By law, a landlord is required to maintain and repair his / her rental property, in order to protect himself / herself from being held liable for tenant injuries.

Ques. Can a landlord be held liable if a tenant or a visitor suffers injury on his / her rental property?
Ans. Yes, a landlord can be held responsible for an injury on rental premises, if the landlord or his / her property manager have been negligent in maintaining the property, which laxity has resulted in their tenant or a visitor to the property hurting or injuring themselves. However, the following must be proven if a landlord is to be held liable:

1. The landlord is responsible for maintenance of the rental premises, especially the area where the accident occurred and caused the injury.
2. The landlord did not carry out the repairs or fixed the problem, even though the procedure was not difficult or unreasonably expensive.
3. The accident was foreseeable, with the serious injury being the probable outcome of not carrying out identified repairs or fixing the problem.
4. Sheer negligence on part of the landlord, including failure to fulfil his / her responsibilities resulted in the tenant injuring himself / herself.
5. The tenant has been genuinely and grievously hurt.

For example, the broken front door step that should, but has not been fixed results in the tenant falling and twisting / spraining / breaking his / her ankle. If the tenant can prove the following, then it is the landlord who will be held liable for the injury:

1. Part of a common area, it is the landlord’s responsibility to repair the broken steps.
2. As well, it has to be proven the broken steps were not a recent occurrence, but the landlord has failed to take reasonable measures to maintain the steps for days, or weeks, or months.
3. A minor inexpensive job, repairing the steps could have been easily carried out.
4. As, falling on broken steps is foreseeable and highly likely, the probable outcome of broken steps is serious injury.
5. A tenant must prove that the fall and resultant injury are due to falling on the broken steps.
6. The tenant is genuinely hurt, such as, breaking a bone or tearing a muscle.

In such cases, a tenant is allowed to file a personal injury lawsuit for medical bills, lost earnings, pain and other physical suffering, permanent physical disability and disfigurement, and emotional distress. Damage to personal property that results from faulty maintenance or unsafe conditions can also be claimed, when a landlord fails to carry out serious repairs.

Ques. Is there any way for landlords to minimize financial losses related to repairs and maintenance?
Ans. Many problems can be avoided by maintaining rental property in excellent condition. For example:

1. It is useful for landlords to use written checklists for inspecting premises and fixing problems before a new tenant moves in.
2. Landlords should encourage tenants to report immediately safety or security concerns, such as, plumbing, heating, broken doors or steps, whether inside the unit, or in the common area i.e. hallways and parking garages.
3. A written log of all tenant complaints and repair requests, including details, as to how and when the problems were fixed should be kept by landlords.
4. All urgent repairs should be carried out, as soon as possible, and all safety issues should be taken care of within 24-hours. Tenants should be kept informed, as to when and how, the repairs will be carried out.
5. Tenants should be provided with a twice yearly checklist to report over-looked potential safety hazards or maintenance problems. The same checklist should be used by the landlord to personally inspect all rental units once a year.

As well, clearly set out responsibilities for repair and maintenance in leases and rental agreements.

Ques. Will insurance help protect a rental property business?
Ans. A well-constructed insurance policy will serve to protect rental properties from losses caused by natural / unnatural causes, including fire, storms, burglary, and vandalism. Typically, earthquake and flood insurance are separate and not included in property insurance policies.

A comprehensive general liability (CGL) policy provides liability insurance, covering injuries or losses suffered by others as a result of defective conditions on the property. Equally important, liability insurance covers the cost (mostly legal bills) of defending personal injury lawsuits

Tips For Choosing Insurance

1. Purchase enough coverage to protect the value of the property and assets.
2. Be sure the policy covers not only physical injury but also libel, slander, discrimination, unlawful and retaliatory eviction, and invasion of privacy suffered by tenants and guests.
3. Carry liability insurance on all vehicles used for business purposes, including the property manager’s car or truck if used on the job.

Typically, landlords are permitted to charge tenants for any cleaning or repairs that are necessary to restore the rental unit to pre-tenancy conditions. However, a tenant’s security deposit cannot be used to cover the costs of ordinary wear and tear that may occur during a tenant’s occupancy. Following are some examples of wear and tear versus damage or filthy rental premises:

Ordinary Wear & Tear That Is A Landlord’s Responsibility

1. Sun faded curtains.
2. Shower or bath water stained linoleum.
3. Nicked or minor marked wall paint.
4. Wall dent, result of being constantly bumped by a door handle.
5. Spotted or moderately dirty carpet.
6. Tack or nail holed walls.
7. A rug worn thin due to constant use.
8. A refrigerator door’s worn gaskets.
9. Faded wall paint.
10. Ingrained dirt soiled hardwood floors that have lost their finish and been worn down to bare wood.
11. Warped cabinet doors that don’t or won’t close.
12. Stained porcelain fixtures without their protective coating.
13. Moderately dirty mini-blinds.
14. De-silvering (spotted) bathroom mirror.
15. Clothes dryer thermostat that has given out and now delivers cold instead of hot air.
16. Mineral deposit clogged toilet jets that flush inadequately, as a result.

Tenant Caused Damage Or Filthy Mess

1. Curtains or carpets with cigarette burns.
2. Broken bathroom tiles.
3. Prominently marked or hole-pitted walls.
4. Hanging doors i.e. off their hinges.
5. Ripped or pet urine stained carpet.
6. Picture holes or gouged walls requiring extensive patching, including re-painting.
7. Stained rugs.
8. Broken refrigerator shelves.
9. Water damaged walls.
10. Water stained wooden floors and windowsills.
11. Icky sticky cabinets and interiors.
12. Grime-coated bathtub and toilet.
13. Missing mini-blinds.
14. Lipstick and make-up encrusted mirrors.
15. Non-functional dryers.
16. Clogged toilets that do not flush properly due to a thrown in diaper or tampon.

The above gives a pretty comprehensive picture to both landlord and tenant, as to what can and cannot be claimed as cleaning or repair costs from security deposits. It is up to both to ensure that they keep their part of the bargain.

However, to avoid expensive litigation, landlords should screen prospective tenants thoroughly, weeding out undesirable elements with past evictions or criminal pasts. Visit www.e-renter.com for tenant screening and background check services.

Ques. Are security deposits refundable or can they be retained for cleaning or damage repair costs for rental properties?

Ans. Security deposits are refundable amounts, as long as a tenant carries out his / her responsibilities that have been set out in their lease agreement. A landlord is not legally allowed to keep security deposit amounts, even if the lease calls it by some other name i.e. pre-paid rent.

Ques. Are landlords required to hold security deposit amounts in a separate bank account apart from their other assets?

Ans. Not really, landlords are not required to keep security deposit amounts in separate accounts. However, if the state law imposes such a restriction, any landlord who fails to comply by keeping security deposit amounts separately will be held liable for paying damages to his / her tenants.

Ques. Are landlords required to pay interest, as well, on security deposit refunds?

Ans. Most state statutes require landlords to pay interest on security deposits, despite the fact it may not have been stipulated in the lease terms. If, state laws state interest has to be paid on security deposit amounts, then landlords must comply or else be held guilty. Some may try to get around this statute by calling security deposit amounts ‘prepaid rent’. Yet, certain state laws affirm, even pre-paid rent earns interest.

After, Chicago City passed a local landlord-tenant ordinance requiring interest to be paid on security deposit amounts, some unscrupulous landlords converted security deposits to pre-paid rent for the last month of a rental agreement. This compelled City Council to amend the ordinance, stipulating interest has also to be paid on pre-paid rent.

Ques. What conditions require a landlord to refund security deposit amounts?

Ans. A landlord owes a tenant at least a partial refund, as long as the last month’s rent has been paid in full, and he / she has not incurred any repair or cleaning costs beyond normal wear and tear.

Ques. What do most leases say on the subject of security deposits?

Ans. Pre-printed standard lease forms will typically contain a paragraph explaining that the security deposit amount is meant to assure tenant compliance with all the lease terms. As well, it sets forth conditions under which a landlord will return a tenant’s security deposit amount. Most leases will allow a landlord to keep all or part of it, in case a tenant moves out owing rent, or causes property damage beyond normal wear and tear. It may also be kept for paying for the cleaning costs of rental premises, if a tenant moves out leaving a mess behind.

Ques. What exactly is a security deposit?

Ans. It is money, usually a month or two’s rent, a tenant deposits with the landlord on moving in. It is meant to protect a landlord, in the event a tenant damages the property or fails to pay rent. While, a landlord may ask for any amount, certain local laws restrict the deposit to the equivalent of a couple of month’s rent.

Ques. What can a tenant do, if a landlord refuses to refund the deposit or refunds only a portion of it?

Ans. The best thing is for the tenant to first try and negotiate with the landlord; perhaps with the help of a mediator, failing which, the tenant can take the landlord to the small claims court.

However, to avoid expensive litigation, landlords should screen prospective tenants thoroughly, weeding out undesirable elements with past evictions or criminal pasts. Visit www.e-renter.com for tenant screening and background check services.

Landlords must remember changing locks or cutting-off utilities to force a tenant to vacate their rental property can lead to various penalties being slapped on them.

No matter how frustrating the outrageous behaviour of an unruly tenant is misdemeanours that would test the patience of a saint, let alone that of a sorely tempted landlord. However, bypassing regular legal proceedings and taking direct and immediate action to protect one’s property is not the best solution.

For example, if despite numerous promises, a tenant fails to pay rent, it is possible it may cross the mind of a landlord to change the locks and throw his / her personal belongings out on the street. Or, in case the landlord is the person responsible for paying utility bills, he / she may simply not pay the bills, resulting in a utility shut-off; all in the hope the resultant lack of water, gas, or electricity will lead to the property being vacated.

Regardless, it is not in a landlord’s best interests to take matters into their own hands thinking their behaviour is excused by a tenant’s deplorable conduct. No matter, the tenant has not paid rent, has left the property damaged or in a garbage heap mess, perhaps indulged in verbal abuses, or acted scandalously, none of it will prove to be valid defence for you. It may well land you on the wrong end of a lawsuit for trespass, assault, battery, slander or libel, intentional infliction of emotional distress, and wrongful eviction. You can be certain, the defence for this lawsuit will cost a pretty penny, far more, than if you were to evict an unwanted tenant through legal court procedures.

If you are one of those landlords tempted to take the law into your own hands, in order to force or scare a troublesome tenant off your property, pay heed, just don’t do it! Taking legal shortcuts, such as, threats, intimidation, utility shut-offs, or attempts to physically remove a tenant are illegal and could prove to be dangerous. Even if, the eviction process often entails considerable expense and delay, it is the only legal way to get rid of an undesirable tenant.

Almost, every state forbids self-help evictions, as well as, imposing penalties for breaking the law. A locked-out tenant can sue for actual money losses i.e. the cost of temporary housing, the value of food spoiled in the refrigerator when the electricity was shut-off, or the cost of an electric heater when the gas was shut off. As well, they can also sue for penalties, such as several months rent. Certain states will even allow the tenant to collect and continue to remain on the premises; others only entitle tenants to monetary compensation.

The best advice for landlords is not to run the risk of serious legal entanglements. Avoid self-help evictions as you might invite false claims, with the tenant claiming lost possessions when they were removed from his / her rented accommodation. Far, far better to use a neutral law enforcement officer to enforce a judge’s eviction order.

However, landlords can avoid litigation issues by screening prospective tenants and employees, or by conducting background checks on them. Visit www.e-renter.com for tenant screening and background check services.

Landlords, while renting out their house or apartment to tenants enter into rental or legal agreements, leaving them open to face the possibility of potential legal issues and disputes arising out of such arrangements. In most cases, sooner or later the need for assistance from a competent landlord-tenant lawyer arises, and a good lawyer can be a true asset for landlords seeking to protect their legal rights.

You may well ask, what is the need for a lawyer? Well, a landlord may need help on anything relating to rental issues, right from help in reviewing or negotiating the terms of a lease or rental agreement. As well, if a landlord is facing the prospect of evicting a tenant, or filing an unlawful detainer suit, or has been accused of committing a fair housing violation, engaging an experienced landlord-tenant lawyer to work for you, can only help achieve success in your mission.

There e are many ways an experienced Landlord-Tenant Lawyer can help a beleaguered Landlord. If, a landlord is involved in a legal dispute with a tenant, or is concerned about his / her legal rights and obligations any time during a landlord-tenant association, the best thing is for him / her to speak with a competent lawyer, who has extensive experience in landlord-tenant law. He / she will evaluate the case according to current laws, ensue your legal rights are thoroughly and completely assessed, as well as, protected. Whether, one has to go to court for an eviction, or simply needs to ask how to properly word a water-tight rental agreement, a lawyer can lawyer can always explain the situation, including address your concerns.

In case, a lawsuit becomes necessary, whether you are a plaintiff or a defendant, a knowledgeable landlord-tenant or real estate lawyer can act on your behalf. Only he / she can research, review and understand legal documents, interview witnesses, collect records, confer with expert consultants, plan a legal strategy, and negotiate with tenants, tenant associations, insurers, and the opposing counsel to strengthen your position and obtain the best possible results.

While, it is always best to avoid expensive litigation, situations do arise with unsavoury tenants, who may cause extensive damage to your property or indulge in illegal or criminal activities. Rather than, be intimidated by their refusal to move out, a landlord who has with his / her rental property at stake, has no option but to get the law to work for him / her. It becomes vital to engage a lawyer specialised in and with experience in handling such kind of cases.

Eviction Process Overview

Before slapping a tenant with an eviction lawsuit, landlords and property managers must bear in mind, they can only do so after the tenancy has been terminated. Termination involves a written notice, specific in content and form that must be given to the tenant. If, the tenant does not do as requested i.e. either move or pay the rent or stop sub-letting or find a new home for the pet, then and then only, can a landlord file for eviction.

Most states have a set of laws entailing detailed requirements to end a tenancy. Different types of termination notices are needed for different situations, and each state has its own procedures regarding how termination notices and eviction papers must be written and served.

Termination Notices
Though, terminology may differ slightly from state to state, basically three types of termination notices are used by landlords to terminate unwanted tenancies:

• Pay Rent or Quit Notices are typically served when a tenant has not paid his / her rent. A tenant is given anywhere from 3 to 5-days to pay the rent or move (quit).
• Cure or Quit Notices are typically served when a tenant violates a lease term or condition, such as, a no-sub-letting or no-pets clause or a promise to refrain from making excessive noise. Usually, a set amount of time is given to the tenant to correct, or cure the violation, failing which he / she must move or face the possibility of an eviction lawsuit.
• Unconditional Quit Notices are the severest of the three. They order the tenant to vacate the premises without giving any chance to pay rent or correct a lease or rental agreement violation. However, in most states unconditional quit notices are allowed only when the tenant:
  • Repeatedly violates a significant lease or rental agreement clause,
  • Is habitually late in paying rent,
  • Seriously damages the premises, or
  • Engages in serious illegal activity on the premises e.g. drug dealing.

  However, in some states, landlords are permitted to use Unconditional Quit Notices for misdemeanours that would require Pay or Quit Notices or Cure or Quit Notices in other, more tenant-friendly states. Landlords may extend a second chance if they so wish, but the law of these strict states does not require them to do so.

As well, landlords can use 30-Day or 60-Day Notices to Vacate to end month-to-month tenancies, if a tenant errs. Cities with rent control laws, however, go beyond state laws, and require landlords to give legally recognised reasons for evictions i.e. just cause.

If, following receipt of notice, a tenant still does not leave or desist from violating a lease or rental agreement term, the landlord can serve him / her with a summons and complaint for eviction.

Rationalising the Rules
While, landlords may chafe at following the rigid details of the rules, most states insist on strict compliance. Typically, an eviction case is a fast legal procedure, over and done with, in just a few weeks. All that is required of a landlord is unwavering adherence to the rules. As well, since it involves the loss of a home for the tenant, legislators have been careful to provide rules to ensure a tenant gets adequate notice and an opportunity to respond.

Tenant Defences
If, a tenant decides to fight back, it could be weeks, even months before your property is vacated. Mistakes can be pointed out in the notice or the eviction complaint or improper service of notices, in an attempt to delay or dismiss the case. Therefore, landlords must comply with strict adherence to the rules, including ensuring habitability of the rental premises, since a tenant may use that point to shift attention away from his / her wrongdoing, diminishing a landlord’s chances for winning the lawsuit.

Tenant Removal
If, a landlord wins the eviction lawsuit, a judgment for possession of the property will be delivered, as well as, for unpaid rent. But, landlords are not allowed to physically throw a tenant or his / her personal belongings out, on the sidewalk.

Normally, a landlord must give the court judgment to a local law enforcement officer (sheriff or marshal), along with a fee, part of the lawsuit costs paid by the tenant to the landlord. The sheriff or marshal, then issues a notice to the tenant that the officer will be back, within a specified number of days to physically remove the tenant and personal possessions, if he / she has not gone by then.

Ques. What steps can a landlord take if a tenant refuses to leave even after his / her lease has been terminated?

Ans. Try reasoning with the tenant, if that fails a landlord can go in for third party mediation, failing which he / she can take the tenant to court. It is important to remember, a landlord cannot evict a tenant on his / her own, it only lies within a court’s jurisdiction to do so.

Ques. How can a lease be terminated after its expiry?

Ans. It all depends on the kind of lease you have. An oral month-to-month tenancy lease can be ended, simply by serving a written notice on the tenant and giving a 30-day notice period to vacate, if rent is paid on a monthly basis. In the event, of weekly rental payments, a landlord must give 7-days notice to vacate. Most states require notices to be delivered in person, although they can be sent by mail, as well.

In case of written leases specifying a set duration or term, a lease automatically expires on the last day of the term. However, some cities require a 30-day written notice to the tenant before the end of a lease term, as without notice, a tenant remains unaware, whether the landlord wishes to renew the lease or terminate it. It is a good idea for landlords to discuss lease expiries with tenants, well before a lease term is up.

A tenant’s lease can also be terminated for a good cause, such as, non-payment of rent, damaging the premises, or violating the rules and regulations mentioned in the lease. Common violations are disturbing the peace of the neighbourhood by creating excessive noise, keeping pets despite a No Pets clause in the lease, keeping co-tenants not listed in the lease. Again, a notice must be issued to the tenant that he / she has so many days in which to correct the problem, failing which, eviction proceedings will take place.

Ques. Why all the emphasis on written notices?

Ans. The law imposes specific statutory obligations on landlords as to the method to be followed for terminating leases, and if a landlord does not comply with a written notice when required or if it is not properly worded or served to the tenant, the landlord forgoes the right to terminate the tenancy. Before proceeding to litigate, a landlord must insure all deficiencies have been corrected in the written notice, as else it may be too late, once the matter has gone to court.

Ques. What is the time duration of the eviction process?

Ans. After expiry of a notice period, a landlord is allowed to go ahead and file an unlawful detainer lawsuit, which is assigned for trial as a summary or quick proceeding by the court. Assuming the notice to vacate and summons to court have been properly serviced, the court renders judgement after a default proceeding or trial, which may be scheduled two weeks after filing of the suit. Certain states allow a judge to order immediate eviction at the end of the trial.

Usually, the court gives the tenant one to four weeks to move out. If a tenant refuses to leave even then, a landlord can hire the sheriff or marshal to carry out a forcible eviction, all of which could take several weeks. Further, a tenant filing a motion for extra time or objecting to the ruling of the court, could lead to further delays.

On the whole, the eviction process can take anywhere from five weeks to three months, assuming there are no delays.

Ques. Supposing a tenant does not show up in court, what happens then?

Ans. In the event a tenant does not respond properly or show up in court, the judge issues a default judgement in favour of the landlord. It is not in a tenant’s interest to fail to appear in court.

Ques. What kind of judgment does a court give for eviction cases?

Ans. A court ruling in favour of the landlord means, it may ask the tenant to simply vacate the premises, or else to pay back rent and vacate, as well as, pay for damages to the premises, court fees, and pay the landlord’s legal costs.

Ques. What if a landlord physically throws out a tenant and his / her possessions after a court orders eviction?

Ans. If, he / she does so, they may end up in trouble. Only a sheriff or some other proper authority can carry out physical eviction, just as only the court can evict a tenant. The main purpose behind court proceedings is to prevent landlords from carrying out illegal self-help evictions. Again, if the court issues a judgement for unpaid rent, the landlord is required to use the normal debt-collection procedures.

Ques. Is a tenant required to pay rent after a lease is terminated or the court orders his / her eviction?

Ans. If, after a landlord and the court have terminated the tenancy, in many states a tenant can still be held liable for payment of rent, if it has been provided for in the lease. However, it is unusual for a landlord to sue a tenant a second time, if the first lawsuit was non-payment of rent.

However, landlords can avoid litigation issues by screening prospective tenants and employees, or by conducting background checks on them. Visit www.e-renter.com for tenant screening and background check services.

As a rule, every landlord will take a security deposit to ensure payment of rent, as well as, to see to it tenant responsibilities are carried out as laid down in the lease i.e. any damage caused to the property by the tenant will be paid for by deducting the repair cost from the security deposit amount. While, every state has different laws governing security deposits, the following is simply a general overview.

1. Last Month’s Rental Payment Or Security DepositPlease understand last month’s rent and security deposit are not one and the same thing. Paying rent at the first of the month constitutes pre-payment to the landlord for the month’s tenancy. The security deposit amount is usually one month’s rent, as certain states stipulate no more than one month’s equivalent can be kept as security deposit to cover for tenant caused damage to the property. If a landlord raises the rent later on, he / she can ask the tenant to increase the security deposit as well, in keeping with the increased rent. However, neither a landlord nor a tenant can use the security deposit in lieu of unpaid rent, unless he / she has the other’s consent.
2. Security Deposits – Receipts and Interest AccrualsOn receipt of the security deposit amount or the month’s rental payment, a landlord is legally bound to issue a receipt confirming the payment. If, he or she does not, a tenant can insist on its issuance. Many states have made it compulsory for a landlord to issue receipts to tenants containing the following information:
   1. Amount paid,
   2. Payment date,
   3. Reason for payment,
   4. Receiver’s name,
   5. If an agent is collecting the rent, the name of the landlord for whom it is being collected should be on the receipt, as well, and
   6. Landlord or agent’s signature.

   When a landlord has taken charge of the security deposit amount, he / she must inform the tenant, in which bank and in which account, including the percentage of interest being paid on it. On his / her part, a tenant terminating a tenancy should provide the landlord with a forwarding address, where the security deposit amount plus interest can be sent.

   Since, security deposits are taken as a precaution against any damage a tenant may cause to the rental property, it is in a tenant’s interest to take stock of the condition of the rental premises, along with the landlord. Certain states have made a signed statement of the condition of the premises a necessary prerequisite. The statement should contain a comprehensive list of existing damages.

3. Security Deposit – Returns and DeductionsA security deposit must be returned within a fixed time (typically, 30-days) after termination of a tenancy. However, the landlord is entitled to deduct any unpaid rent, and any reasonable amount necessary to repair any tenant-caused damage to the property. As well, damage caused by pets can also be deducted, though a tenant does not have to pay for reasonable wear and tear associated with normal use. However, it is a tenant’s responsibility to maintain and keep the rental premises clean and litter free.

   In case of damaged premises, the law states a landlord must within 30-days after a tenancy ends, typically provide the tenant with the following documents:

   1. A detailed list itemising the nature and extent of damage caused, and necessary repairs required to make the property rentable again, and
   2. He / she must also provide written evidence, such as, estimates, bills, invoices, or receipts, indicating the actual or estimated cost of these repairs.

   The balance of the security deposit (if any) must be returned after all proper deductions have been carried out. If a landlord fails to return the security deposit (or balance after lawful deductions) with accrued interest, within the prescribed time period after a tenancy has been terminated, or fails to furnish the tenant with an itemised list of damages, if deductions have been made for damages, the state law permits the tenant to sue the landlord. If this happens, it can turn out be fairly expensive for the landlord, as many state statutes provide for damages triple the security deposit amount that has been withheld.

   Typically, state courts make some provision for easy resolution of security deposit disputes, such as, in small claims, conciliation, or landlord / tenant courts.

However, to avoid expensive litigation, landlords should screen prospective tenants thoroughly, weeding out undesirable elements with past evictions or criminal pasts. Visit www.e-renter.com for tenant screening and background check services.

Ques. What is ‘Repair and Deduct’?
Ans: In keeping with the law, repair and deduct permits a tenant to carry out essential maintenance tasks in his / her rental accommodation, deducting the repair costs from the rent, later on. As a rule, most state or local laws only allow repairs that make a place habitable i.e. getting a broken furnace to work again or plugging a leaking roof.

Ques. What restrictions, if any, surround the use of ‘Repair and Deduct’?
Ans. Local laws place a limit to the dollar amount a tenant is allowed to spend on repairs. Take for example, the Chicago ordinance that restricts a tenant from spending more than $500/- on rental accommodation repairs, while other existing laws limit a tenant from spending more than a month’s rent.

On the other hand, jurisdictions that do not have an explicit repair and deduct legislation, rely on the implied warranty of habitability, limiting ‘repair and deduct’ to only the reasonableness of the repairs, so much so, a tenant may even buy a new furnace, and then deduct its cost from the rent.

Ques. Does a tenant have to follow a special procedure before going in for ‘Repair and Deduct’?
Ans. A tenant must serve his / her landlord with a written notice, specifically listing what repairs need to be carried out. He / she must warn the landlord that failure to comply within the stipulated time-frame will see the tenant carrying out the necessary repairs, deducting repair costs from the rent, later on.

Ques. What is meant by reduced rent?
Ans. If rental premises fail to comply with the local housing code standards, the law allows tenants to pay reduced rent, instead of the full contract amount, a reflection on the reduced value of the premises.

Ques. What calculations do courts use to calculate rent reductions?
Ans. Several standards are used, with no consistency across the country. Reductions may be permitted based on the fair market rental value of the premises i.e. the rental amount may be reduced from the contract amount to the value a court considers fair considering the defects. Or, a proportional use standard is used, meaning rent reduction is determined on the basis of how much the defects reduce use of the premises i.e. 40% use reduction involves a 40% reduction in rent.

Ques. What procedure is to be followed by a tenant for paying reduced rent?
Ans. A written notice must be served to the landlord, listing what repairs are required to be done, as well as, stating the timeframe within which they must be carried out, failing which the tenant will pay reduced rent, unless and until the landlord carries out the repairs within the specified time.

Ques. Is a tenant allowed to seek past months rent reduction for defective premises, even though he / she has paid rent in full?
Ans. Possibly, only in this case, the tenant may have to sue the landlord to collect. Both, implied warranty of habitability and local ordinances grant a tenant the right to recover damages from a landlord for failing to maintain the rental premises according to local housing code standards. Take for example, the case of a tenant whose lease calls for $500 per month as rental charges, which he / she has paid for 7-months = $3,500 in sum total. If, the courts declares the rent charged should not have exceeded $350/-, then it can ask the landlord to refund overpayment of $1,050 to the tenant.

Ques. Is a tenant allowed to withhold all of the rent?
Ans. A tenant can do that to catch the landlord’s attention. However, it is also possible that the landlord will retaliate with a notice to pay or get out. If, the premises are habitable to some extent, a certain amount of rent is due the landlord, and only a court can decide the reduction that is justified.

Ques. Does a tenant have to hold the withheld rent in an escrow account?
Ans. It is not a legal requirement, though perhaps, it might be a good idea, as some local landlord-tenant ordinances might require the rent money to be placed in escrow, in the event the case goes to court, when the judge may ask if the disputed money is available.

However, to avoid expensive litigation, landlords should screen prospective tenants thoroughly, weeding out undesirable elements with past evictions or criminal pasts. Visit www.e-renter.com for tenant screening and background check services.