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Owners responsible for delinquent sewer fees

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In a ruling that will affect property owners across the state, the Indiana Supreme Court today held property owners are ultimately responsible for the delinquent sewer bills of their tenants.

In Pinnacle Properties Development Group LLC v. City of Jeffersonville, Indiana, No. 10S01-0805-CV-302, the high court ruled a municipality may transfer a tenant's delinquent balance for sewer services to the property owner's account without notice to the owner because the owner is the one who will be held responsible for payment of sewer fees.

Pinnacle Properties Development Group, which owns rental properties in Jeffersonville, brought a suit against the city challenging its transfer of delinquent balances to the property owner. Pinnacle sought a declaratory judgment that Jeffersonville lacked legal authority to transfer delinquent balances. The trial court found the city complied with Indiana statute and local ordinances, and Indiana Code Section 36-9-23 allowed the city to bill Pinnacle.

The high court agreed with the city's argument that statutes and ordinances clearly show property owners are ultimately responsible for payment of the sewer service and that the city bills the tenants for the service, instead of the property owners, as a convenience to the owners.

The only relevant statutory provision in this case is I.C. Section 36-9-23-12.5, which provides for bill forwarding, and the Indiana Court of Appeals found that required a municipality to forward the final bill, but not the account balance, from one property to another, wrote Justice Theodore Boehm. Indiana Code 36-9-23 doesn't require municipalities to collect fees from tenants but from the property owner at the time the fees are incurred.

In some parts of the state, the legislature has prohibited or restricted transfer of delinquent fees or requires notification of the property owner of a tenant's delinquency, but Jeffersonville isn't included in those statutes and is governed by the general statute authorizing municipalities to provide sewer services, wrote the justice.

Pinnacle elects to have Jeffersonville bill tenants directly instead of the company. The Supreme Court acknowledged Jeffersonville's practice may inconvenience Pinnacle because by the time the company learns a tenant is delinquent, it could be too late to track them down and collect from them under the lease, wrote Justice Boehm.

But, Pinnacle could opt-out of the city billing program and bill tenants directly, examine the city's collection records each month to determine if tenants are current, include an average sewer charge in the rent amount, or collect additional money from its tenants to cover any delinquent fees, wrote the justice.

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  1. Someone off their meds? C'mon John, it is called the politics of Empire. Get with the program, will ya? How can we build one world under secularist ideals without breaking a few eggs? Of course, once it is fully built, is the American public who will feel the deadly grip of the velvet glove. One cannot lay down with dogs without getting fleas. The cup of wrath is nearly full, John Smith, nearly full. Oops, there I go, almost sounding as alarmist as Smith. Guess he and I both need to listen to this again: https://www.youtube.com/watch?v=CRnQ65J02XA

  2. Charles Rice was one of the greatest of the so-called great generation in America. I was privileged to count him among my mentors. He stood firm for Christ and Christ's Church in the Spirit of Thomas More, always quick to be a good servant of the King, but always God's first. I had Rice come speak to 700 in Fort Wayne as Obama took office. Rice was concerned that this rise of aggressive secularism and militant Islam were dual threats to Christendom,er, please forgive, I meant to say "Western Civilization". RIP Charlie. You are safe at home.

  3. It's a big fat black mark against the US that they radicalized a lot of these Afghan jihadis in the 80s to fight the soviets and then when they predictably got around to biting the hand that fed them, the US had to invade their homelands, install a bunch of corrupt drug kingpins and kleptocrats, take these guys and torture the hell out of them. Why for example did the US have to sodomize them? Dubya said "they hate us for our freedoms!" Here, try some of that freedom whether you like it or not!!! Now they got even more reasons to hate us-- lets just keep bombing the crap out of their populations, installing more puppet regimes, arming one faction against another, etc etc etc.... the US is becoming a monster. No wonder they hate us. Here's my modest recommendation. How about we follow "Just War" theory in the future. St Augustine had it right. How about we treat these obvious prisoners of war according to the Geneva convention instead of torturing them in sadistic and perverted ways.

  4. As usual, John is "spot-on." The subtle but poignant points he makes are numerous and warrant reflection by mediators and users. Oh but were it so simple.

  5. ACLU. Way to step up against the police state. I see a lot of things from the ACLU I don't like but this one is a gold star in its column.... instead of fighting it the authorities should apologize and back off.

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