January 21, 2015, Introduced by Rep. Forlini and referred to the Committee on Judiciary.
A bill to amend 1978 PA 454, entitled
"Truth in renting act,"
by amending section 3 (MCL 554.633), as amended by 1998 PA 72.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 3. (1) A rental agreement shall not include a provision
that does 1 or more of the following:
(a)
Waives or alters a remedy available to the parties when if
the premises are in a condition that violates the covenants of
fitness
and habitability required pursuant to under section 39 of
1846
RS 84, 66, MCL 554.139.
(b) Provides that the parties waive a right established by
1972 PA 348, MCL 554.601 to 554.616, which regulates security
deposits.
(c) Excludes or discriminates against a person in violation of
the Elliott-Larsen civil rights act, 1976 PA 453, MCL 37.2101 to
37.2804, or the persons with disabilities civil rights act, 1976 PA
220, MCL 37.1101 to 37.1607.
(d) Provides for a confession of judgment by a party.
(e) Exculpates the lessor from liability for the lessor's
failure to perform, or negligent performance of, a duty imposed by
law. This subdivision does not apply to a provision that releases a
party from liability arising from loss, damage, or injury caused by
fire or other casualty for which insurance is carried by the other
party, under a policy that permits waiver of liability and waives
the insurer's rights of subrogation, to the extent of any recovery
by the insured party under the policy.
(f)
Waives or alters a party's right to demand a trial by jury
or
any other right of to a notice
or procedure required by law in a
judicial proceeding arising under the rental agreement. This
subdivision does not prohibit a waiver of the right to trial by
jury.
(g) Provides that a party is liable for legal costs or
attorney's fees incurred by another party, in connection with a
dispute arising under the rental agreement, in excess of costs or
fees specifically permitted by statute.
(h) Provides for the acquisition by the lessor of a security
interest
in any personal property of the tenant to assure ensure
payment of rent or other charges arising under the rental
agreement, except as specifically allowed by law.
(i) Provides that rental payments may be accelerated if the
rental agreement is breached by the tenant, unless the provision
also includes a statement that the tenant may not be liable for the
total accelerated amount because of the landlord's obligation to
minimize damages, and that either party may have a court determine
the actual amount owed, if any.
(j) Waives or alters a party's rights with respect to
possession or eviction proceedings provided in section 2918 of the
revised judicature act of 1961, 1961 PA 236, MCL 600.2918, or with
respect to summary proceedings to recover possession as provided in
chapter 57 of the revised judicature act of 1961, 1961 PA 236, MCL
600.5701 to 600.5759.
(k) Releases a party from a duty to mitigate damages.
(l) Provides that a lessor may alter a provision of the rental
agreement after its commencement without the written consent of the
tenant, or, in the case of a rental agreement between a consumer
cooperative that provides housing and a member of the consumer
cooperative, without the approval of the board of directors of the
cooperative or other appropriate body elected by members who are
also tenants of the cooperative, except that an agreement may
provide
for the following types of adjustments to be made upon on
written notice of not less than 30 days:
(i) Changes required by federal, state, or local law or rule or
regulation.
(ii) Changes in rules relating to the property that are
required to protect the physical health, safety, or peaceful
enjoyment of tenants and guests.
(iii) Changes in the amount of rental payments to cover
additional costs in operating the rental premises incurred by the
lessor because of increases in ad valorem property taxes, charges
for the electricity, heating fuel, water, or sanitary sewer
services consumed at the property, or increases in premiums paid
for liability, fire, or worker compensation insurance.
(m) Violates the Michigan consumer protection act, 1976 PA
331, MCL 445.901 to 445.922.
(n) Requires the tenant to give the lessor a power of
attorney.
(2) A rental agreement shall not include a clause or provision
that, not less than 90 days before the execution of the rental
agreement, has been prohibited by statute or declared unenforceable
by a published decision of the supreme court of this state or the
United States supreme court relating to the law of this state.
(3) A provision or clause of a rental agreement that violates
this section is void.