§ 6253. Lot rent increase abatement; civil action
(a) If the parties are unable to resolve the disputed proposed lot rent increase pursuant to the process provided in section 6252 of this title, an action for abatement of some or all of the proposed lot rent increase based on a claim that the increase is clearly excessive may be initiated by a majority of the affected mobile home park leaseholders by filing a complaint in the Superior Court in the county in which the mobile home park is located within 30 days after the effective date of the proposed lot rent increase.
(b) Upon filing the complaint, the leaseholders shall pay the lot rent, including the proposed lot rent increase, to the park owner. The park owner shall pay the disputed portion of the proposed lot rent increase into court pending an order by the court.
(c) For the purposes of this section, a clearly excessive lot rent increase is an increase that is unreasonable based upon the park owner's total reasonable or documented expenses, including consideration of debt service and a reasonable return to the mobile home park owner on investment with consideration being given to comparable investments.
(d) The court may grant a protective order for financial records to any party to this action.
(e) If the court finds that the proposed lot rent increase is clearly excessive, the court may order abatement of the proposed lot rent increase in full or in part.
(f) A lot rent increase shall be exempt from this section if it is an increase:
(1) that resulted from a completed sale of a mobile home park; and
(2) that was a condition of a bona fide purchase and sales agreement; and
(3) for which notice was given at least six months before the effective date of lot rent increase.
(g) The Commissioner may provide for legal representation for mobile home park leaseholders who pursue an action under this section pursuant to rules adopted by the Commissioner. (Added 1995, No. 33, § 2, eff. June 1, 1995; amended 1997, No. 103 (Adj. Sess.), § 5, eff. April 23, 1998; 2007, No. 176 (Adj. Sess.), § 70.)
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