HOUSE BILL NO. 4891

July 18, 2023, Introduced by Reps. Andrews, Rheingans, McFall, Churches, Morse, Hood, O'Neal, Hoskins, Neeley, Dievendorf, Breen, Farhat, Brabec, Coffia, Byrnes, Wilson, McKinney, Price, Conlin, Hill, Mentzer, Young, Tsernoglou, MacDonell and Aiyash and referred to the Committee on Economic Development and Small Business.

A bill to amend 1972 PA 348, entitled

"An act to regulate relationships between landlords and tenants relative to rental agreements for rental units; to regulate the payment, repayment, use and investment of security deposits; to provide for commencement and termination inventories of rental units; to provide for termination arrangements relative to rental units; to provide for legal remedies; and to provide penalties,"

(MCL 554.601 to 554.616) by amending the title and by adding section 7a.

the people of the state of michigan enact:

TITLE

An act to regulate relationships between landlords and tenants relative to rental agreements for rental units; to regulate the payment, repayment, use and investment of security deposits; to regulate the repayment of certain fees charged to prospective tenants and to provide exceptions; to provide for commencement and termination inventories of rental units; to provide for termination arrangements relative to rental units; to provide for legal remedies; and to provide penalties.

Sec. 7a. (1) Beginning on the effective date of the amendatory act that added this section and except as otherwise provided in subsection (2), a landlord that denies a prospective tenant's application for a rental unit shall refund the application fee paid by the prospective tenant for the rental unit.

(2) A landlord that denies a prospective tenant's application for a rental unit shall not refund the background screening fee portion of the application fee if the landlord provides a copy of the background screening report to the tenant.

(3) If a landlord violates subsection (1), a prospective tenant may bring a civil action against the landlord for actual damages or $1,000.00, whichever is greater, reasonable attorney fees, and the costs of bringing the action.