ARIZONA HOUSE OF REPRESENTATIVES

Fifty-fifth Legislature

First Regular Session

House: COM DPA 9-0-0-1

HB 2573: landlord; tenant; fee disclosure; waiver

Sponsor: Representative Powers Hannley, LD 9

Caucus & COW

Overview

Requires the disclosure of additional fees by landlords and constitutes housing assistance payments as partial payments of rent.

History

Pursuant to A.R.S. § 33-1322, a landlord or person authorized to enter into agreement on behalf of the landlord must disclose, at or before the commencement of tenancy, the name and address of the person managing the premises and the owner of the premises. This information must be kept current and refurnished to the tenant upon request. Noncompliance with disclosure and rental agreement provisions is deemed a material noncompliance by the landlord or the tenant.

Under current law, a landlord is not required to accept a partial payment of rent or other charges; however, accepting a partial payment of rent retains the landlord's right to proceed against the tenant only if the tenant agrees in a contemporaneous writing to the terms and conditions of the partial payment with regard to continuation of the tenancy. A landlord’s acceptance of a housing assistance payment does not constitute an acceptance of a partial payment of rent or a waiver of a landlord’s right to terminate the rental agreement for any breach by the tenant (A.R.S. § 33-1371).

Provisions

1. Requires the landlord, at or before the commencement of tenancy, to disclose:

a) Any additional chargeable fees or costs that are not included in the rental rate to the tenant; and

b) Whether the landlord or any of its vendors collect or sell the tenant’s personal data when using facilities or services on the rental premises. (Sec. 1)

2. Directs the landlord to include disclosures of additional fees in any advertisement that states the rental rate, including web-based promotional materials. (Sec. 1)

3. Instructs a landlord to:

a) Allow a tenant to choose not to receive and pay for nonessential services;

b) Permit a tenant to pay rent and other amounts due with any legal tender or to provide online payment as provided by the landlord; and

c) Assess any properly charged additional fees or costs only on the same date that the rental payment is due. (Sec. 2)

4. Prohibits a landlord from charging additional fees for accepting an online payment through the landlord's website or other system provided by the landlord. (Sec. 2)

5. Asserts a landlord’s acceptance of a housing assistance payment does constitute, rather than does not constitute, an acceptance of partial payment of rent and waiver of the right to terminate the rental agreement for failure to pay rent. (Sec. 3)

6. Cities this act as the Truth in Renting Act. (Sec. 4)

7. Makes technical and conforming changes. (Sec 1, 3)

Amendments

Committee on Commerce

1. Clarifies what charges must be disclosed to the tenant.

2. Removes the requirement for a landlord to disclose any additional fees or costs in any advertisement.

3. Removes sections relating to rental agreement provisions, acceptance of partial payments and the citation.

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7. HB 2573

8. Initials PRB Page 0 Caucus & COW

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