CHICAGO -- A rental agreement gone wrong ended with a man filing a class action lawsuit July 23 against a Chicago property management company in the Cook County Circuit Court.
Brian Doaks sued Related Management Company LP and Sheridan Park Preservation LP, on behalf of himself and others similarly situated, alleging breach of contract.
In July 2017, Doaks said he signed a lease with the defendants for an apartment in the 4500 block of N. Magnolia in Chicago. The first lease was for Aug. 1, 2017-July 31, 2018, and called for Doaks to pay $800 to cover the security deposit. On July 24, 2018, Doak said he signed another lease agreement with an $800 security deposit. That lease went from Aug. 1, 2018-July 31, 2019.
Doaks alleges the defendants did not reimburse the security deposit interest within 30 days after his first lease came to an end. Neither lease verified which bank the security deposit would actually be sent to, the suit alleges, and Doak said this happened to a minimum of 50 other tenants.
He alleges violation of the Chicago Residential Landlord and Tenant Ordinance (RLTO) for the “landlord’s failure to attach a separate summary including the security deposit rate for the ‘new’ years 2017 or 2018 to leases and renewals entered into in 2017 or 2018…” This alleged failure means that the defendant is owed $100 in damages and the opportunity to end the lease early, according to the lawsuit.
Doaks also alleges the landlord failed to follow RLTO regulations when it did not disclose the information for the financial institution where the security deposit would be sent. Doaks pointed out that the RLTO says “if a landlord fails to comply with RLTO Section 512-080(a) then the tenant shall be awarded two times the amount of the security deposit,” according to the lawsuit.
The class also requested attorney fees, other related court costs, and a determination that the landlord violated the RLTO, giving the tenants permission to end their leases early.