Date Published: October 2012
Any legal occupant who is evicted or whose lease is terminated for the purpose of making a property eligible for a federally funded program or project and/or evading a relocation obligation may be eligible for assistance. Where an owner evicts a tenant in order to sell a property as "vacant" to an Agency for a HUD-funded project, HUD usually presumes that the tenant was displaced "for the project," unless the Agency can document that the tenant's move was not attributable to the project. However, if a tenant is evicted for "cause" (a material violation of the lease agreement), then that occupant would not deemed eligible for relocation assistance. For more information on Eviction for Cause, see HUD Handbook 1378.
Note: Relocation and tenant protection can be a difficult subject for many grantees and mistakes can lead to costly findings. It is recommended that grantees contact their regional relocation specialist or HUD field office for guidance.