Apartment owners, Darby Development v. United States
The Darby Development Company, Inc. v. United States lawsuit is a landmark case for apartment owners, whose rights and livelihoods were profoundly impacted by the COVID eviction moratorium. Through their perseverance and legal advocacy, they have secured a significant victory and set the stage for a broader reckoning with the limits of government power and the protection of private property rights.
It began as a ripple—a health crisis that soon swelled into a tidal wave, reshaping the lives of millions. By early 2020, COVID had swept across the nation. In response, the federal government enacted unprecedented measures to protect public health, including a series of eviction moratoriums. For apartment owners, these orders would become the source of both anguish and a historic legal battle.
On September 4, 2020, the Centers for Disease Control and Prevention (CDC) issued an order halting residential evictions nationwide. The order applied to nearly all rental properties, preventing landlords from evicting residents for nonpayment of rent if certain conditions were met. The ban was extended several times lasting well into 2021. For apartment owners, this meant months of uncertainty, unpaid rent and mounting frustration.
Among those affected were the plaintiffs in Darby Development Company, Inc. v. United States—a group of rental property owners ranging from small “mom-and-pop” landlords (owners of 1 to 4 units, making up over 95 percent of U.S. landlords) to larger corporate owners. Their stories paint a vivid picture of the lockdown’s impact on the rental housing industry and the ease with which federal agencies were able to assume control of private assets.