HB1188: HB1188 Commerce and trade; encourage transparency and fairness with respect to rent pricing for residential properties

26 LC 60 0247 House Bill 1188 By: Representatives Sanchez of the 42nd, Washburn of the 144th, Frye of the 122nd, Olaleye of the 59th, Oliver of the 84th, and others A BILL TO BE ENTITLED AN ACT To amend Part 2 of Article 15 of Chapter 1 of Title 10 of the O fficial Code of Georgia1 Annotated, relating to the "Fair Business Practices Act of 1975 ," so as to encourage2 transparency and fairness with respect to rent pricing for residential properties; to prohibit3 landlords from failing to disclose the total rental price of an y residential property and4 charging hidden fees for any residential property; to provide for definitions; to provide for5 statutory construction; to provide for related matters; to prov ide for an effective date and6 applicability; to repeal conflicting laws; and for other purposes.7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:8 SECTION 1.9 Part 2 of Article 15 of Chapter 1 of Title 10 of the Official C ode of Georgia Annotated,10 relating to the "Fair Business Practices Act of 1975," is amended in subsection (b) of Code11 Section 10-1-393, relating to unfair or deceptive practices in consumer transactions unlawful12 and examples, by striking "and" at the end of paragraph (36), replacing the period at the end13 of paragraph (37) with "; and", and adding a new paragraph to read as follows:14 "(38) Failure to comply with the provisions of Code Section 10-1-393.22 regarding rent15 pricing for residential properties."16 H. B. 1188 - 1 - 26 LC 60 0247 SECTION 2.17 Said part is further amended by adding a new Code section to read as follows:18 "10-1-393.22.19 (a) As used in this Code section, the term:20 (1) 'Clearly and conspicuously' means a disclosure that is eas ily noticeable and easily21 understandable by an ordinary consumer and displays any total r ental price more22 prominently than any other pricing information.23 (2) 'Hidden fees' means any fee for residential property, othe r than the cost to rent the24 residential property, including any fee:25 (A) That is excessive;26 (B) Charged for any service not actually performed nor received;27 (C) Related to providing any service the landlord is legally required to provide under28 federal, state, or local law, or any rental agreement;29 (D) Related to restricting a consumer to use a landlord's pref erred vendor or service30 provider; or31 (E) That is not expressly provided for in the rental agreement.32 (3) 'Excessive' means greater than the actual cost of a good or service.33 (4) 'Governmental fee' means any tax or other fee imposed by any federal, state, or local34 government entity, or by any tribal entity.35 (5) 'Mandatory fee' means any additional fee or surcharge which a consumer is required36 to pay for any ancillary services or otherwise as part of renting any residential property,37 excluding utilities as such term is defined in Code Section 44-7-14.1.38 (6) 'Rent' means to lease, sublease, let, or accept a grant for consideration of the right to39 possess and enjoy the use of any residential property either for a fixed time or at the will40 of the landlord.41 (7) 'Rental agreement' means any lease, rental, or other written agreement entered into42 by a landlord and a consumer in order to rent any residential property.43 H. B. 1188 - 2 - 26 LC 60 0247 (8) 'Rental price' means any pricing information relating to an amount a consumer must44 pay in order to rent any residential property.45 (9) 'Residential property' means any building, structure, or p ortion thereof which is46 occupied as, or designed or intended for occupancy as, a residence. Such term includes47 hotels, inns, vacation rentals, or other short-term rental properties.48 (10) 'Total rental price' means the total of all fees or charg es a consumer must pay in49 order to rent any residential property, including, but not limited to, any mandatory fees50 or governmental fees.51 (b) Without otherwise limiting the definition of unfair or deceptive acts or practices under52 this part, it shall be unlawful for any landlord to:53 (1) Enter into any rental agreement with, or accept payment fr om, a consumer before54 disclosing clearly and conspicuously to such consumer the total rental price for such55 residential property; or56 (2) Charge or otherwise impose on a consumer any hidden fee in connection with renting57 any residential property.58 (c) Nothing in this Code section shall be construed to prohibit any landlord from pursuing59 remedies for any default under, early termination of, or other violation of a rental60 agreement; provided, however, that such remedies are expressly provided for in the rental61 agreement and any damages provided for are not excessive."62 SECTION 3.63 (a) This Act shall become effective upon its approval by the Governor or upon its becoming64 law without such approval.65 (b) This Act shall apply to all rental agreements entered into on or after the effective date66 of this Act, and to any renewal, modification, or extension of such agreements entered into67 on or after such effective date.68 H. B. 1188 - 3 - 26 LC 60 0247 SECTION 4.69 All laws and parts of laws in conflict with this Act are repealed.70 H. B. 1188 - 4 -