Legal Question in Real Estate Law in California
Fee to Process pay or Quit Notice/Month to Month
Is it legal for my management company to charge me a $35.00 to process a 3 day notice to pay or quit after arrangements have been made including the paying overdo rent plus 10% late fee?
And do I have to sign another lease or can I legally go month to month. The last time I renewed because month to month was about $75 more /month.
2 Answers from Attorneys
Re: Fee to Process pay or Quit Notice/Month to Month
Check the contract with your management company.
Re: Fee to Process pay or Quit Notice/Month to Month
If your lease has expired, you can go to a month to month, but they are entitled to charge a higher rate for that.
Regarding the question as to whether or not they can charge a $35 fee for preparing the 3-Day Pay or Quit notice is iffy. The late fee can not be arbitrary, and worded as a penalty. It must be for "liquidated damages." It could be argued that the cost of preparing the document would be included in the liquidated damages. If you took the question to small claims court, you would probably win.
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