Cocky Landlord Rents Illegal Property—Judge Simpson EXPOSES the Entire Mess

[00:00:00]Onyx Real Estate Solutions versus Reese Palmer.

[00:00:04]>> For the record, Neil Chanis appear on behalf of the plaintiff.

[00:00:09]>> No, he's right here.

[00:00:10]>> How you doing, sir?

[00:00:11]>> I'm doing well. How are you doing?

[00:00:13]What's your name?

[00:00:14]>> My name is Rich.

[00:00:15]>> All right.

[00:00:17]Hang on one moment.

[00:00:19]>> I tried to get an attorney, sir, but it's such a short notice they wouldn't appoint anyone. So, I talked to a serious worker. They paid my rent for this month. He for honest realy. They took out my check. I pay my rent every month and I'm just I'm still mesmerized by what's going on, you know, and I thought she'd be here today to interpret what's really going on cuz I pay my rent and >> Well, they're terminating your teny. You had a month-to-month lease, right?

[00:00:52]>> Correct.

[00:00:53]>> When I first started, >> that is correct, your honor.

[00:00:56]>> We could also give Mr. Palmer to the end of the month as well.

[00:01:00]>> So they're they're terminating your teny and basically what that means, Mr. Palmer, is they're asking you to move.

[00:01:06]>> Okay.

[00:01:07]>> Okay. So let me ask you this. You think you can get yourself move by the end of the month?

[00:01:12]>> I don't know, sir. But I know if I get a little time, I can get another place.

[00:01:18]I'm working on it now by seeing this work. I just got section 8 and they move to add.

[00:01:24]>> Okay. So you just got section 8. I just got it.

[00:01:28]>> Okay. And so >> years, >> right? Okay. So, and you're you're with >> CH.

[00:01:35]>> Okay. And so, do do you ask them how fast you can get yourself moved?

[00:01:42]>> Well, they're working on it. They're filling out the paperwork and uh it's up to Anna Housing. But if you can give me a little time, more time than the end of the month, I'll pay it up to the end of the month. But if I have to pay next month, I can pay that. But I do need a little time.

[00:01:58]>> Okay. So, let let me ask you this. When did you get your section 8?

[00:02:03]>> Uh about a week ago.

[00:02:05]>> Okay. So, you got it in about a week ago. So, if I'm on the 11th, you got it about the fourth or fifth somewhere around there.

[00:02:12]>> At the beginning of the month, >> we went and picked the packet up and uh she's filling it all out now. And uh after [clears throat] that we got to turn it back in. But they going to move quickly. I know that.

[00:02:26]>> Yeah. They're moving quickly to try to get you housed.

[00:02:29]>> Yeah.

[00:02:29]>> Okay. So here's >> also I got a health care provider that takes care of. So I I definitely need a place to stay.

[00:02:38]>> Right.

[00:02:39]>> This exchange highlights an important distinction that many viewers miss. Mr. Palmer isn't disputing that the teny has been terminated. Instead, he's asking the court for additional time because his housing situation is actively changing through section 8. Legally, that's a very different argument. Judge Simpson immediately shifts away from debating whether the landlord has the right to end a month-to-month teny and focuses instead on whether the transition can be managed fairly. Notice how the judge carefully establishes a timeline by asking when the housing voucher was approved and whether the paperwork has already begun. Those questions aren't casual conversation.

[00:03:18]They're designed to determine whether the request for more time is supported by concrete progress rather than hopeful promises. The reference to a healthcare provider also gives the judge context about the practical consequences of an immediate move without changing the legal outcome itself. Did you notice that the judge never challenges the landlord's legal right to possession?

[00:03:38]Instead, he's evaluating whether equity allows for a more orderly transition while still respecting the landlord's rights. That's a common balancing act in landlord tenant courtally do anything.

[00:03:51]>> Okay to take care.

[00:03:53]>> Okay. So here's what I'm going to do and it may be of a plaintiff's objection but I'm going to grant I'm going to find that there's not an issue for me to try and grant them a judgment for possession. But what I'm going to do instead of the end of the month, I'm going to give you basically 30 days from the time you got your section 8.

[00:04:12]>> So you got your section 8 a week ago.

[00:04:14]So, I'll make that the 5th of April. And so, what I'll do is nothing can happen till May 5th.

[00:04:24]>> That's fine, your honor. Sounds good.

[00:04:26]>> Okay. [snorts] You got that, Mr. Palmer?

[00:04:30]>> Okay. So, you make sure to tell your They're going to file a judgment with us. So, you got to make sure to tell your worker at CH that and also the people you're dealing with at at um Ann Arbor Housing that this is the date you have to be out.

[00:04:50]Okay, you got that?

[00:04:53]>> Okay, real good. Okay, Mr. Palmer, good luck to you.

[00:04:57]>> Good luck.

[00:04:58]>> Take care. Thank you, your honor.

[00:05:00]>> Real Estate Solutions versus Daryl Daniel.

[00:05:03]>> For the record, Neil Chanis appearing on behalf of the plaintiff.

[00:05:07]I'm doing well. Your name?

[00:05:10]>> All right. This is also a termination of the >> I have a year. I just signed.

[00:05:16]>> You just signed >> uh two months.

[00:05:21]Okay. Then I get a letter illegally.

[00:05:24]>> Pardon?

[00:05:25]>> I signed a paid my security deposit sign 12 month lease. Then after a month, I get a letter there illegally.

[00:05:33]I'm like, wait, I'm here.

[00:05:36]five weeks.

[00:05:37]>> Oh, that's right. This is >> So, yeah, if you look at the notice >> Yeah, I see that.

[00:05:44]>> Yeah.

[00:05:45]>> So, okay. Yeah, we have a situation where the city has uh obviously we are in the property because it's in violation of the city ordinance uh essentially voids the lease >> and so >> I don't so who but it was your client that entered into the lease >> that is correct and after that they got vi they received notice that they were in violation >> uh specifically of section 122-1 uh 441 of the zoning ordinance uh regarding an illegal uh rooming house.

[00:06:26]We actually have a hearing scheduled for April 17th at 9:00 regarding this matter. Um and uh they they've actually uh requested that we go through this process uh and that's why they adjourn the original hearing date all this.

[00:06:45]>> Yeah. No, I get all of that. The the problem's going to be that then you're asking Mr. Your client signs a lease with Mr. Daniels. I'm going to just guess go out there on a limb. I don't think Mr. Daniels drafted that lease.

[00:06:59]>> Right.

[00:06:59]>> Correct.

[00:07:00]>> And that Mr. Daniels then paid monies to your client.

[00:07:08]>> Yes. But he has not >> That is that is that is correct. When he moved Yes. the security deposit, first month's rent. I I believe uh maybe the portal's been turned off, but I think the last two months have not been paid most likely because of the notice that he received.

[00:07:24]>> Say not, but I still I Okay, hold.

[00:07:29]Hey, hold on.

[00:07:33]Okay, so let me ask you this, Mr. Daniels. if cuz you can't stay there for your lease or your year lease. It it wouldn't look like you're able to cuz you're going to be in violation at some point. Well, the tenencies in violation of this city ordinance. Is your client willing to give him back all his money he paid?

[00:07:57]>> Uh if that's what is required to uh allow him to move out, I can certainly make sure that happens.

[00:08:06]>> Okay. Oh, >> now that that may just require I think January the security deposit and the February rent possibly. I don't have that in front of me.

[00:08:15]>> Well, did you pay February or No.

[00:08:18]>> Yes.

[00:08:18]>> You paid February. So, you paid January and February >> and security.

[00:08:22]>> I came in January. I came in 28 January and February March.

[00:08:30]>> So, how many months rent have you paid?

[00:08:32]Two. Okay. So it looks like security deposited two months rent.

[00:08:37]>> That is that that could be I can double check that your honor.

[00:08:42]>> So [clears throat] So let me ask you this, Mr. Daniels. If you get that money back, can you can you move yourself then? Would you be in a position to get yourself moved?

[00:08:53]It's going to be a process, but at the same time, uh, these people knowing that they didn't have proper paperwork and things in order to do what they did. So, um, uh, negligently, uh, dishonestly took my money, you know, [clears throat] knowing what you had facing, you know, and then come to me a month later talking about I'm there illegally.

[00:09:20]>> Okay. So, Mr. Daniel, Mr. Daniel, >> and do what?

[00:09:29]>> He's paid he's paid a total, it looks to me I I I think I've been I think this might be accurate, of $1,150.

[00:09:36]That includes the security deposit.

[00:09:39]>> So, he's paid $1,150 including the security. That sound about right to you?

[00:09:44]>> Yes, sir.

[00:09:45]>> Okay. So if you get the your 1150 back, how long would it take to move yourself?

[00:09:52]You think?

[00:09:53]>> Judge, can I interrupt her? I'm Mr. Daniel, social work at Housing Bureau for seniors.

[00:09:58]>> Yes, sir. Yes.

[00:09:59]>> So, we just moved Daryl in and House into home put a lot of really nice things in his room. We're not going to be able to pay for a move into a new place. Um, so we're requesting that they also help us with the moving costs because there's a lot of nice stuff that's going to not be able to be moved because we just paid to get it moved in there.

[00:10:22]>> This is the turning point of the hearing because the dispute expands beyond simple possession and begins to resemble a damages and settlement case. Earlier, Judge Simpson focused on whether Mr. Daniels could relocate if his rent and security deposit were refunded. Now, a third party housing representative introduces an additional financial consequence. The cost of moving furniture that had only recently been installed that changes the negotiation dynamic. While moving expenses aren't automatically recoverable in every landlord tenant dispute, the request reinforces the argument that the tenant relied on a lease that may have been impossible to perform because of the property's alleged zoning violation.

[00:11:03]Notice how Judge Simpson doesn't immediately decide who is legally responsible for those expenses. Instead, he encourages documentation and negotiation. That's strategic judicial case management. Rather than making findings on incomplete information, he creates an opportunity for both sides to quantify their positions before returning to court. Would you agree to reimburse moving costs if your own lease became unusable because of a problem you didn't create? It's exactly that practical question the judge is steering the parties toward before making any broader legal conclusions.

[00:11:43]>> Okay, here's what I'm going to do, folks.

[00:11:48]I'm going to set this for a basically a final settlement conference for April 22nd two. Is that right? Yes. April 22nd, 2025 at 9:00 a.m. Everybody needs to be in person and then we'll just hash it out and figure out what needs to happen and try to get there. All right. [snorts] Uh let before before we go, your honor, uh Madden, if you can contact me with what you uh estimate or actually get a quote for moving what needs to be moved and the cost involved, maybe we can resolve this before the 22nd.

[00:12:26]Absolutely. Thank you.

[00:12:28]>> You you can probably find my information on his paperwork.

[00:12:32]>> All right. Thank you, Mr. G. You take care.

[00:12:35]>> Thank you, your honor.

[00:12:36]>> Court does call the case of here on Vista versus Chenelli Brown.

[00:12:44]>> What's your name?

[00:12:47]>> Is it Chanel? Is that how I should even though it's hyphened?

[00:12:55]Well, if it were all together, I would have said Chanel, but with the hyphen, I [snorts] they're just going to call me out in public like that. That's all right. [laughter] Okay.

[00:13:09]>> All right. How much is owing on this?

[00:13:12]>> The outstanding balance is $4,28044.

[00:13:17]>> 4. I'm sorry.

[00:13:18]>> 4,28044.

[00:13:22]All right. And Miss Brown, how are you going to get that? I'm >> not um >> Okay.

[00:13:30]>> I've been working with LOL since I'm in.

[00:13:33]>> Okay.

[00:13:34]>> And they are confused. They just sit here. They sent the check. I talked to her last Wednesday. They sent the check for the 200 we had talked about before.

[00:13:45]>> Okay.

[00:13:46]>> And they're also going to be paying my portion.

[00:13:50]Now, when she was talking to me, she also see her and told me that I have not paid my washer and dryer bill, which I had no idea that that's what I was [clears throat] supposed to pay. I knew I was in charge of my my um ET and my electric, but all of this since we had new managers, I feel like everything is just nobody's communicating.

[00:14:17]>> Okay. So, you don't think you owe this money?

[00:14:20]>> No, I know. I paid my rent. I paid >> Okay. So, who do you Okay, I got you.

[00:14:24]>> I paid my portion.

[00:14:25]>> So, who do you think should have paid this?

[00:14:28]>> Either Alpha House is supposed to do >> Alpha House. That's been paying my rent.

[00:14:35]>> Okay.

[00:14:37]Do you see anything?

[00:14:38]>> No. We were at a court um on the 28th and M. Brown indicated that that a full balance would be paid in full at that time the balance was $2,8574.

[00:14:57]Now we have added as well.

[00:15:03]No one has had any contact from Alpha House. I don't have anything right from Alpha House. might pay. Um, >> so but one of the things she's indicating is Alpha House was paying her rent in its entirety.

[00:15:16]>> I have three more months left.

[00:15:18]>> Pardon?

[00:15:19]>> Three months left, but my lease will be up and they've been paying it since September.

[00:15:25]>> Do you see anything that says that that's who's has new management taken over?

[00:15:32]>> I mean, I think that there might be a new property manager. um there or maybe just a new handle that second person >> but I I've been in contact with everyone there regional director and the notes specifically from them I think they've been in contact and indicates well >> I guess my question would be this who was oh boy who [laughter] who was paying who was paying her rent before or do we know?

[00:16:10]>> So, the notes that I had say that Alpha House was supposed to issue a check for 3,675 plus 1,8 which would have been for April and that was as of April 2nd. Nothing received.

[00:16:24]>> Okay.

[00:16:26]So, I think we're saying the same thing because I think you're saying Alpha House is supposed to pay it. You've got notes indicating Alpha House is supposed to do it. So, we got to figure out why Alpha House hasn't.

[00:16:38]>> I was, like I said, I just talked to her last Wednesday in my house at my kitchen table and she said the check was >> Did she say when it was issued?

[00:16:47]>> She said it was they should have had it.

[00:16:50]I guess >> I don't know.

[00:16:53]>> Let's do this. Let me put it out a week.

[00:16:57]18 April 18th, 2025. What time? 3 p.m.

[00:17:01]>> 3 p.m.

[00:17:03]>> And let's see. I Hang on. I know what you're going to do. You're going to try to yell at me about something else. I'll just Hold on. Just hold on. [laughter] Yes, you are. I can tell. You started out with the yelling. Whenever it starts, sir. I know I'm about to get yelled at, so I'm going to just preempt that.

[00:17:21]>> Okay. So, I'm going to set it to see if we can get this payment in. You've got to work, right? And that's why the 3pm is a problem for you.

[00:17:31]I know. I see that because nobody wears that bright a color on purpose. So, [laughter] I'm sorry. Well, if you're working on a highway, I get it. No, I'm kidding. Um, so can from your work, can you appear via Zoom?

[00:17:45]>> Yes. Yes.

[00:17:46]>> Okay. So, I'm going to do this for you.

[00:17:48]Okay. Because your name got hyphenated and I can't pronounce. So, we're going to give you a form to fill out to let you do that. Okay. Will that work for you or you still want to yell at me?

[00:18:01]>> Okay. Okay. If you don't want to yell, I'm good.

[00:18:08]>> She's dealing with the alcohol.

[00:18:11]>> Can you Okay. Fantastic. See, this all works out. That's beautiful. Courts case of here on Mr. Apartments versus Naja Washington.

[00:18:25]>> Hello, Miss Washington. How are you?

[00:18:27]>> I'm okay. How are you? [snorts] >> I I'm okay, I think. I don't know. All right. How much is your outstanding balance of $1,137?

[00:18:38][clears throat] Miss Washington has agreed to enter into this forgiveness plan, COD, where um she paid her April rent on time. She is um going to pay her May rent and June rent and then [snorts] um [clears throat] comply with the terms of her lease. she has applied for rental assistance. Um I understand she had to give to me that she was denied. Um and so at the end of those three months which would end at the end of June if there she needs to comply with the terms if she complies with all these terms then they will wait up to one month.

[00:19:15]>> Okay.

[00:19:17]Is that all correct?

[00:19:18]>> Yes.

[00:19:19]>> All [laughter] right.

[00:19:21]Okay. So that's going to be in the form of a cood.

[00:19:24]>> Yes.

[00:19:24]>> All right. Is it all prepared or is it not?

[00:19:29]>> Okay.

[00:19:33]>> Okay. So, I'll adjourn it out to the 18th, 2025 at 3 >> 3 p.m. Okay.

[00:19:41]>> Thank you.

[00:19:42]>> Thank you. See where what's your name go? That's how you not don't yell at a judge. See? Yeah. See, see, see that's how I'm sensitive.

[00:19:57]>> Here on Vista versus Deanna Rogers.

[00:20:02]>> Hello.

[00:20:04]What's your name?

[00:20:05]>> Deanna Rogers.

[00:20:07]>> Miss Rogers was here early. So, all right. How much is owing on this?

[00:20:13]>> 4,810.

[00:20:17]Okay. How are you intending on getting this done?

[00:20:22]>> I could um get the pass through paid by the first.

[00:20:29]>> So you can get by the 1st of May.

[00:20:34]>> Yes.

[00:20:35]>> So your pass due is is almost $5,000.

[00:20:40]You're going to pay that before the 1st of May. No, pass through.

[00:20:46]>> Say again.

[00:20:48]>> Pass through 30,000.

[00:20:52]>> Okay, let me let me ask you this. Okay.

[00:20:56]Rather than working off of if it's past due or whatever, how much do you think you can pay by the first?

[00:21:06]>> 3,000.

[00:21:08]>> So, you can pay 3,000 by the first.

[00:21:12]And then how much is your your monthly rents around? 1,800.

[00:21:20]>> So if you paid if you got that 3,000 paid, you'd still owe about $3,600. Then how are you going to get that paid?

[00:21:30]>> I don't see what you're saying.

[00:21:33]>> So if you pay 3,000 right now, you owe about 4,800.

[00:21:39]Okay.

[00:21:41]So, if you pay $3,000, you're still going to owe $1,800.

[00:21:45]>> Two two weeks after that, after the first pay of the bank, >> okay? But after the first because you're going to get your next month's rent clicked in. So, you'd owe 1,800.

[00:22:02]You'd still have 1,800 to pay. And then I have your monthly rent at about$1837 or 39.

[00:22:09]So then if you put that together, you're going to owe $3,600.

[00:22:16]>> I'm currently trying to get help also.

[00:22:24]>> Okay.

[00:22:25]>> I'm in touch with >> Okay. Have you talked to the folks at Hawk?

[00:22:31]>> Yeah, I'm just waiting to find them.

[00:22:36]>> Okay. So, you had an appointment with them?

[00:22:38]Yes.

[00:22:41]>> When when was your appointment?

[00:22:46]>> Oh, you had an appointment just on the 2nd of April, right?

[00:22:52]And they haven't let you know what they're doing yet.

[00:22:55]>> I I got to turn in documentation.

[00:22:59]>> Okay. Have you done that?

[00:23:01]>> I just turned it in.

[00:23:03]>> Okay.

[00:23:04]>> When did you turn it in?

[00:23:06]>> Yesterday.

[00:23:07]Okay. All right. So, they're not going to have an answer. All right. So, here's >> Yeah. Sorry. Clarification on whether that being is expected from that.

[00:23:21]>> That's probably a good point.

[00:23:24]>> Rogers.

[00:23:25]I did talk to her regarding possible forgiveness plan, but she indicated to me that she's not paying her monthly rent at all.

[00:23:36]only one that could be paid by me and SOS.

[00:23:41]>> Okay. Okay. So, what what Miss Gazeri is asking is this. When you told me you would have the 3,000 by the first, was that going to be your money or was that going to be Hawk's money?

[00:23:56]>> Um, my money was >> Okay. So, how much of it's your money?

[00:24:06]Have you talked to the folks at legal services, ma'am?

[00:24:10]>> Um, legal services? No.

[00:24:16]>> Okay.

[00:24:18]Um, I want you to give legal services a call because I'm not I I'm a little bit worried that you're not understanding some of the things about what might happen here. Okay.

[00:24:34]Um, and so that somebody can try to organize this a little bit for you.

[00:24:39]Okay?

[00:24:41]Because if nothing gets paid on this, we're going to be at about $6,600 that's owing. And that may be too big a mountain to climb if we don't get try to get something done. Okay.

[00:24:58]>> So, Ann, >> I'm going to give you a phone number. I need you to call and talk to the folks at legal services.

[00:25:07]Okay? So, if you can give her legal services number and then I'm going to adjourn this out one week to the 18th, 2025 at 300 p.m. Okay? So, I'm going to adjourn you out one week 3:00. I'm going to give you the number to legal services. I want you to give them a call. Okay?

[00:25:29]All right. Thank you. And make sure also if if Hog has an update for us then let us know. Okay.

[00:25:37]>> Thank you. Evergreen Apartments versus Levenia Kendricks Hannes.

[00:25:44]>> Where is she? There. Oh, there she is.

[00:25:52]>> Hello.

[00:25:52]>> Hello. How are you?

[00:25:54]>> I'm okay.

[00:25:55]>> All right. Where are we on her case? You remember the outstanding balance is $2,998.

[00:26:01]I understand that has been approved for the full amount.

[00:26:06]>> Okay.

[00:26:09]>> It's going to be two weeks before we get >> to the 25th.

[00:26:15]>> All right. That work for you?

[00:26:17]>> That works.

[00:26:18]>> Okay. [laughter] April 25th, 2025.

[00:26:23]>> 12 p.m.

[00:26:23]>> 12 p.m.

[00:26:24]>> Okay. Thank you.

[00:26:25]>> Okay. Thank you. You have a great weekend.

[00:26:27]>> You, too.

[00:26:28]>> All right.

[00:26:29]>> Across these hearings, Judge Simpson demonstrates that landlord tenant court is rarely just about unpaid rent. Each case turns on whether the facts support immediate enforcement or whether additional time serves justice without unfairly prejudicing either side. In Mr. Palmer's case, the court recognized the landlord's legal right to terminate a month-to-month teny while delaying enforcement long enough to accommodate an active section 8 placement. In Mr. Daniels's matter, the court refused to rush into a ruling where allegations about an illegal rental property and potential reimbursement issues required further investigation and meaningful settlement discussions. Other tenants were given opportunities to coordinate with rental assistance programs, clarify who was actually responsible for payment or seek legal services before falling into an even deeper financial hole.

[00:27:18]Those decisions show a consistent judicial approach. Verify the facts first. encourage realistic solutions and reserve stronger remedies until the record is complete. Legally, possession cases often move quickly, but fairness still depends on credible evidence, accurate financial information, and parties acting in good faith. For tenants, this hearing is a reminder that documentation, communication with assistance agencies, and early legal advice can significantly affect the outcome. For landlords, it reinforces that clear records and cooperative problem solving often resolve disputes more efficiently than immediate enforcement alone. Do you think Judge Simpson struck the right balance between protecting property rights and giving struggling tenants a fair opportunity to recover? If you found this case as shocking as we did, make sure to hit that like button, share your thoughts in the comments, and don't forget to subscribe for more jaw-dropping courtroom breakdowns.