HB4778 98TH GENERAL ASSEMBLY

  
  

 


 
98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB4778

 

Introduced , by Rep. Emanuel Chris Welch

 

SYNOPSIS AS INTRODUCED:
 
765 ILCS 705/17 new

    Amends the Landlord and Tenant Act. Defines "application fee". Provides that a lessor may not charge an application fee that exceeds the lessor's actual out-of-pocket costs of evaluating a prospective lessee's application to enter into a lease with the lessor. Contains provisions concerning the procedure for processing applications from prospective lessees. Provides that if the lessor decides not to offer or accept a lease, the lessor shall disclose in writing the specific grounds that led to the denial and provide a copy of any information obtained from a third party that formed a basis for the denial. Provides that a lessor who collects an application fee from a prospective lessee may not knowingly make any misrepresentation to the prospective lessee regarding the current or future availability of a dwelling unit for lease. Provides that a lessor who violates the new provisions is liable to the prospective lessee for the application fee, a civil penalty of up to $200, and reasonable attorney's fees and costs.


LRB098 18830 HEP 53975 b

 

 

A BILL FOR

 

HB4778LRB098 18830 HEP 53975 b

1    AN ACT concerning civil law.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Landlord and Tenant Act is amended by adding
5Section 17 as follows:
 
6    (765 ILCS 705/17 new)
7    Sec. 17. Application fees.
8    (a) As used in this Section, "application fee" means an
9amount required by a lessor to be paid by a prospective lessee
10of a dwelling unit prior to the lessor offering or accepting a
11lease agreement with the prospective lessee.
12    (b) A lessor may not charge an application fee that exceeds
13the lessor's actual out-of-pocket costs of evaluating a
14prospective lessee's application to enter into a lease with the
15lessor.
16    (c) Prior to accepting an application fee, the lessor shall
17provide the prospective lessee with the following in writing:
18        (1) an itemized description of the lessor's
19    anticipated costs of processing the application;
20        (2) a date on or before which the lessor will notify
21    the prospective lessee of a decision as to whether a lease
22    will be offered or accepted; and
23        (3) information as to whether a specific dwelling unit

 

 

HB4778- 2 -LRB098 18830 HEP 53975 b

1    is currently available.
2    (d) Upon receipt of an application fee from a prospective
3lessee, the lessor shall provide the prospective lessee with a
4written receipt for the application fee.
5    (e) On or before the date specified by the lessor under
6paragraph (2) of subsection (c), the lessor shall:
7        (1) provide a written itemized accounting of how the
8    application fee was expended by the lessor;
9        (2) return any portion of the application fee that was
10    not expended by the lessor; and
11        (3) notify the prospective lessee in writing of the
12    decision to offer or accept a lease.
13    If the lessor decides not to offer or accept a lease, the
14lessor shall disclose in writing the specific grounds that led
15to the denial and provide a copy of any information obtained
16from a third party that formed a basis for the denial.
17    (f) A lessor who collects an application fee from a
18prospective lessee may not knowingly make any
19misrepresentation to the prospective lessee regarding the
20current or future availability of a dwelling unit for lease.
21    (g) A lessor who violates this Section is liable to the
22prospective lessee for the application fee, a civil penalty of
23up to $200, and reasonable attorney's fees and costs.