In his investigation of Redbank Village apartment complex in South Portland, state Rep. Chris Kessler found evidence that JRK Property Holdings, the property owner, violated two state laws: LD 691 – an act to limit tenant application fees – and LD 1490 – an act to reduce rental housing costs by limiting additional fees at or prior to commencement of tenancy.
What do the laws say?
LD 691
- Went into effect in October 2023.
- prohibits a landlord from imposing a fee to apply for an apartment or get approved for an apartment, with exceptions for background checks, credit card checks and other select screenings.
LD 1490
- Went into effect in August 2024.
- Tenants can opt out of recurring fees for added services or features that are not essential to meet basic health or safety requirements.
- Landlords can only implement a fee if they provide the tenant with written notice and if the tenant can opt out.
- Prior to entering a lease or tenancy agreement, a landlord must provide a potential tenant written disclosure of the costs they will be responsible for, including cost of rent, mandatory recurring fees, optional recurring fees, utility service and other fees the tenant will have to pay.
- Landlords can only increase rent or mandatory recurring fees with 45-day notice.
What should you do if you think your rights have been violated?
Tenants who an application fee since October 2023 but did not end up renting would be entitled to their money back, and tenants who have paid the mandatory fees for nonessential services after August 2024 without being allowed to opt out would be entitled to their money back and defense from eviction, Kessler said.
Tenants who think they have experienced these violations should reach out to the Consumer Protection Division of the Maine Office of the Attorney General. The department can be reached by phone at 207-626-8849.
