Legal Question in Real Estate Law in California
rental late fees
Is there a minimum grace period
required by owners of condos,
apartments or houses after the due
date? My son will be charged a late fee
this month if the payment is not in ON
the 1st.
3 Answers from Attorneys
Re: rental late fees
Generally, there is a 10-15 day grace period, but the association's by-laws would have to be reviewed to know for certain.
A letter to the association explaining your son's situation may also sway some hearts and allow him the extra time. Sometimes a request for compassion is actually answered.
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Regards,
Scott Linden
Re: rental late fees
There is no legal late fee in California, but many judges allow them if there are provisions regarding same in the lease. So, read your son's lease carefully.
If you are dealing with a condo in a Homeowner's Association (HOA) , you have additional problems. About once a week, I get a question about them.
Basically, our judicial system treats these HOA's almost like Native American (Indian) tribes, where they are like a separate nation. If the condo is in an HOA, it is almost certain the courts will not get involved with late fees after the 1st, and your son will have to pay.
Feel free to e-mail, or call, my office if you need more.
Re: rental late fees
After doing some research in the Civil Code and standard reference works on landlord-tenant relations, I conclude there is no requirement for a grace period before a late charge can be assessed, if the lease so provides.
The applicable law might be different under some local rent-control ordinances. Inquire locally.
I would add that late charges themselves are lawful only if the bear some reasonable relationship to the landlord's probable losses incurred from late payment, such as interest, additional bookkeeping and collection costs, etc. Late charges of around 6% have been upheld by the courts as reasonable. However, if there is no grace period, presumably the landlord is not entitled to quite so large a late charge, since his interest cost and other exposure to possible losses is presumably less.
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