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Tenant Sues Property Management Company Over Hidden Fees

COOK COUNTY RECORD

Thursday, November 21, 2024

Tenant Sues Property Management Company Over Hidden Fees

Federal Court
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Thousands of Illinois tenants are accusing a major property management company of inflating fees, making housing increasingly unaffordable. On September 18, 2024, Stephany Williams filed a class-action complaint in the United States District Court for the Northern District of Illinois against Pinnacle Property Management Services, LLC.

Williams alleges that Pinnacle has been charging tenants hidden and misleading fees under the guise of "Pest Control," "Service," and "Trash" fees. These charges, which total nearly $30 monthly, are not disclosed upfront and often only become apparent once tenants have already committed to their leases. According to Williams, these fees provide no measurable value and serve only to boost Pinnacle's profits. The complaint argues that this practice is deceptive and unfair, particularly as it leaves renters with little choice but to accept these additional costs if they want to secure or maintain their housing.

The plaintiff further contends that these fees distort fair competition by making it difficult for prospective tenants to compare rental prices accurately. This issue is exacerbated when such fees are disclosed late in the leasing process or not at all. Williams notes that she was charged $7 for pest control, $4.50 for service, and $15 for trash removal each month without any noticeable improvement in services or explanation for fee increases.

The lawsuit also highlights how these hidden fees violate public policy by shifting costs that should be borne by the landlord onto the tenants. According to Illinois law and local ordinances, landlords are responsible for maintaining habitable living conditions, including pest control and trash removal. By charging additional fees for these basic services, Pinnacle allegedly violates the implied warranty of habitability.

Williams seeks damages on behalf of herself and similarly situated tenants across Illinois and other states where Pinnacle operates. The lawsuit aims to recover unlawfully charged fees and obtain equitable relief to prevent Pinnacle from continuing these practices. The plaintiffs argue that Pinnacle's actions constitute violations of the Illinois Consumer Fraud Act and have unjustly enriched the company at the expense of its tenants.

Representing Williams are attorneys Lisa Considine, David J. DiSabato, and Leslie Pescia from Siri & Glimstad LLP. The case is being heard before Judge [Judge's Name] under Case ID 1:24-cv-08610.

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