Greystar Management Services LLC will pay over $1.4 million to resolve allegations that it violated the Servicemembers Civil Relief Act when it imposed illegal fees on military servicemembers who terminated their leases after receiving military relocation orders.
The Department of Justice alleged that Greystar, the nation’s largest property management company with over 800,000 housing units under management, relied on software that it knew would automatically impose early termination charges on SCRA-protected servicemembers.
“America’s servicemembers devote their lives to defending our nation and must be able to do so without undue burdens,” said U.S. Attorney Bryan Stirling for the District of South Carolina. “The Servicemembers Civil Relief Act protects our military families from unfair hardships such as penalties for terminating a housing lease to fulfill military orders. We will continue to defend and support those who keep our country safe.”
According to the DOJ, Greystar will set aside $1.35 million to pay affected military members and their co-tenants and will pay a $77,370 civil penalty. Greystar will also pay triple damages to the servicemembers who paid the early termination charges.
The company will also make changes to its policies and training, including adopting SCRA-compliant software and forms at all its properties.
The DOJ's enforcement of the SCRA is conducted by the Civil Rights Division’s Housing and Civil Enforcement Section in partnership with U.S. Attorneys’ Offices throughout the country.
“We honor the service and sacrifices of our military by defending their rights under the law,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “We are aggressively enforcing all laws, including the Servicemembers Civil Relief Act, to protect our military servicemembers and veterans.”
Since 2011, the Justice Department has obtained over $483 million in monetary relief for over 148,000 servicemembers through its enforcement of the SCRA.
Servicemembers and their dependents who believe that their rights under the SCRA may have been violated should contact the nearest Armed Forces Legal Assistance Program Office. Office locations can be found here.
Reach Julia LeDoux at Julia@connectingvets.com.