| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to a late fee for failing to pay rent under a residential |
|
|
lease. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 92.019, Property Code, is amended by |
|
|
amending Subsections (a) and (e) and adding Subsection (a-1) to |
|
|
read as follows: |
|
|
(a) A late fee under this section may include an initial fee |
|
|
and a daily fee for each day the rent continues to remain unpaid. |
|
|
(a-1) A landlord may not charge a tenant a late fee for |
|
|
failing to pay rent unless: |
|
|
(1) notice of the fee is included in a written lease; |
|
|
(2) the initial fee does not exceed eight percent of |
|
|
one month's rent and each subsequent daily fee does not exceed two |
|
|
percent of one month's [is a reasonable estimate of uncertain
|
|
|
damages to the landlord that are incapable of precise calculation
|
|
|
and result from late payment of] rent; and |
|
|
(3) the rent has remained unpaid one full day after the |
|
|
date the rent was originally due. |
|
|
(e) This section relates only to a fee, charge, or other sum |
|
|
of money required to be paid under the lease if rent is not paid as |
|
|
provided by Subsection (a-1)(3) [(a)(3)], and does not affect the |
|
|
landlord's right to terminate the lease or take other action |
|
|
permitted by the lease or other law. Payment of the fee, charge, or |
|
|
other sum of money by a tenant does not waive the right or remedies |
|
|
provided by this section. |
|
|
SECTION 2. Section 92.019(b), Property Code, is repealed. |
|
|
SECTION 3. Section 92.019, Property Code, as amended by |
|
|
this Act, applies only to a lease entered into or renewed on or |
|
|
after the effective date of this Act. A lease entered into or |
|
|
renewed before the effective date of this Act is governed by the law |
|
|
as it existed immediately before the effective date of this Act, and |
|
|
that law is continued in effect for that purpose. |
|
|
SECTION 4. This Act takes effect January 1, 2018. |