Property managers of four or more homes who charge rental application fees would have to return money for services they did not perform.
Managers of four or more homes would refund charges for unperformed services. Applicants without a signed or legally equivalent rental agreement would receive the balance, minus allowed costs for completed services.
Applicants could sue to recover application fees wrongfully kept. Property managers would have to prove which services they performed, and courts could award lawyer fees to either winning side.
Covered property managers would have to refund application charges for services they did not perform. The rules would cover managers of four or more homes who require an application fee before renting. Without a signed or legally equivalent rental agreement, managers could keep only costs disclosed in writing when collecting the fee and tied to services actually performed. Allowed costs would cover out-of-pocket expenses, such as credit checks, but not the manager's time or effort. Refunds to applicants without a signed or legally equivalent rental agreement would be due within a reasonable time.
Anyone who wrongfully kept an application fee would owe the applicant the amount wrongfully kept. Applicants covered by these fee rules could bring a civil lawsuit over any wrongfully withheld portion. A court could award lawyer fees to the winning side. The property manager would have to prove which application services were performed.
No hearings or votes scheduled.