Consisting of legal obligations

The 2010 Minnesota State Legislature made some significant changes to the landlord/tenant laws. The effective date for most of these was August 1, 2010; some are delayed until August 1, 2011. Some of those changes are briefly described below.

• - A written receipt is required when a tenant pays in cash.
• - The use of applicant screening fees is highly restricted. If you receive applicant screening fees, make sure you find out what the rule changes mean for you.
• - Late fees may not exceed 8% of the overdue rent. If you have a flat fee, check on whether that meets the rule.
• - The penalty for retaining a security deposit in bad faith goes up to $500 for each deposit.
• - Tenants are now entitled to recover some attorney’s fees if they prevail in court action.
• - Landlords are allowed to dispose of abandoned property more quickly (28 days rather than 60).
• - There is new language about eviction in the case of foreclosures.
• - There is also new language about proof of rent paid when there is a dispute between a landlord and tenant.

Having a rental property business both are oblige (landlord and tenant) to follow certain rules and must understand the importance of implementing legal obligations. Full awareness to constant changes happening in rental business is also needed. All landlords have to make sure that their properties are up to a decent standard and that they have the correct paper work.