Question: What is the best way to say no to an application and avoid a discrimination lawsuit? The prospect’s credit is worse than he said it was, and I want to avoid trouble.
Ted Kimball
Kimball, Tirey & St. John LLP
Answer: You are required by law to inform the tenant of the reasons in writing for denying the application if the reason was partially or wholly based upon the credit report. The best way to deliver this news is to inform the prospective tenant that if he or she can get the credit history cleaned up, you would be happy to have this person reapply. Reject the application, not the applicant. Be sure you are applying the same rental standards on all applicants.
Question: Is there a mandatory, minimum, type size for leases?
Answer: No, but the larger the font size, the better. Also, if you have an automatic lease renewal provision, it must be in at least 8-point font and bolded.
Question: My brother manages the apartments that we own. He did not collect a security deposit. The tenant still has not paid it but says he will pay this month. Can I serve him a 30-day notice if he does not pay by the end of the month?
Answer: If you are on a month-to-month agreement, you can serve a 30-day notice. If the agreement to pay the security deposit was part of the lease, you can serve a three-day notice to perform or quit.
Kimball, Tirey & St. John LLP is a full service real estate law firm representing residential and commercial property owners and managers. This article is for general information purposes only. Laws may have changed since this article was published. Before acting, be sure to receive legal advice from our office. If you have questions, please contact your local KTS office. For contact information, please visit our website: www.kts-law.com. For past Legal Alerts, Questions & Answers, and Legal Articles, please consult the resource library section of our website.