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Lindsey Management Faces Tenants’ Class-action Lawsuit

Posted by tbaker |
Lindsey

Photo By Terrah Baker
The Cliffs apartment complex in Fayetteville owned by Lindsey Management Company, Inc.

 

“In one of numerous instances, a disabled Saline County resident rented from Fountain Lake Apartments, a Lindsey property – to discover unlivable conditions, including roach infestation.”

Complaint Alleges Fraud and Conspiracy

Staff Report

Fayetteville-based Lindsey Management Company, Inc. (Lindsey) is being sued over allegations that it has engaged in fraud and conspiracy. The class-action lawsuit brought by former tenants of Lindsey charges the corporation with deceptive practices and endangering tenants’ health and safety.

The lawsuit was filed last month in Saline County Circuit Court seeking an unspecified amount in damages for alleged violations of the Arkansas Deceptive and Unconscionable Trade Practices Act (ADTPA).

In one of numerous instances, a disabled Saline County resident rented from Fountain Lake Apartments, a Lindsey property – to discover unlivable conditions, including roach infestation.

The 24-page lawsuit also claims that Lindsey, which owns and operates more than 2,500 apartment units located in Arkansas, Oklahoma, Missouri, Nebraska, Mississippi and Alabama, has designed a scheme in which titles to each property are held by a separate legal entity.

Mickey Stevens, the plaintiffs’ attorney, says Lindsey uses an alter ego scheme to circumvent liability. “Lindsey designed its companies as a separate entity to avoid liability. These entities are merely shams or alter egos of Lindsey, and Lindsey is the true owner of the properties.”

Stevens said that ADTPA is in place to protect the rights of everyone, and especially those who are vulnerable and who are reasonably unable to protect his or her interest. “There is a systemic pattern and routine practice of disregard to the health, safety and well-being of residents at Lindsey owned and operated proprieties. Laws are in place to protect those who have been wronged. It is our job to ensure that this protection is defended and to hold those accountable who are at fault,” he said.

The lawsuit lists four prior NWA residents as plaintiffs in the case, while the class the plaintiffs represent is comprised of “All persons who have resided in apartments located in the state of Arkansas and managed by Lindsey in the last five years, and who have been a victim of the deceptive and unconscionable trade practices…”

The lawsuit states that Lindsey and its shareholders, directors and officers have established a scheme in which the title to each property is held by a separate legal entity, leaving Lindsey free of liability and can be used defensibly in lawsuits, which it has. Along with this lawsuit, 83 complaints were collected from the Better Business Bureau in Little Rock since 2010, containing similar complaints as the lawsuit addresses.

Damages sought after in the lawsuit include actual damages in an amount determined at trial, punitive damages, costs and reasonable attorney fees, rescission of the lease agreements and an injunction barring Lindsey from reporting derogatory information to any credit bureaus regarding any plaintiff, along with barring collection actions and providing negative references for any plaintiff.

For more information, contact Mickey Stevens at 501-303-6668.

14 Comments

thebigboboski September 27, 2013 at 11:41 am

I currently live at Fountain Lakes. They decieved me right from the start. I was shown a model apt. It looked really nice so I paid the app. fee and deposit.

The apt. I got was anything but nice They didn’t let me see the apt. until after I had signed lease and paid rent. I needed a place to live right then so I had no choice but to stay.

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Rene' Whitmore October 1, 2013 at 3:27 pm

I was a tenant at the cliffs apartments in Fayetteville. I was a perfect tenant for 4 years. Even though they were supposed to be renting me a handicapped apartment, they were never helpful in fixing things. They also tried to raise my rent by $95 a month. There is no way that place is worth that much! Their move out policy is messed up also. You have to be out by the 28th of the month even though you have paid rent for the whole 30 or 31 days! If you are not out, they will renew your lease at the higher rent rate without you having to sign a thing! I do not think that is fair at all!!!

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Victoria Guevara December 7, 2013 at 8:53 pm

I to have the same problem with black mold, and they sent in nonprofessionals to plaster over the mold, but not before I took pictures of the problem. They do not care about their tenants all they care about is making money. I am a college student and can’t afford to move to a better place right now, yet my lease will be up in January. I have been looking yet afraid they will try to keep my deposit when I do move out. when the apartment was not clean when I moved in.

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toni setser January 9, 2014 at 4:27 pm

we (blind son) rented apt from Lindsey in NWA–after living there several months as responsible tenants we learned he would have to leave to attend The CO school for the Blind. I could only give 22 days notice because that was the day we were told the date he had to be in CO to start school. We were told deposit would be forfeited. 3 months after my son started school he was found dead in his apt in CO of natural causes. I have ALWAYS been bothered that Lindsey Mgmt had complete disregard for our situation so just this week I contacted Wendy, Lindsey employee over Residential Relations. She said ” contracts are not to be broken and I wouldn’t be receiving any money back”. Karen, Jim Lindsey’s asst said she would have him call me but he never did. She had Lindsey employee Ross call me – he said J hired him to take care of things like this; he said I should be “THANKING HIM” “RIGHT NOW ON THE PHONE” that they didn’t make me pay for months that were left on the rest of the contract that we “didn’t fulfill”. Jim Lindsey refuses to acknowledge my calls and the situation. Sure makes me wonder how many others has this has happened to. It makes me sick.

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Vernon Slape January 10, 2014 at 5:54 pm

I read the advertisement on the internet for Oakbrook Apartments, Fort Smith, AR for apartment. It said “handicapped apartments available”. The apartment they showed me had a concrete ramp which was so steep I couldn’t get up it in my wheelchair or power wheelchair without someone pushing me up it into the apartment. Also the only sidewalk to and from the building that did not have a 6″ step was so steep with a cross slope that my power chair would slide off into the grass. I couldn’t use it. The property manager said they would fix it just before we signed the lease. A week later, when asked, she said her boss in Fayetteville, AR (Lindsay Management Inc) said they would not fix the ramp and I could have one installed at my own expense. Could this be false advertising?

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Nick March 3, 2014 at 11:49 am

I worked for lindsey management for almost a year…. I can tell you first hand that I have seen with my two eyes on how they “make ready apt” I’ve seen white spray paint put on mini blinds in fridges and freezers.. I was forced to rent out roach apts when management knew of the situation. Bed bug outbreaks because management didn’t fully treat. And yes models were in perfect condition and yet when you were shown your apt it looked horrible. And if you don’t take it from the date you put on your application then you forfeit your deposit. I have witnessed bad management as well as the corrupt corporate. There is no winning when you call resident relations. They laugh and record your phone calls and let management hear it. Then all of a sudden you have management looking for every reason to evict you.

Ex asst. manager

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Steve March 7, 2014 at 1:59 pm

I agree with you Bob, I like the sunlight taking away the shade from which the shady hide. Shouldn’t it be incumbent on landlords that if you charge exorbitant rents that you give a lot in return. I’m talking free cable with all the premium channels, free internet access (at least 50 Mbs), laundry service, subzero fridge, etc. Im amazed at these people that charge high rents where even the heating/air may work some of the time and the landlord is okay with that.

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Sarah C April 4, 2014 at 10:51 am

These guys are con artists. I moved into their Joplin Complex after my divorce. I got a run down outdated unit. I never complained always paid my rent kept a clean apartment. When I moved out they sent me a bill for trash, carpet cleaning and repainting for $380 which I of course I refuse to pay as I left a spotless apartment. They kept my security deposit also. I called again recently to try and get them to remove the record from my credit. I spoke to an extremely unpleasant woman named Wendy who basically called me a liar. I asked her for supporting documentation and she told me to hire an attorney! Im shocked at the manner in which they conduct business. I would not recommend renting from them.

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