Kiehm v. Adams
| Decision Date | 30 April 2004 |
| Docket Number | No. 25411.,25411. |
| Citation | 125 P.3d 499 |
| Parties | Susan KIEHM, Plaintiff-Appellee, v. Ian ADAMS, Defendant-Appellant, and Does 1-10, Defendants. |
| Court | Hawaii Supreme Court |
Elizabeth B. Croom, Chief Judge, on the briefs, for Defendant-Appellant.
James Sogi, Associate Judge, on the briefs, for Plaintiff-Appellee.
Defendant-Appellant Ian Adams (Adams) appeals from the judgment and order of the District Court of the Third Circuit, Judge Joseph P. Florendo, Jr., presiding, after a bench trial as follows: (1) the August 21, 2002 Judgment ordering Adams to pay $3,015.75 in damages to Plaintiff-Appellee Susan Kiehm (Kiehm) and (2) the August 29, 2002 Writ of Ejectment ordering the removal of Adams from the single family dwelling unit at 75-261 Pumehana Street, Kailua-Kona, Hawai`i (the Dwelling Unit) owned by Kiehm. We vacate and remand for further proceedings consistent with this opinion.
In early 2000, Kiehm orally rented the Dwelling Unit to Tammy Ayau (Ayau) on a month-to-month basis for $1,000 per month. Ayau agreed to pay for electricity and cable. Kiehm agreed to pay for water.
According to Ayau, she "had to find a roommate because [she] couldn't afford the $1,000, a month." In late 2000, by oral agreement, Adams became "that roommate that [Ayau] had contemplated[.]" Initially, and for some unspecified period of time during their co-occupancy of the residence, Ayau and Adams had a romantic relationship.
Ayau testified that she and Kiehm agreed to a termination of the Kiehm/Ayau rental agreement. Ayau also testified that, in a letter written and delivered to Adams on January 15, 2002, Ayau gave Adams notice of the termination of the Ayau/Adams rental agreement by informing Adams as follows:
Kiehm testified that Ayau moved out "[o]n March 28th" and that the new tenants, who were supposed to move in on April 1, 2002, were scheduled to pay $1,200 per month.
Adams testified, in relevant part, as follows:
Q Have you ever received notice — written notice from Ms. Kiehm that she wants to terminate your month-to-month lease?
A No I haven't.
Q Have you ever gotten anything in writing from Ms. Ayau telling you to move out?
A Um, several times — sometimes twice a week.
Q And what would be the gist of those notes?
A Because me and her weren't getting along and I've come home to ten-page letter and after the first twenty of them, I just started throwing them away. I wouldn't even read them.
Q Did any of those letters ever contain a notice that, uh, she was giving 45 days to terminate a lease?
A No.
[COUNSEL FOR ADAMS]: May the record reflect that I'm handing Mr. Adams a copy of Defendant's Exhibit "D", which has already been admitted into evidence and I'd like to ask you, Mr. Adams, um, if you, before today, have ever seen that letter?
THE WITNESS A No I haven't.
....
A This doesn't look like her letter that she normally writes me because it doesn't have a bunch of swearing words in it like it normally does. This is totally unlike her.
....
Q [S]o, do you believe that you've ever received a copy of this before today?
A No, absolutely not.
Adams also testified, in relevant part, as follows:
Q And, um, when you first moved in, how much was your rental payment?
A $500 per month.
Q And what is your rental payment now?
A $1,000 since [Ayau] moved out.
Q And did you try to make a rental payment in April?
A Yes I did.
Q And who did you try to make that payment to?
A To [Kiehm].
Q And do you recall what date that was?
A That was on the 29th.
....
Q And did she accept the rental payment?
A No she didn't.
Q What did she tell you?
A She told me I had ... one day to get out and I told her I need at least couple weeks and she wouldn't have anything to do with it.
Upon the termination of the Kiehm/Ayau rental agreement, Ayau terminated electric and cable service. Adams refused to leave the premises. After water service was terminated for nonpayment of post-March 31, 2002 service, Kiehm instructed the water supplier not to supply water to the Unit absent a resident's written rental agreement with Kiehm.
After filing a Complaint on April 19, 2002, Kiehm, on May 28, 2002, filed a First Amended Complaint against Adams seeking a writ of possession, actual and punitive damages, and attorney fees and costs.
Adams filed a Counterclaim for damages for unlawful interference with Adams' use of the Unit, unfair or deceptive acts or practices in violation of Hawaii Revised Statutes (HRS) § 480-2, and emotional distress. Adams also sought "$100 plus attorneys fees as a penalty under [HRS] § 521-67 for [Kiehm's] violation of [HRS] § 521-43(f)." In his Counterclaim, Adams alleged that he was without utilities "from April 29 through May 7, 2002 (when utilities were restored in [Adams'] name pursuant to the Temporary Restraining Order Against Unlawful Utility Cut-Off or Diminishment filed on May 6, 2002 n S.P. No. 02-079KN)."
The $3,015.75 amount of the August 21, 2002 Judgment in favor of Kiehm was the total of $2,821.75 damages ($1,000 for each of April and May and $32.86 per day in June) plus $194 for court costs and sheriff's fees and mileage.
On August 21, 2002, the court entered Findings of Fact and Conclusions of Law (FsOF and CsOL). Using bold print to identify the FsOF and CsOL challenged by Adams in this appeal, the FsOF and CsOL state, in relevant part, as follows:
Having duly considered the evidence and legal arguments, the Court makes the following findings of fact:
....
3. [Kiehm] agreed to rent the residence to [Ayau] for $1000 per month on a month to month tenancy approximately two and one-half years ago. This was an oral agreement.
....
5. In approximately November 2000, [Ayau] entered into an agreement with [Adams] to rent part of the residence for $500 per month.
....
7. [Kiehm] and [Ayau's] month to month tenancy was terminated by oral agreement effective March 31, 2002.
8. [Ayau] notified [Adams] that their agreement would end at that time.
9. [Ayau] received cash from [Adams] and deposited the rent into [Kiehm's] bank account.
10. After termination of the tenancy, [Adams] refused to move out.
11. There was no agreement between [Kiehm] and [Adams].
....
1. A sublease is a transfer of part of the leasehold term or premises.
2. There is no privity between landlord and sublessee.
3. [Kiehm] and [Adams] had no agreement.
4. A landlord has no rights against a sublessee, and a sublessee has no rights against a landlord arising out of a landlord/tenant relationship.
5. When the month to month lease terminates, the sublease terminates.
6. [Adams] was not entitled to possession upon termination of the lease between Ayau and [Kiehm].
7. [Adams] is not entitled to damages against [Kiehm] for unfair and deceptive trade practices....
....
9. [Adams] is trespassing on the property owned by [Kiehm].
10. [Kiehm] is entitled to a judgment and a writ of ejectment against [Adams].
11. [Kiehm] is entitled to judgment in her favor on all [Adams'] counterclaims.
12. [Kiehm] is entitled to judgment against [Adams] for damages of $1000 per month from April 1, 2002 through and including June 25, 2002 (with per diem damages at the rate of $32.87 for those days in June).
13. [Kiehm] is entitled to her costs and service fees.
14. [Adams] is not entitled to damages against [Kiehm] for [Kiehm's] failure to disclose a local agent.
15. [Kiehm] is not entitled to punitive damages.
HRS Chapter 521 (1993 and Supp.2003) is Hawai`i's "Residential Landlord-Tenant Code" and it states, in relevant part, as follows:
§ 521-3 Supplementary general principles of law, other laws, applicable. (a)....
(b) Every legal right, remedy, and obligation arising out of a rental agreement not provided for in this chapter shall be regulated and determined under chapter 666 [Landlord and Tenant], and in the case of conflict between any provision of this chapter and a provision of chapter 666, this chapter shall control.
....
§ 521-6 Territorial application. This chapter applies to rights, remedies, and obligations of the parties to any residential rental agreement wherever made of a dwelling unit within this State.
§ 521-8 Definitions. As used in this chapter, unless the context clearly requires otherwise:
....
"Dwelling unit" means a structure, or part of a structure, which is used as a home, residence, or sleeping place by one person or by two or more persons maintaining a common household, to the exclusion of all others.
"Landlord" means the owner, lessor, sublessor, assigns or successors in interest of the dwelling unit or the building of which it is a part and in addition means any agent of the landlord.
....
"Premises" means a dwelling unit, appurtenances thereto, grounds, and facilities held out for the use of tenants generally and any other area or facility whose use is promised to the tenant.
"Rental agreement" means all agreements, written or oral, which establish or modify the terms, conditions, rules, regulations, or any other provisions concerning the use and occupancy of a dwelling unit and premises.
....
"Tenant" means any person who occupies a dwelling unit for dwelling purposes under a rental agreement.
....
§ 521-37 Subleases and assignments. (a) Unless otherwise agreed to in a written rental agreement ..., the tenant may sublet the tenant's dwelling unit or assign the rental agreement to another without the landlord's consent.
....
(c) A written rental agreement may provide that the tenant's right to sublet the tenant's dwelling unit or assign the rental agreement is subject to...
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