What’s the legal minimal time period that a tenant is allowed to pay for utilities before incurring a late fee?
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What’s the legal minimal time period that a tenant is allowed to pay for utilities before incurring a late fee?
My leasing management company pays for our water and then sends us a bill. The problem is they want to charge a $5 late fee (on a $15-30 bill) if it’s not paid by the 3rd of the month. My issue is that I sometimes get the bill from management as late as the 27th (postmarked), and I don’t believe it’s reasonable to expect payment after 7-10 days of bill delivery or charge a 15%-30% late fee. Prior management told me not to worry about the late fee but new management claims I’m liable.
Asked on October 4, 2010 under Real Estate Law, Kansas
Answers:
M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney
Answered 14 years ago | Contributor
The amount certainly sounds unreasonable, more so than the turn around time for payment. Does your lease specify anything as to this issue? What does it say? If you agreed to the provision in your lease then you may indeed be bound by it. I would focus more on the late fee. To charge that high a fee on such a small bill seems "unconscionable" and "against public policy." That is where I would challenge the matter. So look at your lease and see what it says about it first then write to the management company and indicate that the fee charged is "unconscionable" and potentially "ususerous" under th law. State that you would like to re-negotiate the turn around time and late fee. State that you would agree to a 1% late fee past a certain date. If they do not respond go down to court and see that help you can get there. Good luck.
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