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Landlords and tenants each earned a victory and a defeat last week in efforts to provide greater protections to renters.

Tenant advocates won a resounding decision from Judge Henry Breithaupt, who issued a ruling in Multnomah County Circuit Court upholding a Portland ordinance that requires landlords to pay relocation costs to tenants who are issued no-cause evictions or who experience steep rent increases.

The City Council had unanimously passed the ordinance in February. Landlords then challenged it, arguing the rules interfered with their contract rights.

Breithaupt stated in his ruling the Legislature has allowed cities to regulate rents in indirect ways.

鈥淚f the Legislature had intended to proscribe ordinances that had the indirect effect of controlling rents it could have done so,鈥� he wrote.

Oral arguments in the case, Owen et al v. City of Portland, took place in April. Breithaupt held off on issuing his ruling while the Legislature considered bills that could have allowed local municipalities to enact their own rent control ordinances.

Breithaupt’s ruling was issued Friday, the same day the Legislature adjourned. The decision is a victory for Commissioner Chloe Eudaly, who ushered the relocation ordinance through the City Council.

John DiLorenzo, an attorney at Davis Wright Tremaine and a lobbyist for landlord groups, said the plaintiffs may appeal Breithaupt’s decision. The emergency ordinance will expire Oct. 6 unless extended by the City Council.

鈥淲e need to get a read from the City Council as to what they intend to do,鈥� DiLorenzo said.

The council is likely to extend the ordinance, said Jamey Duhamel, Eudaly’s policy director.

鈥淭he council is definitely looking to utilize the only tenant protections we have in place because people are still in crisis,鈥� she said.

The ordinance requires a landlord to pay a tenant relocation assistance of $2,900 to $4,500, depending upon the size of apartment being vacated.

Landlords at the state level were able to hold off new rent control legislation or any interference to property owners’ ability to issue no-cause eviction. House Bill 2004 stalled in the Senate.

鈥淲e truly feel that the housing advocates are choosing a course that will only exacerbate the housing crisis,鈥� DiLorenzo said. 鈥淭hey say they know better, but they have no experience managing buildings.鈥�

Tenant advocates don’t understand the housing market, DiLorenzo said.

鈥淲e have a group that has no experience signing the front of checks, only the backs,鈥� he said.

Duhamel said DiLorenzo’s comments reflect the landlord lobby’s discomfort with tenants gaining protections.

鈥淭he landlord market and the rental market has been unregulated for decades, so messing with their ability to gouge tenants makes them uncomfortable,鈥� she said. 鈥淚 understand that.鈥�

Duhamel noted Eudaly owned a local bookstore for 22 years.

鈥淪he certainly understands what it means to make a profit and pay employees,鈥� Duhamel said.