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Allied Realty Corp. of Bethesda, Md. uses lead based paint

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The U.S. Environmental Protection Agency has cited Allied Realty Corp. of Bethesda, Md., for violating a federal law requiring home sellers and landlords to disclose information on lead-based paint to prospective purchasers and tenants. According to EPA, Allied Realty failed to disclose information on lead-based paint to tenants in 16 rental properties in Washington, D.C. and its Maryland suburbs.


Under the Residential Lead-Based Paint Hazard Reduction Act of 1992, sellers and landlords of residential housing built before 1978 (when the federal government banned the sale of lead-based house paint) are required to notify purchasers and tenants about the presence of known lead- based paint or disclose their lack of knowledge as to the presence thereof. The law also requires landlords to provide a lead-based paint information pamphlet to prospective tenants, provide a standard warning statement in the lease on the dangers of lead-based paint and include disclosure and acknowledgment language in sales contracts and leases.


EPA's administrative complaint cites 82 violations of the regulations implementing the lead-based paint disclosure rule, involving 19 lease agreements for 16 rental properties signed between November 2001 and May 2004. Among the cited violations are failure to disclose known lead-based paint to prospective tenants, failure to provide available reports regarding lead-based paint and failure to provide lead-warning statements in leases.


The Residential Lead-Based Paint Hazard Reduction Act provides for a maximum penalty of up to $11,000 per violation. EPA will propose a specific penalty after giving the company an opportunity to provide relevant information. The company has the right to a hearing to contest the alleged violations and proposed penalty.

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