“California was a leader in holding banks accountable for the foreclosure mess and putting homeowners and hard-working Californians first. The proposal leaves homeowners dangling again. The biggest winner is going to be banks that will not be held accountable to the spirit and letter of the national settlement. Many California families who have the ability to stay in their homes but need help navigating the loan modifications maze will not get help. We’re all going to lose as a result.

“Foreclosures and their economic fallout are what got our state budget into this mess. Spending funds on housing counselors and legal services as the Attorney General had proposed will help fix the problem. The governor’s proposal is bailing out a leaking ship.

“People at risk of foreclosure need help today, and that’s what housing counselors and legal services are in the best position to do. Government watched as foreclosures wrecked neighborhoods. Spending millions just to fill a budget deficit isn’t going to help homeowners to stay in their homes.

“Millions of Californians are still fighting to keep their homes and neighborhoods intact. They need help today. We call on the governor to work with the Legislature and Attorney General to restore these funds and protect California’s families and neighborhoods.”

Pictured below are Luis Lainer and his wife, Lee, at the dinner.
(Photo courtesy of the LA Urban League and Ron Murray of Image Active Photography).

To learn more about the symposium, click here or go to www.wiseandhealthyaging.org.  The registration deadline is May 30, 2012.

“Steptoe & Johnson LLP partner Ruth Kahn, a litigator in the firm’s Los Angeles office, has been selected by California Lawyer magazine as a recipient of the 16^th annual California Lawyer Attorneys of the Year Awards (CLAY). The awards honor lawyers in California whose achievements in 20 areas of legal practice had a significant impact in 2011. Ms. Kahn is being recognized in the pro bono category for improving the lives of Holocaust survivors.

In 2011, Ms. Kahn helped more than 30 Holocaust survivors win reparations from the German government as part of the Holocaust Survivors’ Project initiated by Bet Tzedek Legal Services in Los Angeles. Her elderly clients, ranging in age from 75 to 92, had been forced by the Third Reich during World War II to leave their homes and work without compensation for German soldiers. The living quarters in the ghettos were cramped and food was rationed so, to improve their situations, the clients “volunteered” to bake bread for the German soldiers, dig holes, sweep the streets, and perform other laborious tasks. The hours were long, the conditions unpleasant, and none were paid for their services. So by obtaining reparations, these survivors’ long-ago labor is finally being acknowledged and proven to have had a value. It is also enhancing these survivors’ lives in their final years.”

Click here to learn more about the Holocaust Survivor Justice network or look under “VOLUNTEER”  on the menu bar to get involved.

The lawsuit alleges that the policy violates the L.A. Rent Stabilization Ordinance, which prohibits a landlord from changing any of the existing terms of tenancy unless both the tenant and landlord agree to the change. Although the Los Angeles Housing Department provided the management company with a letter advising them that the new online payment policy was illegal, the company refused to rescind it.

Tenants initially sought and received assistance from the Coalition for Economic Survival (CES) who organized residents to oppose the new policy. CES then contacted Bet Tzedek who agreed to represent the tenants in this legal action.

Check back on this website for more news as the case unfolds and be sure to follow Bet Tzedek on Twitter and Facebook.

The family had been renting a converted garage since 2008 and, although it was not a legal rental, it was affordable. Marvin and Abigail lived in this unit with their young son and Marvin’s two daughters. In September 2010 the Sheriff posted a ‘Notice to Vacate’ on the door. The bank that held the mortgage on the property had foreclosed against the landlord, who lived in the main house on the property.  The bank was taking action, without serving proper notices on the tenants, against the defaulting owner as well as the tenants.

BT attorney Patsy Van Dyke present clients Abigail & Marvin with their settlement check

Bet Tzedek was successful in overturning the default judgment, and spent the next 14 months trying to obtain relocation assistance for the family, which the bank was obligated to pay under the Los Angeles Rent Stabilization Ordinance (“LARSO”) because the unit was illegal and could not be brought up to code.  Despite being notified by several city agencies and Bet Tzedek that the family was owed compensation for relocation, the bank refused to pay.  In the meantime, the bank failed to evict the prior owner from the main house and she constantly harassed the family, including turning off the utilities on multiple occasions.

Ultimately, in December 2011, Bet Tzedek filed a lawsuit against the bank for the relocation fees, additional expenses, and penalties based on the bank’s failure to comply with its obligations under LARSO.  In response to the lawsuit, the bank finally offered to settle the case, agreeing to pay for all damages, penalties, and fees that were requested.

The family, who is expecting a baby in May, has now relocated to a beautiful, spacious 4 bedroom apartment in a secure building.  It has a playground for the children and is within walking distance of Marvin’s work. They plan to save a portion of the settlement for a down payment on a house next year.

Bet Tzedek was honored to be there to help.

Have legal problems with your housing situation?  Call us at (323)939-0506.

Click here to learn more about the webinar and how you can participate for free.

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The Olmstead Advisory Committee is responsible for providing input to the California Health and Human Services Agency on the efforts to implement the California Olmstead Plan (click here to read the Plan).

Congratulations to Ms. Morris on this important appointment and for bringing further recognition to Bet Tzedek’s Elder Rights Program.