Susanville Rental Owners Settle $1 Million Sexual Harassment Lawsuit

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Susanville rental property owners Joel Lynn Nolen, Shirlee Nolen, and Nolen Properties, LLC have entered into a $1 million federal consent order resolving a civil lawsuit alleging a pattern of severe sexual harassment and retaliation against female tenants in Lassen County.

The consent order, entered in the U.S. District Court for the Eastern District of California, resolves claims brought by the U.S. Department of Justice under the Fair Housing Act.

Summary of Allegations

The federal lawsuit, initially filed in February 2023, accused Joel Nolen of engaging in a decade-long pattern of sexual harassment involving female tenants and prospective tenants across approximately 80 rental units in and around Susanville. According to the complaint, Nolen’s misconduct included:

  • Demanding sexual favors in exchange for housing benefits, late-fee waivers, or delaying eviction proceedings.
  • Subjecting tenants to unwelcome sexual touching, groping, and unsolicited explicit comments.
  • Entering female tenants’ homes without permission.
  • Taking adverse housing actions and retaliating against individuals who rejected his advances.

The lawsuit named Shirlee Nolen and Nolen Properties, LLC as co-defendants under vicarious liability for the properties co-owned with Joel Nolen.

Terms of the Consent Order

Under the terms approved by the court, the defendants agreed to financial penalties and strict property management restrictions:

Financial Relief: The defendants must pay $960,000 in damages to 19 affected tenants and prospective tenants, alongside a $40,000 civil penalty to the United States government. This comes in addition to a prior $100,000 settlement reached with separate property co-owners).

  • Management Bar: Joel and Shirlee Nolen are permanently barred from directly managing any residential rental properties.
  • Independent Management Requirement: The Nolens must hire an independent property management company to oversee all residential units they retain interest in.
  • No-Contact Directives: The consent order strictly prohibits the Nolens from directly or indirectly contacting any of the aggrieved victims or their families.
  • Policy Mandates: Mandatory Fair Housing Act compliance training and anti-discrimination policies must be implemented across all associated properties.

Department of Justice representatives emphasized that the settlement enforces federal fair housing protections to ensure tenants are safe from harassment in their homes. The consent order resolved the government’s claims without a formal trial finding of liability.