Northwest Justice Project Secures Pivotal Victory for Tenants Statewide
Seattle, WA July 1, 2024 – In a key decision by the Washington Court of Appeals, Division II, the Northwest Justice Project (NJP) has secured a legal victory with far-reaching implications for tenants in Washington. On June 11, 2024, the Court declared void and unenforceable an eviction settlement between landlord Princeton Property Management and tenants Kathleen and Aaron Allen, a mother and daughter. The settlement was found to illegally waive their tenant rights under the updated Residential Landlord-Tenant Act (RLTA).
The ruling not only addressed the specific injustices faced by the Allens but also set a precedent affecting how the vast majority of eviction disputes can be resolved in Washington state.
“Most evictions in Washington never go to court. They are resolved by settlement agreements like this one in which landlords inevitably hold the upper hand,” said NJP attorney John Wolff. “This decision gives landlords notice that settlements that strip away fundamental tenant rights are unenforceable.”
The legal dispute began when Princeton Property Management, Inc. demanded access to inspect the Allens' apartment in Vancouver, Washington. Both mother and daughter were diabetic, used wheelchairs, and faced other serious health conditions. Princeton’s demand came while the mother, Kathleen, was hospitalized and daughter Aaron was recovering from surgery. Despite Aaron's request for time to clean the apartment, Princeton proceeded with the inspection and subsequently issued a three-day notice to vacate based on the apartment's condition. Princeton then had a court date set for an eviction hearing.
Before that date, the Allens thoroughly cleaned their apartment and documented its condition. Subsequently, Princeton and the Allens entered a settlement agreement and avoided the court hearing. However, the agreement included terms that waived the Allens’ tenant rights under the RLTA. This included the right to be allowed to pay back rent and late fees owed to a landlord and not be evicted. The agreement also stated that its slightest breach could result in eviction—even for allegations that had nothing to do with the landlord’s original reason for the eviction action.
“Settlement agreements often compel tenants to relinquish rights. They may comply out of fear or lack of knowledge,” said NJP attorney Scott Crain. “In the Allens’ case, fear of eviction and desperation to maintain their housing voucher—a lifeline for affordable housing—led them to sign the settlement, at the cost of their legal protections.”
Several days after signing the agreement, as Kathleen was again hospitalized and another family member passed away, Aaron missed the agreement’s deadline for paying back rent. Quickly aware of the lapse, she delivered the check to the landlord the next day. Nonetheless, Princeton seized the opportunity to declare the Allens in breach of the agreement and had them evicted. They became homeless.
NJP pursued the case through multiple Superior Court hearings and ultimately took it to the Court of Appeals. Days following oral arguments in the appeal, Kathleen, still homeless, died.
In the Court of Appeals
NJP and the Allens argued that the settlement violated several of the Allens’ core rights, including a recent provision of RLTA, RCW 59.18.230(1)(b), which states that any agreement entered during an eviction is void and unenforceable if it waives any rights of the tenant under state law.
Some of those rights concern the nonpayment of rent—the conduct that the landlord said broke the terms of the settlement. Among these rights are the right: to pay back the money owed within two weeks of receiving a 14-day pay or vacate notice; to mediation; unilaterally reinstate the tenancy by paying all rent plus court costs; and to a repayment plan, with the eviction put on hold pending its completion.
If the Allens had access to any one of those rights under the law, it would have ended the case,” Wolff said.
The Court of Appeals agreed with the Allens and found the settlement agreement void under RCW 59.18.230(1)(b). It sent the case back to the Superior Court.
The Appeal Court decision disagreed with Princeton’s argument that declaring the settlement agreement void would discourage landlords from using such agreements, leading to more court evictions. At the same time, the Court acknowledged that its decision “will likely change how these settlement agreements are drafted.”
“Our argument isn’t against the use of settlements in general, but their use to force renters to waive their rights,” Crain said. “This case recognizes the legislature wants parties to negotiate in good faith in a way that doesn’t negotiate away the rights of tenants.”
About Northwest Justice Project (NJP)
NJP is a non-profit law firm that provides free civil legal assistance and representation to low-income people across Washington State. NJP's mission is to combat injustice, strengthen communities, and protect human dignity. Its work on behalf of low-income families, individuals, and communities addresses fundamental human needs when confronting issues such as domestic violence, threats to housing, income security, education, health care and employment. NJP also hosts and maintains WashingtonLawHelp.org | Helpful information about the law in Washington.