SB251: SB251 "Fair Business Practices Act of 1975,"; rent pricing for residential properties; encourage transparency and fairness
Last action February 26, 2025 · Senate Read and Referred
A Georgia Senate bill would require landlords to disclose the full total rental price upfront and ban hidden or deceptive fees on residential rentals, treating violations as unfair business practices under state consumer law.
In plain language
Georgia's consumer protection law, the Fair Business Practices Act of 1975 (O.C.G.A. § 10-1-393), currently does not specifically address hidden rental fees or misleading rent advertising. This bill adds a new section, O.C.G.A. § 10-1-393.20, that targets rent pricing for residential properties, including apartments, houses, hotels, and short-term rentals. Landlords would have to clearly and conspicuously show the total rental price, meaning all mandatory fees and government charges, whenever they advertise a rental or before signing a lease or accepting payment. The bill also bans specific kinds of 'deceptive fees,' such as charges for services never used, fees for things the landlord is already legally required to provide, fees that block a tenant from choosing their own vendor, or any fee not written into the lease. Violations count as unfair or deceptive practices under the existing consumer protection law. The law would take effect immediately upon the Governor's signature and would apply to rental agreements, renewals, and extensions signed after that date.
What the bill does
- Adds a new violation category to Georgia's Fair Business Practices Act (O.C.G.A. § 10-1-393) for failing to follow the new rent pricing rules.
- Requires landlords to clearly disclose the total rental price, including all mandatory and government fees, in any ad or listing for a residential property.
- Bars landlords from signing a lease or accepting payment before disclosing the total rental price to the renter.
- Prohibits landlords from charging 'deceptive fees,' defined to include unused-service fees, fees for legally required services, anti-competitive vendor fees, and any fee not written into the lease.
- Allows landlords to still pursue remedies for lease violations or early termination, as long as those remedies are spelled out in the lease and are not excessive.
- Applies the new rules to rental agreements, renewals, modifications, or extensions signed on or after the law's effective date.
Who it affects
Residential landlords, including operators of apartments, houses, hotels, inns, vacation rentals, and other short-term rentals in Georgia, as well as tenants and consumers who rent from them. The Georgia Attorney General's office also gains a role in designating additional deceptive fees.
Why it matters
Renters would gain a clearer view of the true cost of housing before signing a lease, since landlords could no longer advertise a low price and add hidden charges later. Landlords would need to review their fee structures and lease language to comply or risk being found in violation of state consumer protection law.
Key provisions
- Section 1 amends O.C.G.A. § 10-1-393(b) to add failure to follow the new rent pricing rules as an unlawful unfair or deceptive practice.
- Section 2 creates O.C.G.A. § 10-1-393.20, defining terms like 'total rental price,' 'deceptive fees,' 'mandatory fee,' and 'residential property' (which includes hotels and short-term rentals).
- Section 2 requires landlords to clearly and conspicuously disclose the total rental price in ads and before a lease is signed or payment accepted.
- Section 2 bans deceptive fees, including fees for unused services, fees for legally required services, anti-competition vendor fees, and fees not written into the rental agreement.
- Section 2 preserves a landlord's right to pursue remedies for lease defaults or early termination, as long as those remedies are in the lease and not excessive.
- Section 3 makes the Act effective immediately upon the Governor's signature and applies it to rental agreements, renewals, and extensions signed on or after that date.
Status timeline
- Senate Read and Referred (Senate)
- Senate Hopper (Senate)
Sponsors
- Kim Jackson (D, SD-041)
- Russ Goodman (R, SD-008)
Topics
- rent pricing
- landlord fees
- consumer protection
- housing transparency
- fair business practices