Detroit Sues Crypto Real Estate Platform Over Safety, Health Violations
The post Detroit Sues Crypto Real Estate Platform Over Safety, Health Violations appeared on BitcoinEthereumNews.com. In brief Detroit has sued Real Token and 165 affiliated LLCs in what it claimed is the largest nuisance abatement suit yet. Tenants across over 400 properties allegedly lived without heat, water, or working showers. The city is seeking repairs, rent escrow, and personal liability from the founders of the crypto platform. Detroit sued crypto real estate startup RealToken LLC and affiliated corporate defendants, in what it says is the largest nuisance abatement lawsuit in its history. Filed Tuesday in Wayne County Circuit Court, the lawsuit names the Florida-based company’s co-founders, Remy and Jean-Marc Jacobson, along with 165 corporate defendants. The suit alleges that Real Token, a blockchain-based real estate investment platform, failed to meet health and safety requirements across 400 properties under its management, leaving tenants in hazardous conditions. “These defendants have profited from our communities while ignoring their most basic legal obligations as landlords and property owners,” Conrad Mallett, corporation counsel for the City of Detroit, said in a statement published by the city’s open data portal. “Our neighborhoods are not investment portfolios, they are homes for Detroit residents,” Mallet said. While Real Token promises yields of up to 16% to investors, tenants allegedly bear the cost through unsafe, non-compliant living conditions. The platform’s tenants are “paying that price, in the form of poorly maintained rental properties” lacking compliance certificates, with some cases resulting in “unsanitary and unsafe living conditions,” a copy of the complaint reviewed by Decrypt reads. Detroit is asking the court to mandate repairs, establish rent escrow accounts, and hold Remy and Jean-Marc personally liable after “refusing to authorize payment for ‘even the most basic repairs’ with their former property maintenance companies.” The complaint further claims that Detroit neighborhoods have been “inundated with dangerous structures that invite squatters and criminal activity,” as a result of…
The post Detroit Sues Crypto Real Estate Platform Over Safety, Health Violations appeared on BitcoinEthereumNews.com.
In brief Detroit has sued Real Token and 165 affiliated LLCs in what it claimed is the largest nuisance abatement suit yet. Tenants across over 400 properties allegedly lived without heat, water, or working showers. The city is seeking repairs, rent escrow, and personal liability from the founders of the crypto platform. Detroit sued crypto real estate startup RealToken LLC and affiliated corporate defendants, in what it says is the largest nuisance abatement lawsuit in its history. Filed Tuesday in Wayne County Circuit Court, the lawsuit names the Florida-based company’s co-founders, Remy and Jean-Marc Jacobson, along with 165 corporate defendants. The suit alleges that Real Token, a blockchain-based real estate investment platform, failed to meet health and safety requirements across 400 properties under its management, leaving tenants in hazardous conditions. “These defendants have profited from our communities while ignoring their most basic legal obligations as landlords and property owners,” Conrad Mallett, corporation counsel for the City of Detroit, said in a statement published by the city’s open data portal. “Our neighborhoods are not investment portfolios, they are homes for Detroit residents,” Mallet said. While Real Token promises yields of up to 16% to investors, tenants allegedly bear the cost through unsafe, non-compliant living conditions. The platform’s tenants are “paying that price, in the form of poorly maintained rental properties” lacking compliance certificates, with some cases resulting in “unsanitary and unsafe living conditions,” a copy of the complaint reviewed by Decrypt reads. Detroit is asking the court to mandate repairs, establish rent escrow accounts, and hold Remy and Jean-Marc personally liable after “refusing to authorize payment for ‘even the most basic repairs’ with their former property maintenance companies.” The complaint further claims that Detroit neighborhoods have been “inundated with dangerous structures that invite squatters and criminal activity,” as a result of…
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