United States v. Townhomes of Kings Lake HOA, Inc.
Gibsonton, Hillsborough · federal · United States District Court, Middle District of Florida (Tampa Division)
HOA loss · fair-housing
What happened
DOJ sued Townhomes of Kings Lake HOA and Vanguard Management on October 9, 2012, alleging familial-status discrimination by enforcing Declaration § 13.22.2 occupancy caps (3/4/6 occupants by bedroom count) against Gregory Tracey, Kimberley Konash, and their children (2006–2007 conduct) and as a pattern or practice. The association later recorded higher Amended Occupancy Limits (Jan. 16, 2013). On August 15, 2013, the court entered a consent decree locking in the amended limits, requiring notices and document cleanup, creating monetary relief ($45,000 to named family members; $85,000 settlement fund; $15,000 civil penalty), education, and injunctive nondiscrimination terms.
What the court (or agency) held
HOA/manager lost via consent decree. They agreed to keep higher recorded occupancy limits, pay substantial monetary relief to the Tracey/Konash family and a victim fund, pay a civil penalty, and accept injunctive/reporting obligations—resolving FHA familial-status claims without a trial verdict.
Why this matters for members
Recorded occupancy caps that squeeze families can be FHA familial-status problems even when written into a declaration. Raising limits after the fact helps but may not erase damages exposure; management companies can be co-defendants.
Questions for the board
- What occupancy limits are currently recorded, and when were they last amended?
- Have those limits been enforced differently against households with children?
- Are governing documents and websites consistent with the amended limits?
- What fair-housing training have board and manager staff completed?
Questions for a lawyer
- Do the historical Kings Lake caps create continuing FHA risk if still cited in older packets?
- How are consent-decree fund, penalty, and injunctive terms structured for compliance?
- What evidence of enforcement against families matters for HUD/DOJ exposure?
- How should occupancy rules be aligned with local housing codes and the FHA?
Citation
United States v. Townhomes of Kings Lake HOA, Inc., No. 8:12-cv-2298-T-33TGW (M.D. Fla. consent decree entered Aug. 15, 2013) (2013-08-15). United States District Court, Middle District of Florida (Tampa Division). Outcome chip: FHA consent/settlement. Source: https://www.justice.gov/sites/default/files/crt/legacy/2013/08/15/kings_lakesettle.pdf
_General information, not legal advice. Outcomes turn on facts and current law._
General information, not legal advice. Outcomes turn on facts and current law.