The only grounds for termination or non-renewal of the lease are material noncompliance or other good cause.1 Section 515 tenants have a right to cure any violation before eviction.2 A tenant may not be evicted when the lease expires unless there has been a lease violation or the tenant is no longer eligible.3 Borrowers may evict a tenant for criminal activity or alcohol abuse by household members in accordance with provisions of 24 C.F.R. §§ 5.858–5.861.4
A borrower who proposes to take an adverse action against a tenant must notify the tenant in writing by certified mail or hand delivery and give the specific reasons for the proposed action.5 The notice must state a specific date by which lease termination will occur; state the basis for the lease termination with specific reference to the provisions of the lease or occupancy rules that have been allegedly violated; explain the conditions under which the borrower may initiate judicial action to redress the lease violation;6 and state that the tenant has an opportunity to correct the violation.
Subsequently, termination may only occur when the incidences related to the termination are documented and there is documentation that the tenant was given notice prior to the initiation of the termination action that their activities would result in occupancy termination.7
Note that a grievance is not available for “lease violations by the tenant that would result in the termination of tenancy and eviction.”8