$400K restitution in the mail to Ilwaco mobile home park residents as a result of successful AG lawsuit

Owners issued unlawful eviction and utility shut-off notices to residents

OLYMPIA - Attorney General Bob Ferguson announced today that approximately $400,000 in restitution is on its way to current and former residents of an Ilwaco mobile home park. The owners, Michael and Denise Werner and their companies, including Deer Point Meadows Investments, are paying nearly $1.1 million as part of a legally binding resolution to Ferguson's consumer protection lawsuit over the Werners' unlawful eviction and utility shutoff notices.

In 2022, the Werners and their agents distributed eviction and utility shutoff notices to residents of the Beacon RV mobile home park, signed by "Management," despite not yet owning the park. While distributing the notices, two of the agents were visibly armed with firearms.

In written communication, Denise Werner described the Beacon RV residents as "filth." Michael Werner stated he was not concerned about the Beacon residents' rights and that he did not believe the law applied to him.

A judge in Pacific County Superior Court previously ruled the notices were unlawful. The legally binding resolution requires the Werners to pay back their current and former tenants, plus interest, as well as covering the costs of the Attorney General's investigation and enforcement.

The approximately 40 current and former tenants will receive a letter from the Attorney General's Office explaining the resolution. Each tenant will receive a check for $10,000. This is in addition to $57,000 in administrative fines from the Attorney General's prior enforcement for violations of Washington's Manufactured/Mobile Housing Landlord Tenant Act, and a court order to provide $2,000 or actual relocation costs to tenants, whichever is greater.

"This resolution gives significant relief to tenants -many of whom are elderly, disabled, low-income or veterans - and provides accountability for the park owners' illegal conduct," Ferguson said. "Washington law is clear: Mobile home landlords must deal fairly with their tenants. My office will continue to be a watchdog for Washingtonians."

Ferguson filed a lawsuit in Pacific County Superior Court asserting the Werners violated the Consumer Protection Act and Manufactured/Mobile Housing Landlord-Tenant Act during their purchase and operation of Beacon Charters and RV Park.

The Werners are based in Vancouver, Wash., and own and operate dozens of mobile home and RV parks across the state. Approximately 4,000 people live in those parks.

On April 11, 2022, the Werners purchased Beacon, intending to convert the park to short-term rentals. Prior to completing the sale, the Werners began issuing eviction notices to Beacon's 45 long-term residents on Feb. 25, 2022. The notices were signed by "Management."

On April 6, 2022 - still prior to owning the park - the Werners issued a utility shut-off notice, also signed by "Management." The former CEO of Deer Point testified that this was "standard practice" for the Werners. The Werners attempted to shut off the power, but the local utility provider refused.

Judge Katherine Svoboda, a Grays Harbor judge who presided over the case in Pacific County court, ruled that the notices were unfair and deceptive, in violation of the Consumer Protection Act. When issuing the notices, and subsequent notices around the park, two of the Werners' employees were visibly armed with firearms, at the direction of Michael Werner. In addition, the Werners had refused to keep the park clean and safe, as required by law, allowing a rat infestation, piles of garbage and feces-smeared bathroom facilities.

One resident said people at the park were "shocked and scared."

An 81-year-old resident who has lived at the park for eight years said she "worried we might get kicked out onto our butts in the street. … How on Earth can [the Werners] do that legally?"

A 78-year-old resident undergoing cancer treatment said she saw "rats running all over the place. … I had to borrow money for a lot of things" in order to move.

In response to the Werner's notices, a majority of the Beacon residents were forced to leave the property. Some Beacon residents feared for their safety, believing the Werners would kick them out on the streets or tow away their homes.

One Beacon resident feared having an eviction on her record, which could prevent her from securing low-income housing.

Another Beacon resident was prevented from seeing his young child because of the Werner's threats of utility shut-off and safety concerns stemming from the Werner employees openly carrying firearms. Some Beacon residents experienced physical harm from the stress and physical exertion required to move their homes, requiring hospitalization and ongoing care.

Other tenants had difficulty finding parks with availability to accept their mobile homes.

Manufactured Housing Dispute Resolution program helps tenants and landlords

The Attorney General's Manufactured Housing Dispute Resolution Program received 13 complaints from 10 tenants at Beacon.

The Legislature created the program in 2007 to help enforce Washington's Manufactured/Mobile Housing Landlord-Tenant Act (MHTLA) and help resolve disputes between landlords and manufactured home owners. The act applies to situations where the tenant owns their manufactured or mobile home, but rents the space the home sits on.

Both landlords and tenants can file complaints with the program. The program serves as a neutral party, not an advocate for either side.

The law directs the program to attempt to bring parties into compliance with the law prior to taking enforcement actions. Enforcement can include administrative measures and litigation.

Tenants and landlords can file complaints with the program online here: https://fortress.wa.gov/atg/formhandler/ago/MHLTComplaintForm.aspx

Assistant Attorney General Sebastian Miller, investigator Scott Henderson, paralegal Emin Aliiasov and legal assistant Chris Kiefer handled the case. Former Assistant Attorney General Shidon Aflatooni also worked on the case.

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