WA mobile park owner refunds tenants $5.5M after AG investigation

“People would have been happier,” she noted, “if they had received a check for the full amount. That way they could do what they wanted with it.”

Faulk wrote that Hurst & Son voluntarily complied with the reimbursement process as part of the Attorney General investigation into more than 150 tenant complaints against the company. Refunds were based mainly on three issues: noncompliant rent increases, excessive or unenforceable fees, and “private utilities” or other utility charges that commenced during the term of a rental agreement.

Hurst & Son provided the dispute resolution program with billing records for each tenant who filed a complaint. Program staff sorted through these records to identify overcharges. Faulk explained the charging formula was then applied to any similar tenants, including those who had not submitted a complaint. 

“We are still in the process of reviewing complaints and negotiating compliance measures,” Faulk wrote. “We continue to review any dispute between a tenant and Hurst & Son regarding the appropriate amount of a refund. Tenants that never submitted a complaint but dispute how much they were reimbursed can file a complaint and we will review.”

Lead organizers within the Hurst & Son-owned Leisure Manor Estates in Aberdeen told Cascade PBS they had not received any reimbursements from the management company. 

“We don’t receive our rent invoice that includes the amount of our water and sewer until maybe two days before the first of the month, which is when it’s due,” wrote Deb Wilson, president of the Leisure Manor Tenants Association. “If the water is not paid, they can evict us and no one knows what the water will be until we get the rent invoice and we have to pay it by the first, it’s ridiculous.”

In response, Faulk said that the legal and factual circumstances at Leisure Manor “did not generally result in financial loss to the tenants as a result of legal violations,” meaning the program did not have a basis to demand refunds for most of the park’s residents.

“If any Leisure Manor tenants had a noncompliant rent increase or were charged the improper fees, then they would be reimbursed,” Faulk said.

Faulk cited the Attorney General’s 2023 rent rollbacks for Leisure Manor, in which Hurst & Son committed to withdrawing rental rate increases on unsigned leases until the next renewal anniversary in the coming summer.

“The primary source of refunds stemming from rent increases was because Hurst & Son unilaterally changed tenants’ ‘lease renewal date’ and then raised rent on this new term date,” Faulk wrote. “At Leisure Manor, Hurst & Son was put on notice of this issue and complied with the law before any illegal rent increases were implemented.”