SENATE BILL REPORT
SHB 2041
BYHouse Committee on Housing (originally sponsored by Representatives Nutley, Winsley, Todd, Rector, Ballard, Leonard, Anderson, Padden, D. Sommers and McLean)
Changing landlord-tenant law.
House Committe on Housing
Senate Committee on Law & Justice
Senate Hearing Date(s):March 30, 1989
Majority Report: Do pass as amended.
Signed by Senators Madsen, Nelson, Newhouse, Niemi, Rasmussen, Talmadge.
Senate Staff:Ben Barnes (786-7465)
March 31, 1989
AS REPORTED BY COMMITTEE ON LAW & JUSTICE, MARCH 30, 1989
BACKGROUND:
Current statutes dealing with residential landlord-tenant laws were originally passed in Washington State in 1973 and many have been amended since then. Prior to that, landlord-tenant law was based on common or court-made law and on unlawful detainer statutes that generally applied to all types of landlord-tenant situations (including commercial).
There are two important concepts in landlord-tenant law. The first is that the landlord conveys a possessory interest in land to the tenant in return for the payment of rent. This concept dates back to agrarian England, when the land was used for crops and the landlord provided no services. The tenant built his own shelter, and found his own water and wood for heat. If the tenant did not pay the rent timely, the landlord would evict the tenant, using force if necessary. Unlawful detainer statutes now prohibit a landlord from physically evicting a tenant, providing instead for a court action and final eviction by the sheriff. The sheriff normally requires the landlord to obtain a bond to protect the sheriff from any liability that may arise from enforcing the eviction order (writ of restitution).
The second important concept is that, since today most renters are more concerned with the building as a place to live than the land as a place to grow crops, the landlord now provides basic services for which the landlord and tenant contract in the rental agreement.
Landlord-tenant law generally treats these two concepts separately, so that in order to maintain possession of the unit the tenant must pay the rent even though the landlord may not be providing promised services.
The Residential Landlord-Tenant Act governs residential rental situations, and overrides common law and the rental agreement. The act lists several general provisions, defines duties of the landlord and the tenant, provides remedies for the landlord and the tenant and makes mediation and arbitration available.
Important general provisions are the duty of good faith imposed on both the landlord and the tenant, and the requirement that rental agreements for more than one year or that contain a deposit must be in writing.
Generally a landlord must: (1) keep the premises habitable by maintaining it to code, keeping it in good repair, and keeping utilities in good working condition; (2) give the tenant two days notice before entering the unit to inspect it or show it for sale; (3) establish a trust account for the tenant's security deposit; and (4) take no retaliatory action against the tenant when the tenant exercises his or her legal rights.
The landlord must begin making repairs within a specified period after receiving written notice from the tenant describing a needed repair. If the defective condition is imminently hazardous to life or deprives the tenant of water or heat, the landlord must take action within 24 hours. If the defective condition deprives the tenant of hot water or electricity, the landlord must take action within 48 hours. In all other cases, the landlord must take action within seven or 30 days, depending on whether the condition relates to keeping the premises fit for human habitation. Where circumstances beyond the landlord's control, including the lack of available financing, prevent meeting the time limitations, the landlord must remedy the condition as soon as possible.
Where the landlord has failed to make a repair, after notice by the tenant and the expiration of the statutory period, the tenant can either: (a) do the repair and deduct the cost from the rent (this is limited to one half month's rent or $75, whichever is less, in a 12 month period); (b) hire, after obtaining two bids, a contractor to do the repair and deduct the cost from the rent (this is limited to one month's rent in a 12 month period); or (c) go to court or arbitration and have the decreased value determined, which the tenant then pays from the time notice of the needed repair was given until the landlord makes the repair (the court or arbitrator can also authorize the tenant to make the repair, limited to one month's rent in a calendar year). When the landlord has not returned the security deposit to the tenant within 14 days from the end of the tenancy or sent an explanation of why the full deposit is not being returned, the landlord is liable for the full deposit. If not returning the deposit is intentional, the landlord is liable for up to two times the amount of the deposit.
Generally a tenant must: (1) pay the rent in a timely manner; (2) keep the premises clean and sanitary; (3) allow reasonable access to the premises after proper notice is given by the landlord; (4) return the unit in the same condition as it was at the beginning of the tenancy, except for ordinary wear and tear, and (5) avoid committing or permitting waste or a nuisance.
If a tenant fails to perform a duty, a landlord's primary remedies under the act are: (1) to keep the security deposit; (2) to obtain a court order to allow access to the unit where the tenant has unreasonably denied access; and (3) to evict the tenant through an unlawful detainer action.
When a tenant indicates by words or actions that the premises and the tenancy have been abandoned, the landlord may enter and store any property the tenant left on the premises. The landlord must mail a notice at the last known address of the tenant indicating where the property is stored. After 60 days, the landlord can sell the property and apply the proceeds to the amount due. If the value of the property is less than $50, the landlord can sell the property after seven days, except for personal papers and keepsakes.
The parties can submit disputes to mediation or arbitration, although both parties must agree to the mediation or arbitration.
The normal filing fee for a civil action in superior court, including an unlawful detainer action, is $78. The Legislature has reduced this filing fee to $20 for petitions for an order for protection from domestic violence, and for actions to strike discriminatory provisions from real property instruments.
SUMMARY:
The filing fee for an unlawful detainer action is reduced to $20 when the tenant does not respond to the filed complaint. The $20 fee would not apply to any order to show cause or any other order except a default order or default judgment. If the tenant responds to the filed complaint, the landlord must pay the full $78 filing fee.
The sheriff is given immunity from civil liability for serving or enforcing writs of restitution (to evict tenants), except for acting with gross negligence. Therefore, the sheriff cannot require the landlord to post a bond to protect the sheriff from civil liability for serving or enforcing the writ of restitution.
Changes are made to residential landlord-tenant law. Several are technical or provide clarification; others are substantive changes.
The time periods for the landlord to make repairs after notice by the tenant are revised. The landlord must take action within 24 hours if the defective condition deprives the tenant of hot or cold water, heat, or electricity. The landlord must take action within 72 hours if the defective condition deprives the tenant of the use of a refrigerator, range and oven, or major plumbing fixture. The landlord must take action within 10 days in all other cases. The exception for circumstances beyond the landlord's control is still applicable.
The tenant's self-help repair remedies are revised. When the landlord does not begin the repair within the required time period, the tenant may provide the landlord with a good faith estimate of the cost and then contract with a licensed or registered person, or a responsible person if a license or registration is not required, to make the repair. This remedy is limited to one month's rent per repair and two month's rent per year. If the cost is less than one half month's rent, the tenant can make the repair after having given notice and the time period for the landlord to make the repair has expired; no estimate is necessary in this case, although it is limited to one half month's rent per repair and to one month's rent per year.
A tenant cannot unreasonably withhold consent to have the unit shown for a potential sale or rental if the landlord has given one day's notice. The landlord cannot unreasonably interfere with the tenant's enjoyment of the unit by excessively exhibiting the unit. A landlord who violates a tenant's right to privacy, or a tenant who violates a landlord's right to access, after one notice alleging a violation, is liable for up to $100 for each subsequent violation.
When the tenant abandons the tenancy and leaves behind personal property, the landlord must make reasonable efforts to notify the tenant, at any address known, that a sale or disposition of the property will be made after 45 days from the date notice is given. The landlord can sell or dispose of the property, except for personal papers or keepsakes, after seven days from the date notice was given if the total value of the property is $50 or less.
A new remedy is provided to the tenant when the landlord does not make needed repairs and the repair and deduct remedies are not sufficient to correct the problem. A rent escrow process is established. It applies to conditions that are substandard and dangerous to the health and safety of the tenant. In order to use this remedy, the tenant must give the landlord written notice regarding the defective condition. If the landlord does not repair the defective condition within the required time period, the tenant can request that the local government provide for an inspection to certify whether the defective condition exists and is a substantial hazard to the health and safety of the tenant. The local government can only inspect the condition specified by the tenant, and is immune from liability for ignoring any other defects.
If the local government certifies that the defective condition exists and is a substantial hazard to the health and safety of the tenant, the tenant can deposit rent into an escrow account as the rent is due. The tenant must notify the landlord that the rent is being deposited in an escrow account and provide the name and location of the escrow account.
The landlord can have the funds released by the escrow company by providing a certification from the local government that the repairs have been completed. In addition, the landlord and the tenant can initiate a court action to resolve the dispute and cause the release of the funds in escrow. The landlord can also request a court to have funds released from the escrow account to pay the debt service on the premises or to make the needed repairs.
Other clarifications or changes include: (1) a 30 day notice is necessary for a rent increase at the end of a tenancy that is being renewed, or the parties can mutually agree to an earlier date; (2) the security deposit or explanation must be mailed by the landlord within 14 days (the tenant does not have to it within 14); (3) a utility company cannot discontinue service to a tenant because the utility bill was not paid if it is the landlord's responsibility to pay it and (4) the landlord cannot rent a condemned unit to a new tenant.
An alternative means of service is provided when the landlord cannot personally serve the tenant after making reasonable efforts to do so. Also, the summons for residential unlawful detainer actions is set out in statute.
Appropriation: none
Revenue: none
Fiscal Note: available
Effective Date:January 1, 1990
SUMMARY OF PROPOSED SENATE AMENDMENTS:
A counterclaim filed by a tenant in a lawsuit started by the landlord for release of escrowed rent will be dismissed without prejudice if the tenant fails to follow applicable notice requirements.
If a tenant commences an action for release of escrowed rent, a trial must be held within 60 days of the filing of the complaint.
The effective date is changed to August 1, 1989.
Senate Committee - Testified: Steve Fredrickson, Evergreen Legal Services (pro); Deward Johnson, Washington Apartment Association (pro); Jim Goche', WACO; Rick Slunaker, Yakima Valley Rental Association (pro)