Settlement reached in lawsuit that helps ensure those most struggling to survive in Richmond’s public housing can stay in their homes.

On Friday, October 30, 2026, a settlement was reached in the class action lawsuit brought by Richmond public housing residents. The lawsuit claimed that the Richmond Redevelopment and Housing Authority (RRHA) overcharged rent to some of its lowest-income tenants in violation of federal law. The plaintiffs were represented by the Legal Aid Justice Center, the National Housing Law Project, and Hunton Andrews Kurth LLP.

Public housing residents are required to pay 30% of their income in rent under the US Housing Act. Those with no income or extremely low income must still pay $50 a month—known as “minimum rent”—even if that amount exceeds 30% of their income.

However, the same law guarantees these tenants the right to request an exemption from paying minimum rent if they experience a hardship such as the loss of a job, a death in the family, or possible eviction, among other reasons.    

The lawsuit alleges RRHA violated this law by almost never granting this important exemption. Between 2019 and 2025, RRHA granted a hardship exemption only once, despite hundreds of tenants being on minimum rent and many experiencing serious hardships, including the named plaintiffs in this lawsuit, Ms. Coleman, Ms. James, and Ms. Archie.

The settlement will ensure that RRHA changes its policies to make it much easier to receive this vital exemption. RRHA will also provide some compensation to those who were on minimum rent between February 1, 2020, and March 11, 2026. 

Public housing is meant to be a safe, affordable place for Richmonders with the lowest incomes to live. This settlement moves us closer to that goal by making sure that RRHA residents making little or no income are fairly considered for a break on their rent. It also compensates those who we believe may have been previously overcharged.

While the settlement has been agreed to by both parties, the court must still approve it.