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The Official Publication of Manufactured Housing Communities of Washington EYE ON OLYMPIA EYE ON OLYMPIA Inside This Issue • Board Meeting October 14 & 15, 2009, Seattle, page 4 We Are Affordable Housing We Are Affordable Housing Fall 2009 Fall 2009

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Page 1: The Official Publication of Manufactured Housing …We are constantly working, with your help, to keep government inter-vention at a minimum. This coming session will be a short session,

The Official Publication of Manufactured Housing Communities of Washington

EYE ON OLYMPIAEYE ON OLYMPIA

Inside This Issue• Board Meeting October 14 & 15, 2009, Seattle, page 4

We Are Affordable HousingWe Are Affordable Housing Fall 2009Fall 2009

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Page 3: The Official Publication of Manufactured Housing …We are constantly working, with your help, to keep government inter-vention at a minimum. This coming session will be a short session,

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4616 25th Avenue NortheastSeattle, Washington 98105

(206) 985-PARK (7275)(206) 985-3876 Fax

FCPFirstCommercialProperty Corp.

We go to great lengths for community owners in the Northwest to create value.

Our hands-on approach in managing your community reflects our core values:

Integrity • Professionalism • Excellence • Respect

Call First Commercial Property Corp. or visit www.FirstCommercialPropertyCorp.com to schedule a complimentary evaluation of what we can do for your community.

Joel Erlitz, [email protected] Rongner, [email protected]

Quality Service Doesn’t Stop at the Finish Line

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Donna Pfeifer, editor. Articles for future publications can be sent to the MHCW office: 509 12th Ave. SE, Suite #7, Olympia, WA 98501, or emailed to [email protected].

Public Relations & Publishing:Washington Media Services, Inc.PO Box 7184 • Olympia, WA 98507 360.754.4543 • Fax: 360.943.7086Joyce Willms, President [email protected] Wolfe, Creative DirectorCrissy McGee, Advertising Manager & Graphic Designer [email protected] Crissy at 360.754.4543 for advertisingwww.wamedia.com

MANUFACTURED HOUSING COMMUNITIES OF WASHINGTON

State Executive Officers 2009-2010PRESIDENT ....................................... Judy Lynn

TREASURER ..................................Craig Rongey

SECRETARY ............................... Theresa Janzen

GOVERNMENT

RELATIONS CHAIR .................. Robert Cochran

MEMBER-AT-LARGE ............................. Rick Jiles

MEMBER-AT-LARGE ....................Edlee Quesnell

MEMBER-AT-LARGE .....................Jack DePeralta

EXECUTIVE DIRECTOR .................. Ken Spencer

OFFICE ADMINISTRATOR ............ Donna Pfeifer

Unit Presidents 2009-2010Ross Rongner ............................... Cascade UnitJudy Lynn ....................... Clallam-Jefferson UnitRobert Cochran .................. Inland Empire UnitJack DePeralta .................................. Island UnitJoel Erlitz .......... King County/Puget Sound UnitEdlee Quesnell .................................Kitsap UnitDebra Goethals ................................Pierce UnitRick Jiles ........................Snohomish/Skagit UnitCraig Rongey .............................Southeast UnitScott Hess .................................Southwest UnitDon Shoemaker .............. Thurston/Mason UnitDarrell Peoples ......................... Twin Cities UnitSandra Tabor ................................. Yakima Unit

President’s Message

By Judy LynnMHCW State President

509 12th Ave. SE • Suite #7Olympia, Washington 98501

(360) 753-8730 • (800) 345-5608Fax (360) 753-8731

www.mhcw.org I am looking forward to the fall term of my presidency of MHCW. We are starting to schedule and plan for

our training seminars. In the last Eye on Olympia we sent out a request for some ideas that would be helpful to our members in regards to training and re-ceived some excellent feedback. Thank you and keep up the great work. If you happen to think of any more ideas, please feel free to email Ken at [email protected] or Donna at [email protected]. I know they would appreciate it.

Training brings me back to why I became active in the association in the first place. My community was really

my late husband’s project. He had such a Type A personality that he could never imagine himself retired. The community is now my project, and I am not retired. For me, attending the training seminars and sending my managers to the con-ventions has been the best investment I could have made.

Legislation issues will always be there. We are constantly working, with your help, to keep government inter-vention at a minimum. This coming session will be a short session, but, all of the bills become live again. Thank you in advance for your continued support. n

New Form Rates: Call Donna at 1.800.345.5608 or check MHCW’s website to make sure you have the latest forms and/or order form. Prices have changed effective July 1, 2009. The latest order form has the code 6/09 located on the bottom right corner. MHCW Forms are for Current Paid Members Only!

MHCW Disclaimer: Articles in this newsletter are intended for a wide audience and cannot substitute for specific legal, insurance, or accounting advice. Opinions, interpretations, assumptions and predictions of the authors are not intended as legal advice from MHCW. MHCW, Washington Media Services, Inc. and its management do not make warranties with respect to accuracy, reliability, or completeness of the information in this article. MHCW members should consult their own attorneys, accountants and insurance agents for advice on their specific situation.

MHCW Board Actions, July 23, 2009 – Federal Way

1. APPROVED the minutes of the Quarterly Board Meeting held April 27, 2009, as presented.

2. APPROVED the Treasurer’s Report as presented.

3. APPROVED that a recommendation of the Government Relations Committee regarding the owner/resident coalition suggestions be accepted:a. Review the rent receipt request recommendation with the ability to amend

to add that requests for receipts should be in writing. b. No on pursuing having landlords keep lots free of hazardous trees. c. No on having tenants maintain trees and plants any tenant planted.d. Review more information on the utility issue.

4. APPROVED expenditures from the PAC fund for requested donations, with the understanding that half will be raised through individual donations.

5. APPROVED a Committee to Protect Property Rights recommendation regarding an expenditure from the Legal Defense Fund to member Dennis Daly to defend an Attorney General case relating to pet rules.

Respectfully Submitted, Theresa Janzen, MHCW Secretary

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By Ken SpencerMHCW Executive Director

Members Make the Difference

F all is upon us and, soon, we will begin another year and a guaranteed legislative knock down drag out. At the risk of promoting complacency,

I have to admit to the secret of our phenomenal success last session (killed a dozen bad bills, and passed a very good bill). Member involvement trumped all in turning back one of the worst collection of harmful legislation I’ve seen.

Poorly conceived legis-lation aimed at our industry came at us in many forms, backed by some very in-fluential individuals and a host of resident supporters. While MHCW has fine lobbyists, a couple of the best, actually, it was mostly YOU, our members. Over the last few years, I have noticed a steady growth in the number of members who actively participate in the process. You

have actively engaged legislators, and they have stood against the ill-conceived concepts trumpeted as good for the industry, which has made a big difference.

While there is no way to know for sure, I suspect the ever-increasing onslaught on the industry has driven a constantly growing number to fight back. It is essential that you have fought back, or else who knows what you might be living with today. The worst case scenario, one that those who hate landlords never figure out, is you would quit the industry and there would be less affordable

housing for those most in need. Keep up the struggle: the industry, and those who rely on what you provide, both need you!

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CONSIDERING FINANCING?ProActive Lenders provide you the best rates, terms and easiest qualifyingguidelines available.Secure loan amounts from $300K to $25M. Fixed rate loans are amortized up to 30 years, fullyassumable and no balloon payment is ever required! Funds are available for purchase,refinance, construction, development and rehab.Call today for a free, no-obligation quote or to discuss your future financial needs.

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WA.Third Page 5/12/09 11:11 AM Page 1 (continued on page 5)

Is the Printer Out of Ink?

B y now the keen observers among you have probably noticed we are without the usual color or gloss of the typical Eye on Olympia issue.

It is not for lack of ink. Our cost is above what we budgeted and these changes are an attempt to slow the bleeding. Worse than the cosmetic changes, is the fact that we had to leave a couple of articles on the editing desk. We will get them out next time. My apologies to Mary Snyder and Marlene Kaplan. n

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(clip and mail)

All officers will be considered registered for all board meeting and seminars. If unable to attend, they will arrange for a substitute. If no substitute is avail-able, the state office must be notified one week in advance of the meetings, or the director will be responsible for the applicable hotel and meal charges.

Board Meeting – October 14 & 15, 2009 – Seattle

Red Lion Hotel – Seattle Airport18220 International Blvd. • Seattle, WA 98188

(206) 248-8188

Directions: From Sea-Tac International Airport – From the airport, head east to International Boulevard. Turn right onto International Blvd. At S. 184th St., make a U-turn. The hotel is located on the right side.

From Interstate 5 North – Take exit 152 and turn right at the end of the off ramp. This puts you on S. 188th St. Stay on S. 188th St. to International Blvd. Take a right onto International Blvd. The hotel will be on the right side.

Interstate 5 South – Take exit 152 and turn left at the light at the end of the off ramp. This puts you on S. 188th St. Stay on S. 188th St. to International Blvd. Take a right onto International Blvd. and the hotel will be on the right side.

From I-405, get on I-5 south and follow the above directions.

Sea-Tac International Airport via shuttle – Please take the sky bridge to parking building which is the opposite building from the main terminal. Go down to the ground level and wait for the shuttle at island 1 or 3. There is the phone that you can dial directly to the hotel shuttle. Please look for a yellow Master Park Shuttle with the letter “A” at the window and Red Lion Hotel Seattle Airport on the side of the shuttle. If you need further assistance, please call the Red Lion Hotel Seattle Airport Front Desk at 206-246-5535.

Wednesday afternoon, October 14 2:00-5:00 p.m. – Committee Meetings

Committee Meetings 2:00 – Manager Training Committee – MTC 2:15 – Forms Committee – FC 2:30 – Membership Committee – MC 2:45 – Rules Committee – RC 3:00 – Committee to Protect Property Rights – CPPR 4:00 – Government Relations Committee – GRC 5:00 – Committee Meetings End

No scheduled dinner

Thursday, October 15 8:00 a.m. – Executive Committee Meeting 9:45 a.m. – Break 10:00 a.m. – Board of Directors Meeting 12:00 -1:00 p.m. – Lunch 1:00-3:30 p.m. – Meeting continues

Please return with your check made out to: Manufactured Housing Communities of Washington509 12th Ave SE, Suite #7, Olympia, WA 98501 • (360) 753-8730 • [email protected]

Please bill my credit card: Mastercard Visa Discover (circle one)

Card #

Exp. Date ______________________________

Signature _______________________________

Registration Form

Name(s) __________________________________________________________________________________________________________

Community _____________________________________________________________________City ______________________________

Phone or Fax _____________________________________________________________________________________________________

Credit Card Billing Address the Same as Above

Address ___________________________________________________________________________________________________________

City ___________________________________________ State ___________________________________Zip ________________________

Please Include Complete Credit Card Billing Address if Different from Address Above

Yes, I (we) plan to attend the Thursday, Oct. 15, 2009 Board Meeting lunch $24.00 per person $ __________

TOTAL AMOUNT ENCLOSED $ ____________

Reserve your rooms by September 16, 2009!

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Member involvement is not only critical in the legis-lature, but is just as important in educating local govern-ment leaders. Again, you must counter ill-conceived and misleading proposals as to what will and will not work, in attempts to preserve our contributions to the affordable housing stock.

Pierce County’s affordable housing proposals to the county council no longer contain several unworkable proposals opposed by MHCW. Still, other concepts will be reexamined due to the hard work of several members. Debra Goethals, Joe Hammond, Carol Woodman, and Dennis Daly all attended hearings and testified on our behalf. John Woodring submitted an MHCW position paper reiterating our concerns.

In Snohomish County, a poorly fashioned plan to create “permanent exclusive zoning” for MHCs has been tirelessly opposed by MHCW members. While I will miss some, those making the effort to explain our position in-clude Jeff Palmer, Jim Sekulich, Bob Kapela, Walt Olsen, Commonwealth Real Estate Services representatives, Jane Jones, and others. While a temporary moratorium

on closures is in effect, hopefully reason will prevail in the end.

The City of Tumwater has actually taken the leap into what MHCW sees as an illegal choice of exclusive zon-ing. Again, MHCW members have vigorously opposed the move. Now legal action will cost members, residents, and the citizens of Tumwater for the poorly considered option they have gone with.

The lesson is simple, your involvement matters very, very much. Your peers have shown the positive effect par-ticipation can have. If you are one of those that is involved, thank you. If not, please follow their example. n

Encore & Company, INC.

I N S U R A N C E

Members Make the Difference(continued from page 3)

Welcome New Members

Parklane Court Spanaway

Parkwood MHCSequim

Fruitvale MHPYakima

Glen Mar MHPLakewood

River RoadPuyallup

Timberland VillageRaymond

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Seattle – October 14 & 15, 2009Red Lion Hotel Seattle Airport18220 International Blvd., Seattle, WA 98188206.248.8188

Wednesday, October 14, 2009 – Committee Meetings

Thursday, October 15, 2009 – Board of Directors Meeting

Fall Training SessionsOctober 12, 2009 – Spokane • Contempo Spokane MHP

October 13, 2009 – Richland • Richland MHP

October 28, 2009 – Mount Vernon • Viewmont Mobile Estates

November 4, 2009 – Federal Way • Belmor Golf & Country

November 10, 2009 – Vancouver • Creekside Estates

See outside back cover for more details

Olympia – January 14 & 15, 2010Olympia Day & Board MeetingThe Phoenix Inn Suites415 Capitol Way N, Olympia, WA 98501360.570.0555

Thursday, January 14, 2010 – Legislative/Olympia Day

Friday, January 15, 2010 – Board Meeting

2009 Calendar of Events

D ealing with the Attorney General’s Office, resi-dent relations, legislative and legal updates form the basis of the Fall training sessions. Mark

your calendars now and reserve a spot for the training site near you.

Staff from the AG’s office will explain the Dispute Resolution Program process and representatives of resi-dent groups will join in explaining their positions and concerns in a give and take format. MHCW associate attorneys and members will give overviews of dealing with the AG’s office as well as legislative and legal updates effecting MHCW members.

It is a great opportunity to get the latest information on matters important to all of us. Sign up early and join us this Fall. n

Join Us for Fall Training

By Ken SpencerMHCW Executive Director

See outside back cover for more details

By Scott Hess, Southwest Unit President

News from Aroundthe State

A s an active unit, our members are involved in train-ing throughout the year. We have in the past, and will in the future, continue to support the efforts

of the association in the political and legislative process, as well as in the active participation of the Annual Leg-islative Day activities.

The Southwest Unit meets quarterly. Our meetings provide an opportunity for members to network and discuss issues relating to owning, operating, and manag-ing a manufactured housing community. We believe, together, we can make a difference.

This is evident through our involvement in selecting training topics and participation in our state association. Our members strive to meet today’s challenges head-on in a thoughtful, supportive, and realistic manner by mutu-ally sharing, exploring, and providing proactive positive solutions to today’s issues. We would not be able to successfully address these issues, concerns, and needs facing us without the commitment and participation by our members to our industry.

We look forward to the training opportunities pro-vided to us both locally and at a state level. n

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Like Watching a Robbery in Slow Motion

B eing property manager of Contempo Spokane MHP has offered a number of opportunities to learn about other elements of the manufactured home business.

One of these is how homes are bought and sold. As residents come in to give notice, or ask questions, we

learn a lot about the process they go through to sell or buy their manufactured homes. Some residents worry about if this agent is good, or that dealer is bad. We voice no opinion on any agents, except to advise any buyer or seller to get everything in writing, to get an inspection of the home to prevent problems after the sale, to understand the difference between a consignment sale and a listing, and to contact the appropriate agencies if they have a concern during or after the sale.

During my years listening to stories of residents buying and selling their homes, I saw a pattern in the way sales were done on consignment. Vehicle dealers are allowed to sell

manufactured homes because they are technically vehicles, and they can do consignment sales versus a listing agreement that most of us are familiar with in real estate transactions. What I have observed and investigated is that some dealers use the consignment contract and the authority it grants them in the sale to control the sale in such a way as to garner a commission far above the usual 3 to 5 percent. In at least one case, the profit or commission was 17 percent.

A consignment contract has the seller agree to a fixed price to be paid from the dealer when sold. It also gives the dealer authority to accept any offer, not the seller. It sets up a situation where there is one deal from seller to dealer, then another deal from dealer to buyer, and the details of each deal are kept separate. In my investigation of this process, I find that it makes it possible, and legal, for a dealer to conceal profits and terms from the buyer and seller, if they hold strictly to the consignment rules in the Washington Administrative

HB 1539 & SH 5668 Offer A Solution

By Robert CochranMHCW Government Relations Chair

(continued on page 8)

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Types of Loans: Recourse and Non-recourse, fixed and adjustable rate loans available on three, four and five star communities

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HB 1539 & SH 5668(continued from page 7)

Code (WAC). But I have also found that, on occasion, the process is a mix of consignment and listing, always to the dealer’s advantage, and this has sometimes violated even the consignment rules.

Recently, I made copies of a consignment contract for a resident and the fixed price on the consignment contract she agreed to was written in, but alongside it was “O.B.O.” Are these someone’s initials, or does it stand for “or best offer”? Now, anyone in the business knows that you cannot modify or leave negotiable the set price for the consignment without another contract stipulating the change, so the notion of an “or best offer” price is patently wrong. For starters, who is to determine the new O.B.O. price, the seller or the dealer? By letting the consignment price vary depending on the offer of a buyer, doesn’t that make the consignment actually a listing, except the dealer is the one deciding? (In the listing process, a buyer makes an offer, a seller can accept or counter-offer, and it goes back and forth.)

When the dealer makes the set consignment price flex-ible, contingent on what price the home can be sold for, it leaves open the possibility to lower the consignment price to any level to ensure the dealer gets a larger profit from the difference with the buyer’s offer. The concept is laughable from the point of view of the Department of Licensing, whom I’ve spoken to about this. But unfortunately, the sellers and buyers in these deals are not experts in the ways of the WAC and dealer regulations and ethics. More often than not in the cases I’ve looked in to, the seller and buyer are single elderly widows.

When I become aware of these contracts, it is like watch-ing a robbery in slow motion, except my hands are tied as to what I can do. In the case of a dealer with a bad consignment contract, I cannot interfere directly. I cannot file a complaint with the DOL on behalf of the seller. I cannot give legal advice. I can only watch as it happens. When I contacted an attorney and an advocacy agency, they leave it up to the seller to decide if there’s a problem, and can do nothing if

the seller makes no complaint (Of course they often do not know enough of the law to complain).

So what can be done? One solution we have proposed in the last legislative session is to control or restrict the use of consignment contracts by dealers of manufactured homes when the used home is being sold from one resident to an-other. Forcing the dealers to use an open and transparent listing contract, with commission, fees and prices out in the open for both the seller and buyer to see, and allowing only the seller to accept an offer, seems to be the best solution to offer some protection for the parties involved.

MHCW introduced two bills last session to restrict consignment sales, HB 1539 and SB 5668, which will be reintroduced this coming legislative session. With prime sponsors like Sen. Jean Berkey (SB 5668) and Representative Larry Springer (HB 1539) and a host of bipartisan supporters, both bills have a good chance of passing this time. Anyone who sees how the consignment process can be abused in a sale by a disreputable dealer realizes something needs to be done. If each of us actively promotes these bills with their legislators, we can put a stop this slow motion theft from our elderly residents. n

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(continued on page 10)

By Deric N. Young, Attorney at LawAssociate, Woodring Law Office

Rules Violation Evictions under the Three Strikes Provision of the MHLTA

P erhaps one the most frustrating situations faced by a Manufactured Housing Community owner is dealing with a tenant who repeatedly fails to follow the rules.

Maybe the lawn is not being kept up, or dogs are running loose, the tenant’s parties are bothering the neighbors, or there are people living in a home that you have no idea who they are. Sometimes a tenant repeatedly continues to be a problem and is obviously not going to change his or her behavior. What can be done about it?

The Manufactured Home Landlord Tenant Act (MHL-TA) has a remedy for the repeat offender, commonly called the “three strikes” provision. The MHLTA provides that a landlord may terminate a mobile home tenancy “[i]f the landlord serves a tenant three fifteen-day notices within a twelve-month period to comply or vacate for failure to comply with the material terms of the rental agreement or park rules.” RCW 59.20.080(1)(h). The twelve-month period starts with the date of the first violation, not the date of service of the first notice.

Once the tenant is served with three 15-day notices to comply or vacate within a twelve-month period, a landlord may commence an unlawful detainer action. The tenant’s repeated misconduct is the basis for the termination of the tenancy. Thus, even if the tenant complies with the notices, you still have grounds to start an eviction. Mediation is not required prior to starting a termination based on the three strikes provision of the MHLTA.

However, this provision, like all the termination provi-sions of the MHLTA, is construed in favor of the tenant. And particularly with respect to rules violations, the viola-tions are not always easy to prove. Therefore, it is very

important to understand a few things about the three strikes eviction as it is dealt with by the courts. The questions and comments below are based on some of the problems we most frequently see in a three strikes eviction.

Have you documented service of the community rules on the tenant? Most often these are given to the tenant when they move in, however, over time rules change. As is the case of all notices, including service of a 15 day notice, cop-ies of the rules must be served personally on the tenant, or if not possible, posted in a conspicuous place on the home and mailed to the tenant. It is also advisable to make sure your rules are consistently applied to all residents and are reasonable and enforceable pursuant to RCW 59.20.045.

Does the 15 Day Notice to Comply or Vacate clearly describe the violation? The purpose of a notice is to give the tenants a clear idea of how they are violating the rules or rental agreement and what they must do to remedy the violation. We recommend that a landlord quote the rule or rental agreement provision and specifically describe the violation, including dates of the violation, if applicable.

With respect to timing of notices, you may serve an-other 15 day notice for a different type of violation within the time frame of the 15 days of service of the last notice. You do not need to wait 15 days if there is a violation of a different rule. These count towards the three strikes. If a violation continues, you may serve another notice for

Insurance Counsel Mary Snyder, Encore & Company, Inc. 2122 164th Ave. SW, Ste. 305 Lynnwood, WA 98037 (877)741-7676•FAX(425)741-4384 EMAIL [email protected]

(clip and tape)

Oops!Please clip out and tape the block below to replace the Insurance Counsel listing on your 2009-2010 State Executive Officers page.

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Rules Violation Evictions(continued from page 9)

the same violation upon the expiration of the first notice. However, most courts consider contemporaneous service of multiple notices for a single violation, as one notice. A 5 day pay or vacate notice cannot be used as one of the three notices.

Do not accept rent after service of the third notice if you intend to move forward with an eviction action. You will waive your right to an eviction following that notice if you accept rent, and will then need to serve another no-tice if there is continued non-compliance. Always return tendered rent to the tenant as soon as possible if you plan to start an eviction action.

Is the violation a violation of a “material term” of the rules or rental agreement? What constitutes a material violation may vary from community to community. A meticulously kept retirement community’s standards may be different than those of a low income family community. Minor violations such as letting the lawn grow an inch over the norm or an incident of a dog getting loose will usually not sustain a three strikes eviction action.

Can you prove the violations occurred once it gets to court? It is possible that a three strikes eviction will end up in a trial with witnesses, since the tenant usually denies that they have violated the rules. It is much easier to prevail if you have pictures of an obviously overgrown yard, trash piled up in the back yard, or a pet constantly running loose. For behavioral violations, like loud noise, too much traffic,

or disruptive behavior that impacts the other tenants, you will need witnesses. When another resident complains, have them put it in writing in case you need it later for an eviction. They may also have to testify in court.

Unless the tenant admits the violation, some types of violations are difficult to prove. The most common example of this is dealing with an unapproved occupant. Many times the tenant claims they are a guest, or they were just visiting. Again, documentation is important. Mark the calendar with dates and times that you or the complaining resident sees the unapproved occupant staying in the home.

Finally, in considering whether to bring a three strikes action based on rules violations, a landlord should consider the costs against the benefits. A contested three strikes ac-tion can be expensive; therefore, working out a settlement is often the best course of action. In practice, a three strikes eviction action is frequently settled with a stipulation for an agreed move out date and allows a reasonable time for the tenant to sell their home.

Please call our office 360-754-7667 if you have any questions regarding the three strikes provision in the MHLTA. n

M HCW is helping the Lawson’s in their legal battle with the City of Pasco, the case that deals with protecting the rights of commu-

nity owners and those who live in RVs as their primary residences. The city’s attempt to ban long term RVs prompted MHCW to sponsor and pass EHB 1227, which prohibits such bans.

Now on the way to the State Supreme Court, the Lawson’s case has received a boost from Mobile Home Owners of American (MHOA), who have entered an amicus curiae brief supporting the Lawson case. MHCW thanks MHOA for both their help with the case and for demonstrating the advantage of owners and residents working together on issues of mutual benefit.

MHCW particularly wants to thank Bob Burton, MHOA’s President, and the other State Officers for their decision to lend support in this issue. n

MHCW Thanks MHOA for Help With Lawson V. City of Pasco

Thank You!

Stan Ingraham Christmas Village – Shelton

Long time member of MHCW

In Memory

PO Box 7113Olympia, WA 98507(360) 339-4255(800) 597-3739Fax (877) 491-0448

[email protected]

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D uring this past month, various clients emailed our office with questions about a recent unpublished opinion by the Court of Appeals in Seattle (Divi-

sion 1), that involved the service of a 3-Day Notice to Pay Rent or Vacate under the Residential Landlord-Tenant Act. As I responded to each email, I thought that our entire membership would benefit by a review of the very techni-cal legal requirements to properly serve notice upon your residents.

In short, the new Division 1 case involved a residen-tial eviction against a husband and wife, and the landlord served one copy of an eviction notice on the husband, who evidently turned around in the doorway and gave the copy to his wife. According to the trial court, this was sufficient service of both the husband and wife. According to Divi-sion 1, this was insufficient service, and the landlord’s eviction was therefore defective, and the court awarded

the tenant legal fees and costs both at trial and on appeal which I would expect to be a five-figure type amount. In comparison, according to Division II of the Court of Appeals (all counties south of King and west of the mountains), this is sufficient service. To resolve this inconsistency in our Court of Appeals, the Washington Supreme Court would have to accept review of the issue in some future case, if some landlord had the misfortune of being confronted with this hyper-procedural issue, and wished to pursue this issue of statewide significance. If you would like a copy of the unpublished Division I opinion, as well as my responses to what I have found to be Frequently Asked Questions regarding the case, email [email protected] and she will reply with a copy.

Of course, the better business practice and legal strategy is to avoid such quagmires in your day-to-day dealings.

By Walt OlsenAttorney at Law, Associate Member, Olsen Law Firm

The Risk of Not Serving Notice Correctly

(continued on page 12)

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Unfortunately, even that strategy does not always guaran-tee that you will be immune from opportunistic residents or court decisions that split hairs for seemingly innocuous reasons under the guise of well-established case law that the landlord-tenant laws should be construed in favor of the resident, and against the landlord. In fact, we have litigated these very service issues on behalf of some of you in recent years, including more than one case involving a Notice of Community Closure in which a sole holdout resident claims that service of notice was not correctly completed, after remaining silent about inadequate service for the eleven months following the twelve-month Notice of Community Closure. But, after the twelve month notice expires, and the resident should have vacated the community like the other residents did on a voluntary basis, the holdout resident only then claimed that he/she is entitled to an additional twelve-month notice as the sole resident of the community. The landlord must then make the unenviable business decision to pay legal fees to evict the holdout resident, or pay thousands of dollars each month to provide the tenant with utilities, or pay thousands of dollars to the tenant in greenmail to get the resident to voluntarily vacate the community so that it may be closed.

Fortunately, closures of communities seem to be decreas-ing in recent times, and I would not hope or anticipate that any client would have to address this issue in the immediate future. But, correct service of any notice upon any resident is likely one of the most common legal issues facing any community owner, and deserves to be reviewed by every owner or manager of any manufactured home community in Washington.

In short, there are only two ways to properly serve any notice under the Manufactured/Mobile Home Landlord Tenant Act, and in case of question, it is prudent to have an extra witness as to service, and even document the method of service with a photograph and/or video in this day and age when you can easily do so with a phone or digital camera.

Under RCW 59.20.150, you must either personally deliver the notice to the tenant, or if the tenant is absent, you can only then post a copy of the notice on the tenant’s door and mail a copy.

Hand Serve The Tenant The most preferable method of service is to hand-

serve the notice to the tenant. This means that the landlord should review the tenant’s rental agreement, identify who is identified as the tenant on the rental agreement, and only hand-serve someone who is identified as the tenant on the rental agreement.

Both Post And Mail If the tenant is not home, as evidenced by the fact that

the tenant does not answer the door, the landlord may post the notice on the front door of the manufactured home AND mail a copy to the tenant via regular U.S. mail. If one tenant is home, and another tenant is not home, you should give the tenant who is home a copy, wait for the tenant to shut the door, and then post another copy on the door and mail a copy to the absent tenant.

Each tenant is to be served a copy of any notice by these procedures.

If the notice is not hand-served to the tenant, and the notice is posted and mailed, one additional day should be added to the notice period before starting an eviction action. Mailed notice does not have to be certified mail, return receipt requested. Regular mail is all that is required. If the landlord chooses to send a notice by certified mail, it is prudent for the landlord to also send an additional copy of the notice by regular mail.

The landlord should make a copy of the notice when it is completed and before it is served on the tenant. The person who serves the notice should make a note on this copy of the exact time, date, and method of service and who served the notice. If a notice is mailed, the person mailing the notice should record his name, and the date, time of day, and location of mail deposit. This information is necessary if the receipt of the notice is ever questioned by a resident.

If you would like a complementary copy of our seminar materials titled A Day in the Life of Managing a Manu-factured Housing Community, which further describes proper service of notice and other landlord/tenant matters, please email [email protected] and she will reply with a copy. n

Not Serving Notice Correctly(continued from page 11)

Page 15: The Official Publication of Manufactured Housing …We are constantly working, with your help, to keep government inter-vention at a minimum. This coming session will be a short session,

The Following is a Partial Listing of MHCW Associate Members:Let’s Support Them as They Support Us!

ENCORE AND COMPANY, INC.Mary Snyder

2122 164th Ave. SW, Ste. 305Lynnwood, WA 98037

(877) [email protected](Previously Totem Agencies, Inc.)

Insurance

CANNON CONSTRUCTION, INC.

406 Porter WayMilton, WA 98354

(253) 922-2787

GREEN COURTE PARTNERS560 Oakwood Ave.

Lake Forest, IL 60045(847) 582-9400

PGP VALUATION INC.1325 4th Ave., Ste 500

Seattle, WA 98101(206) 343-7477

Other Services

MARlENE KAPlANAttorney at Law

5745 Wilson Ave. S.Seattle, WA 98118

(206) 923-0079 Fax (206) 923-0150

OlSEN lAW FIRM PllC604 W. Meeker Street, Ste. 101

Kent, WA 98032(253) 813-8111

Fax (253) 813-8133

JOHN WOODRING2120 State Street

Olympia, WA 98506(360) 754-7667

Attorneys

PHIllIPS MANAGEMENT SERVICES

Brent Pedersen223 Taylor Ave. N. Ste. 200

Seattle, WA 98109-5303(206) 622-8600

MARCUS REAl ESTATE SERVICES, INC.

1441 West Bay Dr. NW #102Olympia, WA 98502

(360) 528-3288

FIRST COMMERCIAl PROPERTY CORP.

Joel Erlitz & Ross RongnerPMB 701

4616 25th NESeattle, WA 98105

(206) 985-PARK (7275)[email protected]

rrongner@firstcommercialpropertycorp.comwww.firstcommercialpropertycorp.com

COMMONWEAlTH PROPERTY MANAGEMENT12301 NE 10th Place, Ste 102

Bellevue, WA 98005(425) 881-9890

Fax (425) 881-8720 and

COMMONWEAlTH PROPERTY MANAGEMENT7007 SW Cardinal LN #185

Portland, OR 97224(503) 244-2300

ManagementServices

FIRST COMMERCIAl PROPERTY CORP.

Joel Erlitz & Ross RongnerPMB 701

4616 25th NESeattle, WA 98105

(206) 985-PARK (7275)[email protected]

rrongner@firstcommercialpropertycorp.comwww.firstcommercialpropertycorp.com

TOMAS M. GOTTLIEB, BROKER & PRESIDENT

GOTTLIEB PROPERTIES, INC. 2018 156th Ave NESuite 100 Building F

Main: (425) 748-5172Direct: (425) 748-5173

[email protected]

LINDA FIRNBERGKEITH ENGlAND

MHC Investment TeamColdwell Banker CommercialDanforth and Associates, Inc.

33313 1st Way SouthFederal Way, WA 98003

(206) [email protected]

NW PARK BROKERAGE2375 – 130th Ave NE Ste. #102

Bellevue, WA 98005(206) 652-4100

Fax (206) 652-4540

PARK PRESERVATIONISTSJeremy Millard

21145 – 212 Ave. SEMaple Valley, WA 98038

(425) 235-8100

MHC Sales/Purchases

BAKER MORTGAGE CO.Victor M. BakerP.O. Box 12964

Salem, OR 97309-0964(503) 390-4914,

Fax (503) 390-8386

PROACTIVE lENDING llC

Jim Swaim14818 221 Ave. N.E.

Woodinville, WA 98077(425) 788-8646

FIRST MUTUAL BANKBob Everett, Vice President

P.O. Box 1647Bellevue, WA 98009

1 (800) 735-7303

BANKERS MUTUAL5331 SW Macadam, Suite 122

Portland, OR 972391-888-675-6305 ext. 2

INVESTOR’S REAl ESTATE CAPITAL, INC.

Dan Jones11400 – 45th Ave. SE

Everett, WA 98208(425) 806-8508

Financing

WASHINGTON MEDIA SERVICES, INC.

Joyce WillmsP.O. Box 7184

Olympia, WA 98507(360) 754-4543

Fax (360) [email protected]

Public Relations AgencyScreening Services

DATA NOW SCREENING SERVICE

P.O. Box 7113Olympia, WA 98507

(800) 597-3739Fax (877) 491-0448

www.datanowscreening.com

Would You Like Your Name on the Associate Member List? Call Crissy

at 360.754.4543 and Check Out Our Website at www.mhcw.org

Lobbying

PUBLIC AFFAIRS OF WASHINGTON, llC

Mark Gjurasic2633 Parkmont Ln. SW

Bldg. B, Ste. H-7Olympia, WA 98503

(360) 705-0113Fax (360) 866-4841

[email protected]

Page 16: The Official Publication of Manufactured Housing …We are constantly working, with your help, to keep government inter-vention at a minimum. This coming session will be a short session,

Manufactured Housing Communities of Washington509 12th Ave. SE, Suite #7Olympia, Washington 98501

PRESORTED STANDARD U.S. POSTAGE PAIDOLYMPIA, WAPERMIT NO. 537

www.mhcw.org

ADDRESS SERVICE REQUESTED

Please return with your check made out to: Manufactured Housing Communities of Washington509 12th Ave SE, Suite #7, Olympia, WA 98501 • (360) 753-8730 • [email protected]

Please bill my credit card: Mastercard Visa Discover (circle one)

Card # Exp. Date ______________________________

Signature _______________________________

Training Seminars Registration Form

Name(s) __________________________________________________________________________________________________________

Community _____________________________________________________________________City ______________________________

Phone or Fax _____________________________________________________________________________________________________

Credit Card Billing Address the Same as Above

Address ___________________________________________________________________________________________________________

City ___________________________________________ State ___________________________________Zip ________________________

Please Include Complete Credit Card Billing Address if Different from Address Above

(clip and mail)

1. Yes, I (we) plan to attend the Spokane Training – Monday, October 12, 2009, $89 per person $ _____________

2. Yes, I (we) plan to attend the Richland Training – Tuesday, October 13, 2009, $89 per person $ _____________

3. Yes, I (we) plan to attend the Mount Vernon Training – Wednesday, October 28, 2009, $89 per person $ _____________

4. Yes, I (we) plan to attend the Federal Way Training – Wednesday, November 4, 2009, $89 per person $ _____________

5. Yes, I (we) plan to attend the Vancouver Training – Tuesday, November 10, 2009, $89 per person $ _____________

TOTAL AMOUNT ENCLOSED $ _____________

The program topics will include:

9:00-12:00 – AM Session• AttorneyGeneral’sDisputeResolutionProgram

– AG staff will explain their program process– “How to Deal with the AG’s DRP”, MHCW Associate Attorneys

• ResidentRelations– Resident Group representatives (MHOA/AMHO) explain their

positions, concerns, proposed changes to M/MHLTA– Open Discussion

12:00-1:30 – Lunch1:30-4:30 – PM Session

• Legal/localgovernmentupdates• Community/HomeImprovement&upgrades• Legalnotices/service&companionpets/caregivers• OpenQ&A

Oct.12–Spokane•Contempo Spokane MHP1205 E Lyons Ave – OFC • Spokane, WA 99208509.484.4242

Oct.13–Richland•Richland MHP35 Apollo Blvd • Richland, WA 99354509.375.3064

Oct.28–MountVernon•Viewmont Mobile Estates1120 S 25th • Mount Vernon, WA 98274360.424.5162

Nov.4–FederalWay•Belmor Golf & Country2101 S 324th St • Federal Way, WA 98003253.838.6865

Nov.10–Vancouver•Creekside Estates5101 NE 121st Ave #34 • Vancouver, WA 98682360.254.8586

Join Us For Excellent Fall Training Opportunities