Case: United States v. TK Properties

4:09-cv-04153 | U.S. District Court for the District of South Dakota

Filed Date: Oct. 15, 2009

Closed Date: 2014

Clearinghouse coding complete

Case Summary

On October 15, 2009, the United States filed a lawsuit in the United States District Court for the District of South Dakota, under the Fair Housing Act of 1988, 42 U.S.C. §§3601-3631, against the owner of a 48 unit apartment complex and its property managers. The U.S. sought injunctive, declaratory, and monetary relief and civil penalties, alleging that the managers frequently used the n-word and other slurs to refer to black tenants, threatened tenants with eviction without cause, filed false …

On October 15, 2009, the United States filed a lawsuit in the United States District Court for the District of South Dakota, under the Fair Housing Act of 1988, 42 U.S.C. §§3601-3631, against the owner of a 48 unit apartment complex and its property managers. The U.S. sought injunctive, declaratory, and monetary relief and civil penalties, alleging that the managers frequently used the n-word and other slurs to refer to black tenants, threatened tenants with eviction without cause, filed false police reports, turned off heat, threatened assault, and retaliated when complainants took complaints to the owners and to the Housing Commission. The complaint alleged that the owners knew of the managers' behavior and did nothing to stop it.

On July 8, 2010, the District Court (Chief Judge Karen Schreier) entered a default judgment of liability against the property managers, and on August 17, 2010, the remaining parties reached a mediated agreement. The Court approved a three-year consent decree on December 21, 2010. The decree contained general prohibitions against race discrimination, prohibited the owners from ever employing the managers again, and required:

  • adoption of a non-discrimination policy, to be posted at every property in which defendants had any financial interest

  • posting of the Equal Housing Opportunity logo in all advertising and at all properties

  • training all agents and employees in the requirements of the Fair Housing Act,

  • recordkeeping and reporting.

The Defendants also agreed to pay $26,000 in compensatory damages to the complainants and $4,000 in civil penalties to the United States.

On March 9, 2011, the Court ordered the defaulting property managers each to pay $15,000 in civil penalties to the United States Treasury, and entered injunctive relief prohibiting them for three years from operating, consulting, managing, staffing, participating in, working in paid or unpaid positions, or otherwise having any involvement in the management, rental, or maintenance of any dwelling, as defined by the Fair Housing Act, 42 U.S.C. §802(b). The three-year period has ended and the case is now closed.

Summary Authors

Asma Husain (2/6/2016)

Richa Bijlani (11/19/2019)

People

For PACER's information on parties and their attorneys, see: https://www.courtlistener.com/docket/12815854/parties/united-states-v-tk-properties/


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Documents in the Clearinghouse

Document

4:09-cv-04153

Docket

March 9, 2011

March 9, 2011

Docket
1

4:09-cv-04153

Complaint

Oct. 15, 2009

Oct. 15, 2009

Complaint
29

4:09-cv-04153

Partial Consent Decree

Dec. 21, 2010

Dec. 21, 2010

Settlement Agreement
31

4:09-cv-04153

Order Awarding Civil Penalties and Injunctive Relief Against Defendants Anderson and Wagner

March 9, 2011

March 9, 2011

Order/Opinion

Docket

See docket on RECAP: https://www.courtlistener.com/docket/12815854/united-states-v-tk-properties/

Last updated April 15, 2024, 3:06 a.m.

ECF Number Description Date Link Date / Link

Remark: Per discussion with Max Lapertosa, we DO NOT need to mail copies of any documents to Thomas Perez, Steven Rosenbaum, or Timothy J. Moran. (CMS)

Oct. 15, 2009

Oct. 15, 2009

PACER
1

COMPLAINT, filed by United States of America.(CMS) (Entered: 10/16/2009)

Oct. 15, 2009

Oct. 15, 2009

Clearinghouse
2

CIVIL COVER SHEET (CMS) (Entered: 10/16/2009)

Oct. 15, 2009

Oct. 15, 2009

PACER
3

Summons Issued as to Ann Wagner; handed two true copies to runner. (CMS) (Entered: 10/16/2009)

Oct. 15, 2009

Oct. 15, 2009

PACER
4

Summons Issued as to Corey Anderson; handed two true copies to runner. (CMS) (Entered: 10/16/2009)

Oct. 15, 2009

Oct. 15, 2009

PACER
5

Summons Issued as to Scott Terveen; handed two true copies to runner. (CMS) (Entered: 10/16/2009)

Oct. 15, 2009

Oct. 15, 2009

PACER
6

Summons Issued as to TK Properties, L.L.C.; handed two true copies to runner. (CMS) (Entered: 10/16/2009)

Oct. 15, 2009

Oct. 15, 2009

PACER
7

WAIVER OF SERVICE Returned Executed by United States of America. TK Properties, L.L.C. waiver sent on 10/20/2009, answer due 12/21/2009; Scott Terveen waiver sent on 10/20/2009, answer due 12/21/2009. (Lapertosa, Max) (Entered: 11/09/2009)

Nov. 9, 2009

Nov. 9, 2009

PACER
8

Separate ANSWER to 1 Complaint by TK Properties, L.L.C., Scott Terveen.(Fritz, Daniel) (Entered: 11/09/2009)

Nov. 9, 2009

Nov. 9, 2009

PACER
9

AFFIDAVIT of Service for Complaint/Summons served on Anderson, Corey on 11/18/2009, filed by United States of America., SUMMONS Returned Executed by United States of America. Corey Anderson served on 11/18/2009, answer due 12/9/2009. (Lapertosa, Max) (Entered: 12/29/2009)

Dec. 29, 2009

Dec. 29, 2009

PACER
10

AFFIDAVIT of Service for Complaint/Summons served on Wagner, Ann on 11/18/2009, filed by United States of America., SUMMONS Returned Executed by United States of America. Ann Wagner served on 11/18/2009, answer due 12/9/2009. (Lapertosa, Max) (Entered: 12/29/2009)

Dec. 29, 2009

Dec. 29, 2009

PACER
11

NOTICE of Appearance by Neta Borshansky on behalf of United States of America (Borshansky, Neta) (Entered: 01/26/2010)

Jan. 26, 2010

Jan. 26, 2010

PACER
12

FORM 52 REPORT of Parties Planning Meeting. (Fritz, Daniel) (Entered: 02/08/2010)

Feb. 8, 2010

Feb. 8, 2010

PACER
13

SCHEDULING ORDER: Discovery due by 9/24/2010. Motions due by 10/12/2010. Signed by Chief Judge Karen E. Schreier on 2/9/2010. (KC) (Entered: 02/09/2010)

Feb. 9, 2010

Feb. 9, 2010

PACER
14

Motion/ STIPULATION for Extension of Deadline by TK Properties, L.L.C., Scott Terveen. (Fritz, Daniel) Modified on 5/14/2010 to change to motion(SLW). (Entered: 05/14/2010)

May 14, 2010

May 14, 2010

PACER
15

ORDER granting 14 Motion to Extend Deadlines. Signed by Chief Judge Karen E. Schreier on 5/17/2010. (KC) (Entered: 05/17/2010)

May 17, 2010

May 17, 2010

PACER
16

APPLICATION for Entry of Default Judgment Against Defendants Anderson and Wagner by Plaintiff United States of America. (Attachments: # 1 Exhibit 1. Declaration of Neta Borshansky, # 2 Exhibit 2. 2010.01.07 Letter, # 3 Exhibit 3. 2010.03.02 Letter, # 4 Exhibit 4. 2010.03.19 Letter, # 5 Exhibit 5. 2010.04.21 Letter, # 6 Exhibit 6. Certificates of Military Status, # 7 Text of Proposed Order Proposed Entry of Default re Defendants Anderson and Wagner)(Borshansky, Neta) (Entered: 07/08/2010)

July 8, 2010

July 8, 2010

PACER
17

Clerk's ENTRY OF DEFAULT as to Corey Anderson, Ann Wagner (jh) (Entered: 07/09/2010)

July 9, 2010

July 9, 2010

PACER
18

CERTIFICATE of Service for Application for Entry of Default Judgment (Dkt. No. 16) by United States of America. (Borshansky, Neta) (Entered: 07/12/2010)

July 12, 2010

July 12, 2010

PACER
19

APPLICATION for Default Judgment Against Defendants Corey Anderson and Ann Wagner by Plaintiff United States of America. (Borshansky, Neta) (Entered: 07/13/2010)

July 13, 2010

July 13, 2010

PACER

Mediation set for 8/17/2010 09:30 AM in Sioux Falls Grand Jury Room before U.S.Magistrate Judge John E. Simko. (CG)

July 13, 2010

July 13, 2010

PACER
20

MEDIATION Agreement signed by United States of America and Scott Terveen. (Borshansky, Neta) Modified on 7/14/2010 (DJP). (Entered: 07/13/2010)

July 13, 2010

July 13, 2010

PACER
21

DEFAULT JUDGMENT in favor of United States of America against Ann Wagner, Corey Anderson on the issue of LIABILITY for violations of the Fair Housing Act. Signed by Chief Judge Karen E. Schreier on 7/21/10. (SLW) (Entered: 07/21/2010)

July 21, 2010

July 21, 2010

PACER
22

Mail Returned as Undeliverable (Doc. 21) addressed to Ann Wagner at 209 North Dogwood Place, Sioux Falls, SD 57106 (DJP) (Entered: 07/30/2010)

July 29, 2010

July 29, 2010

PACER
23

Mediation held on 8/17/2010 before U.S.Magistrate Judge John E. Simko (parties successfully resolved their dispute). (Court Reporter FTR Ct#3) (CG) Oral minutes; sealed attachment (per chambers) added on 8/18/2010 (SLW). (Entered: 08/18/2010)

Aug. 17, 2010

Aug. 17, 2010

PACER
24

First MOTION to Extend Deadlines Motion to Amend the February 9, 2010 Scheduling Order by United States of America. (Attachments: # 1 Proposed Order)(Borshansky, Neta) (Entered: 10/05/2010)

Oct. 5, 2010

Oct. 5, 2010

PACER
25

ORDER granting 24 Motion to Extend Deadlines. Motions due by 11/12/2010. Signed by Chief Judge Karen E. Schreier on 10/06/2010. (KC) (Entered: 10/06/2010)

Oct. 6, 2010

Oct. 6, 2010

PACER
26

Joint MOTION to Extend Deadlines by United States of America. (Attachments: # 1 Text of Proposed Order)(Borshansky, Neta) (Entered: 11/10/2010)

Nov. 10, 2010

Nov. 10, 2010

PACER
27

ORDER granting 26 Motion to Extend Deadlines. Motions due by 1/11/2011. Signed by Chief Judge Karen E. Schreier on 11/10/2010. (KC) (Entered: 11/10/2010)

Nov. 10, 2010

Nov. 10, 2010

PACER
28

Joint MOTION Entry of Consent Order Between the United States and Defendants TK Properties, L.L.C. and Scott Terveen by United States of America. (Attachments: # 1 Text of Proposed Order)(Borshansky, Neta) (Entered: 12/20/2010)

Dec. 20, 2010

Dec. 20, 2010

PACER
29

CONSENT ORDER BETWEEN THE UNITED STATES AND DEFENDANTS TK PROPERTIES, L.L.C and Scott Terveen. Signed by Chief Judge Karen E. Schreier on 12/21/10. (DJP) (Entered: 12/21/2010)

Dec. 21, 2010

Dec. 21, 2010

Clearinghouse
30

MOTION for Order Awarding Civil Penalties and Injunctive Relief Against Defendants Anderson and Wagner by United States of America. (Attachments: # 1 Exhibit US v. Silva (Final Judgment), # 2 Exhibit US v. Sturdevant (Memorandum and Order), # 3 Exhibit US v. Veal (Order), # 4 Exhibit US v. Koch (Memorandum and Order), # 5 Exhibit US v. Wingo (Consent Decree), # 6 Exhibit US v. Mills (Consent Decree), # 7 Text of Proposed Order Order Awarding Civil Penalties and Injunctive Relief Against Defendants Anderson and Wagner)(Borshansky, Neta) (Entered: 01/11/2011)

Jan. 11, 2011

Jan. 11, 2011

PACER
31

ORDER granting 30 Motion for civil penalties and injunctive relief. Signed by Chief Judge Karen E. Schreier on 3/9/2011. (KC) (Entered: 03/09/2011)

March 9, 2011

March 9, 2011

PACER

Case Details

State / Territory: South Dakota

Case Type(s):

Fair Housing/Lending/Insurance

Special Collection(s):

Multi-LexSum (in sample)

Key Dates

Filing Date: Oct. 15, 2009

Closing Date: 2014

Case Ongoing: No

Plaintiffs

Plaintiff Description:

U.S., on behalf of African-American tenant complainants

Plaintiff Type(s):

U.S. Dept of Justice plaintiff

Attorney Organizations:

U.S. Dept. of Justice Civil Rights Division

Public Interest Lawyer: Yes

Filed Pro Se: No

Class Action Sought: No

Class Action Outcome: Not sought

Defendants

TK Properties, (Sioux Falls), Private Entity/Person

Defendant Type(s):

Multi-family housing provider

Case Details

Causes of Action:

Fair Housing Act/Fair Housing Amendments Act (FHAA), 42 U.S.C. §§ 3601 et seq.

Available Documents:

Trial Court Docket

Complaint (any)

Monetary Relief

Injunctive (or Injunctive-like) Relief

Outcome

Prevailing Party: Plaintiff

Nature of Relief:

Injunction / Injunctive-like Settlement

Damages

Source of Relief:

Settlement

Litigation

Form of Settlement:

Court Approved Settlement or Consent Decree

Content of Injunction:

Discrimination Prohibition

Develop anti-discrimination policy

Comply with advertising/recruiting requirements

Other requirements regarding hiring, promotion, retention

Provide antidiscrimination training

Reporting

Recordkeeping

Monitoring

Training

Amount Defendant Pays: 60,000

Order Duration: 2011 - 2014

Issues

General/Misc.:

Housing

Record-keeping

Discrimination Area:

Housing Sales/Rental

Discrimination Basis:

Race discrimination

Affected Race(s):

Black