21/09: Lease Law - Michigan

It is important for both the landlord and the tenant to be aware of the numerous laws that govern all aspects of the landlord-tenant relationship. The most important of these laws are:

The Truth in Renting Act, MCL 554.631 to 641;
The Landlord Tenant Act, MCL 554.601 to 616;

The Summary Proceedings Act, MCL 600.5701 to 600.5759;
The Elliott-Larson Civil Rights Act, MCL 37.2101 to 37.2804;
The Persons with Disabilities Civil Rights Act, MCL 37.1101 to 37.1607;
Lease or license of residential premises / covenants / modifications, MCL 554.139; and
Damages for forcible entry and detainer / unlawful interference with possessory interest, MCL 600.2918.

Tenants who are having difficulties with their landlords can and should refer to these laws to hold their landlords accountable. For example, according to the Truth in Renting Act, landlords must EXCLUDE certain provisions from their leases and if included, they are automatically considered void. The tenant can make the landlord fix a lease with these illegal provisions and if the landlord does not, the tenant can take the landlord to court and win statutory damages and fees. Landlords are likewise required to INCLUDE certain provisions such as the name and address at which notice shall be given to the lessor and a very specific statement regarding the fact that the agreement must comply with applicable Michigan laws.

For those who are interested in knowing the landlord's obligation to maintain the premises, reference should be made to MCL 554.139. This law requires that landlords must keep the premises and all common areas fit for the use intended. They must also be kept in reasonable repair and in compliance with applicable health and safety laws of the state and of the local unit of government.

Tenants who are worried about the return of all or part of their security deposit should pay particular attention to the Landlord and Tenant MCL 554.601 to 616 as this act regulates security deposits. Landlords cannot collect more than 1 and 1/2 times the monthly rent as a security deposit. Furthermore, they cannot require a security deposit unless they notify the tenant no later than 14 days from the date a tenant assumes possession in a written instrument of the landlord's name and address as well as the name and address of his bank. There is also a requirement of a particular notice regarding the tenant's responsibility to forward their new mailing address to the landlord within 4 days after termination of occupancy: “You must notify your landlord in writing within 4 days after you move of a forwarding address where you can be reached and where you will receive mail; otherwise your landlord shall be relieved of sending you an itemized list of damages and the penalties adherent to that failure.” An inventory checklist is required at the commencement and termination of the tenancy. If a landlord wants to keep all or part of the security deposit for damages or other obligation, he must mail to the tenant, within 30 days after the termination of occupancy, an itemized list of damages claimed, including the estimated cost of repair of each property damaged item and the amounts and bases on which he intends to assess the tenant. The notice of damages shall include the following statement in 12 point boldface type which shall be at least 4 points larger than the body of the notice: “You must respond to this notice by mail within 7 days after receipt of same, otherwise you will forfeit the amount claimed for damages.”. Failure by the landlord to comply with the notice of damages requirement within the 30 days after the termination of occupancy, constitutes agreement by the landlord that no damages are due and he shall remit to the tenant immediately the full security deposit.

Tenants of an advanced age should be aware of MCL 554.601a, which allows early termination of a lease if the tenant becomes eligible to take possession of a subsidized rental unit in senior citizen housing or becomes incapable of living independently.

Regarding discrimination, the Elliott-Larsen Civil Rights Act provides protection from discrimination in housing accommodations on the basis of religion, race, color, national origin, age, sex, or marital status. There is an exemption in the law where the landlord or a member of the landlord's immediate family resides in one of the units. However, the Civil Rights Act of 1866 prohibits discrimination on the basis of race in ALL property transactions; and since federal law trumps state law, the federal law must be followed. Therefore, landlords can NEVER discriminate on the basis of race. Also, persons with disabilities are protected from discrimination. Landlords must accommodate disabled persons unless they demonstrate that the accommodation would impose an undue hardship or that they or their immediate family resides in 1 of the units under certain circumstances.

Finally, a tenant is entitled to quiet enjoyment of the premises and landlords are prevented from interfering with that enjoyment unless they are acting pursuant to court order, or the interference is only temporary in order to make needed repairs or inspection as provided by law. Landlords are not allowed to enter a tenant's property whenever they want, nor are they allowed to eject a tenant in a forcible or unlawful manner. A tenant who is put out or held out of their rented property in a forcible and unlawful manner, is entitled to recover 3 times the amount of his actual damages or $200.00, whichever is greater, in addition to recovering possession. Furthermore, a tenant whose possession has been unlawfully interfered with by the landlord or their agents shall be entitled to recover the amount of his actual damages or $200.00, whichever is greater, for each occurrence and, where possession has been lost, to recover possession. Landlords cannot use or threaten force, nor can they remove or destroy a tenant's personal property. They cannot change the locks without immediately providing keys, nor can they board up the premises. They cannot interrupt a service procured by the tenant or which the landlord is under a duty to furnish, if that service is so essential that its interruption would constitute constructive eviction, including heat, running water, hot water, electric, or gas service. Lastly, they cannot introduce noise, odor or other nuisance.

Any person involved in a landlord-tenant relationship must be aware of these laws. Landlords must inform their staff as for example, if certain language is not included in leases and certain time frames are not met, rights can be very limited. Tenants who must breach their lease in advance pray for the landlord to miss the 30-day deadline. If the notice of damages retained from the security deposit does not go out within 30 days after the tenant terminates the tenancy, all rights to the security deposit and any other damages are waived. Also, it must be clear that deference must be made to the federal Civil Rights Act and no discrimination on the basis of race must ever occur. The landlord-tenant relationship is tenuous at best. Knowledge of the applicable law by both parties sets forth expectations, reduces unnecessary problems, and lays a foundation for a positive relationship.


Comments

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Hello,
I'm moving to MI and am just about to sign a lease as a roomate to my firend (who has already signed), she just got her first bill and they're charging first months rent in its entirety, even though they won't allow us to move in until the 22nd. I read the references you had in the article, but could find no mention of any laws about pro-rating. I don't know the specific terms of the lease since I don't have a copy yet, but I was wondering if there's was anything in the laws that prohibited a landlord from charging an entire months rent but preventing you from occupying the premises for that whole month?

Thank you
21/07 11:46:07
Dear Rhy:

The concerns must be substantive enough to amount to a breach of the lease agreement and/or the landlord's obligation to keep the premises in reasonable repair and fit for their intended use.

You must lay a foundation through written correspondence and documentary evidence. Write a certified letter to your landlord expressing your concerns. Take photographs for your records.
09/07 13:24:14
We moved into our current place on the weekend. A professional cleaner was supposed to clean the premises which didn't happen, and this along with other concerns were brought up before moving in. We had no choice but to move in and now that we are in the property, we have found alot more that's of concern. We signed a month-month lease for a period of nine months. We would like to get out of this contract? what are the options?
09/07 08:35:08
Dear Holly:

In such circumstances, a landlord would not necessarily be entitled to 12 months because he has a duty to mitigate his damages by finding a substitute tenant. I assume your roommates will be responsible for the rent. Under such circumstances, a landlord would have trouble proving his damages.

Put your concerns in writing and notify the landlord of your moving address.
08/07 14:20:10
I have signed a year lease for an apartment with two other roomates. The lease does not start for another 35 days and I have stopped in to see if there was something I could do to terminate the lease because I will be moving to a different city for employment reasons. The lease does not have an early termination agreement except for military. They will not budge AT ALL and claim that even if I have not moved in yet; will not be living there; and would be willing to pay a months rent, that I HAVE to pay for all 12 months regardless. They also claimed that because I signed the lease, it took up a spot that they could have given to someone else which is not true because my 2 roomates will still be living there and that is only occupying one apartment still. Please offer any advice.
08/07 11:08:00
Dear Enny:

Your daughter is not responsible for the lease she did not sign. She appears to be a month-to-month tenant and would not under those circumstances be responsible for the yearly lease. You should also have an "out" so to speak on your lease for the medial reasons if you are required to move for medical reasons.
28/05 21:03:30
MY DAUGHTER CO-SIGNED MY APT LEASE FOR THE FIRST YEAR ONLY. I SIGNED THE SECOND AND THIRD YEAR ONLY. MY SIGNATURE IS ON THE SECOND AND THIRD YEAR LEASE. IF I BREAK THE LEASE FOR MEDICAL REASONS, CAN MY DAUGHTER BE HELD RESPONSIBLE? IF NOT, CAN YOU LET ME KNOW PLEASE. THANK YOU.
28/05 19:53:42
Dear Lorenzo:

Michigan courts would likely admonish such provisions which would be considered unfair or unconscionable. Your argument would be that under the law, the landlord is required to mitigate damages by finding another tenant to replace you. In this market, it is not difficult to find such a tenant because families ousted out of their homes are taking up residency as tenants. The landlord's provision effectively negates his legal requirement to mitigate damages.

When considering your actions question what your peers would say because if the case went in front of a jury, it would be a jury of your "peers". This would be a tough sell for the landlord.

Furthermore, the landlord has strict deadlines and requirements with regard to evicting a tenant and collecting damages. You will want to watch out for landlord mistakes which can lead to a landlord's avoidance of all damages collectible from you had timelines and other requirements been met.
24/05 22:37:09
Dear Matt:

Unfortunately, your father entered a binding legal contract. His death does not cancel the contract. Your mother as an occupant does have rights as a tenant with a month-to-month lease. Since your father's estate can be held responsible for the some or all of the contract, your mother should stick it out there until the lease runs out.
24/05 22:30:35
Help! I would like to terminate my lease because of a change in job situation, but I still have six more months to go. The lease requires 60 days advance notice for termination and imposes an "abandonment fee" equal to the cost of 3 months rent!!! Is this legal in Michigan? Basically the landlord is requiring that I pay 5 months of the 6 to leave early. Does Michigan endorse such a penalty in favor of a landlord for common life situation changes?
20/05 13:58:41
My Dad recently passed away... he signed a one-year lease on May 1st and passed away May 10th. He is the only one listed as a "resident" on the lease and my mother is listed as an occupant. All terms of the lease state that the "resident" is responsible for the terms and there is no provision in the lease regarding death of the resident. Furthermore, my dad who passed away is the only one who signed the lease. Can the apartment complex hold my mother to the terms of the lease including the early termination penalties?
16/05 00:11:58
As to the late fees, the argument could be made that they are excessive. However, this is just an argument and it will not prevent the landlord from attempting to collect on the fees. You could withhold payment of the fees however, your landlord could evict you for nonpayment of rent / breach of lease agreement; and furthermore, sue you in court for the fees and any costs incurred.

Ultimately if you cannot come to a settlement on the fees, you must take the matter to court if you still feel that they are excessive. You may be hard pressed to prevail in your arguments however, because you had an opportunity to negotiate the fees and indeed signed the lease agreement.

Your arguments are stronger with regard to the calculation of the fees applicable to weekends / holidays. Ambiguities in the lease agreement will be construed in favor of the lessee (you) and therefore, if the lease is ambiguous on the calculation / application of the fees to weekends and holidays, then the language will be construed in your favor.

Bottom line: There is no bright line on this - just arguments either way.
13/05 20:28:42
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