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CHAPTER 5-12
RESIDENTIAL LANDLORDS AND TENANTS
5-12-010   Title, purpose and scope.
5-12-020   Exclusions.
5-12-030   Definitions.
5-12-040   Tenant responsibilities.
5-12-050   Landlord's right of access.
5-12-060   Remedies for improper denial of access.
5-12-070   Landlord's responsibility to maintain.
5-12-080   Security deposits.
5-12-081   Interest rate on security deposits.
5-12-082   Interest rate notification.
5-12-090   Identification of owner and agents.
5-12-095   Tenants' notification of foreclosure action.
5-12-100   Notice of conditions affecting habitability.
5-12-101   Bed bugs – Education.
5-12-110   Tenant remedies.
5-12-120   Subleases.
5-12-130   Landlord remedies.
5-12-140   Rental agreement.
5-12-150   Prohibition on retaliatory conduct by landlord.
5-12-160   Prohibition on interruption of tenant occupancy by landlord.
5-12-170   Summary of ordinance attached to rental agreement.
5-12-180   Attorney's fees.
5-12-190   Rights and remedies under other laws.
5-12-200   Severability.
5-12-010  Title, purpose and scope.
   This chapter shall be known and may be cited as the “Residential Landlord and Tenant Ordinance”, and shall be liberally construed and applied to promote its purposes and policies.
   It is the purpose of this chapter and the policy of the city, in order to protect and promote the public health, safety and welfare of its citizens, to establish the rights and obligations of the landlord and the tenant in the rental of dwelling units, and to encourage the landlord and the tenant to maintain and improve the quality of housing.
   This chapter applies to, regulates and determines rights, obligations and remedies under every rental agreement for a dwelling unit located within the City of Chicago, regardless of where the agreement is made, subject only to the limitations contained in Section 5-12-020. This chapter applies specifically to rental agreements for dwelling units operated under subsidy programs of agencies of the United States and/or the State of Illinois, including specifically programs operated or subsidized by the Chicago Housing Authority and/or the Illinois Housing Development Authority to the extent that this chapter is not in direct conflict with statutory or regulatory provisions governing such programs.
(Prior code § 193.1-1; Added Coun. J. 9-8-86, p. 33771; Amend Coun. J. 11-6-91, p. 7196; Amend Coun. J. 3-31-04, p. 20916, § 3.22)
5-12-020  Exclusions.
   Rental of the following dwelling units shall not be governed by this chapter, unless the rental agreement thereof is created to avoid the application of this chapter:
   (a)   Dwelling units in owner-occupied buildings containing six units or less; provided, however, that the provisions of Section 5-12-160 shall apply to every rented dwelling unit in such buildings within the City of Chicago;
   (b)   Dwelling units in hotels, motels, inns, bed- and-breakfast establishments, roominghouses and boardinghouses, but only until such time as the dwelling unit has been occupied by a tenant for 32 or more continuous days and tenant pays a monthly rent, exclusive of any period of wrongful occupancy contrary to agreement with an owner. Notwithstanding the above, the prohibition against interruption of tenant occupancy set forth in Section 5-12-160 shall apply to every rented dwelling unit in such buildings within the City of Chicago. No landlord shall bring an action to recover possession of such unit, or avoid renting monthly in order to avoid the application of this chapter. Any willful attempt to avoid application of this chapter by an owner may be punishable by criminal or civil actions;
   (c)   Housing accommodations in any hospital, convent, monastery, extended care facility, asylum or not-for-profit home for the aged, temporary overnight shelter, transitional shelter, or in a dormitory owned and operated by an elementary school, high school or institution of higher learning; student housing accommodations wherein a housing agreement or housing contract is entered into between the student and an institution of higher learning or student housing wherein the institution exercises control or supervision of the students; or student housing owned and operated by a tax exempt organization affiliated with an institution of higher learning;
   (d)   A dwelling unit that is occupied by a purchaser pursuant to a real estate purchase contract prior to the transfer of title to such property to such purchaser, or by a seller of property pursuant to a real estate purchase contract subsequent to the transfer of title from such seller;
   (e)   A dwelling unit occupied by an employee of a landlord whose right to occupancy is conditional upon employment in or about the premises; and
   (f)   A dwelling unit in a cooperative occupied by a holder of a proprietary lease.
(Prior code § 193.1-2; Added Coun. J. 9-8-86, p. 33771; Corrected. 9-12-86, p. 33919; Amend Coun. J. 11-6-91, p. 7196; Amend Coun. J. 9-4-03, p. 7118, § 8; Amend Coun. J. 6-11-08, p. 29114, § 1)
5-12-030  Definitions.
   Whenever used in this chapter, the following words and phrases shall have the following meanings:
   (a)   “Dwelling unit” means a structure or the part of a structure that is used as a home, residence or sleeping place by one or more persons who maintain a household, together with the common areas, land and appurtenant buildings thereto, and all housing services, privileges, furnishings and facilities supplied in connection with the use or occupancy thereof, including garage and parking facilities.
   (b)   “Landlord” means the owner, agent, lessor or sublessor, or the successor in interest of any of them, of a dwelling unit or the building of which it is part.
   (c)   “Owner” means one or more persons, jointly or severally, in whom is vested all or part of the legal title to property, or all or part of the beneficial ownership and a right to present use and enjoyment of the premises, including a mortgagee in possession.
   (d)   “Person” means an individual, corporation, government, governmental subdivision or agency, business trust, estate, trust, partnership or association or any other legal or commercial entity.
   (e)   “Premises” means the dwelling unit and the structure of which it is a part, and facilities and appurtenances therein, and grounds, areas and facilities held out for the use of tenants.
   (f)   “Rent” means any consideration, including any payment, bonus, benefits or gratuity, demanded or received by a landlord for or in connection with the use or occupancy of a dwelling unit.
   (g)   “Rental agreement” means all written or oral agreements embodying the terms and conditions concerning the use and occupancy of a dwelling unit by a tenant.
   (h)   “Successor landlord” means any person who follows a landlord in ownership or control of a dwelling unit or the building of which it is part, and shall include a lienholder who takes ownership or control either by contract, operation of law or a court order. However, a “successor landlord” shall not include a receiver appointed pursuant to a court order.
   (i)   “Tenant” means a person entitled by written or oral agreement, subtenancy approved by the landlord or by sufferance, to occupy a dwelling unit to the exclusion of others.
(Prior code § 193.1-3; Added Coun. J. 9-8-86, p. 33771; Corrected. 9-12-86, p. 33919; Amend Coun. J. 11-6-91, p. 7196; Amend Coun. J. 5-12-10, p. 91084, § 1)
5-12-040  Tenant responsibilities.
   Every tenant must:
   (a)   Comply with all obligations imposed specifically upon tenants by provisions of the municipal code applicable to dwelling units, including Section 7-28-850;*
* Editor's note – Per Coun. J. 6-5-13, p. 55787, § 6, the text of paragraph (a) reading “...including Section 7-28-850” becomes effective on 12-2-13.
   (b)   Keep that part of the premises that he occupies and uses as safe as the condition of the premises permits;
   (c)   Dispose of all ashes, rubbish, garbage and other waste from his dwelling unit in a clean and safe manner;
   (d)   Keep all plumbing fixtures in the dwelling unit or used by the tenant as clean as their condition permits;
   (e)   Use in a reasonable manner all electrical, plumbing, sanitary, heating, ventilating, air conditioning and other facilities and appliances, including elevators, in the premises;
   (f)   Not deliberately or negligently destroy, deface, damage, impair or remove any part of the premises or knowingly permit any person on the premises with his consent to do so; and
   (g)   Conduct himself and require other persons on the premises with his consent to conduct themselves in a manner that will not disturb his neighbors' peaceful enjoyment of the premises.
(Prior code § 193.1-4; Added Coun. J. 9-8-86, p. 33771; Amend Coun. J. 11-6-91, p. 7196; Amend Coun. J. 6-5-13, p. 55787, § 3)
5-12-050  Landlord's right of access.
   A tenant shall not unreasonably withhold consent to the landlord to enter the dwelling unit:
   (a)   To make necessary or agreed repairs, decorations, alterations or improvements;
   (b)   To supply necessary or agreed services;
   (c)   To conduct inspections authorized or required by any government agency;
   (d)   To exhibit the dwelling unit to prospective or actual purchasers, mortgagees, workmen or contractors;
   (e)   To exhibit the dwelling unit to prospective tenants 60 days or less prior to the expiration of the existing rental agreement;
   (f)   For practical necessity where repairs or maintenance elsewhere in the building unexpectedly require such access;
   (g)   To determine a tenant's compliance with provisions in the rental agreement; and
   (h)   In case of emergency.
   The landlord shall not abuse the right of access or use it to harass the tenant. Except in cases where access is authorized by subsection (f) or (h) of this section, the landlord shall give the tenant notice of the landlord's intent to enter of no less than two days. Such notice shall be provided directly to each dwelling unit by mail, telephone, written notice to the dwelling unit, or by other reasonable means designed in good faith to provide notice to the tenant. If access is required because of repair work for common facilities or other apartments, a general notice may be given by the landlord to all potentially affected tenants that entry may be required. In cases where access is authorized by subsection (f) or (h) of this section, the landlord may enter the dwelling unit without notice or consent of the tenant. The landlord shall give the tenant notice of such entry within two days after such entry.
   The landlord may enter only at reasonable times except in case of an emergency. An entry between 8:00 a.m. and 8:00 p.m. or at any other time expressly requested by the tenant shall be presumed reasonable.
(Prior code § 193.1-5; Added Coun. J. 9-8-86, p. 33771; Amend Coun. J. 11-6-91, p. 7196)
5-12-060  Remedies for improper denial of access.
   If the tenant refuses to allow lawful access, the landlord may obtain injunctive relief to compel access or terminate the rental agreement pursuant to Section 5-12-130(b) of this chapter. In either case, the landlord may recover damages.
   If the landlord makes an unlawful entry or a lawful entry in an unreasonable manner or makes repeated unreasonable demands for entry otherwise lawful, but which have the effect of harassing the tenant, the tenant may obtain injunctive relief to prevent the recurrence of the conduct, or terminate the rental agreement pursuant to the notice provisions of Section 5-12-110(a). In each case, the tenant may recover an amount equal to not more than one month's rent or twice the damage sustained by him, whichever is greater.
(Prior code § 193.1-6; Added Coun. J. 9-8-86, p. 33771; Amend 11-6-91, p. 7196)
5-12-070  Landlord's responsibility to maintain.
   The landlord shall maintain the premises in compliance with all applicable provisions of the municipal code and shall promptly make any and all repairs necessary to fulfill this obligation.
(Prior code § 193.1-7; Added Coun. J. 9-8-86, p. 33771; Amend 11-6-91, p. 7196)
5-12-080  Security deposits.
   (a)   (1)   A landlord shall hold all security deposits received by him in a federally insured interest- bearing account in a bank, savings and loan association or other financial institution located in the State of Illinois. A security deposit and interest due thereon shall continue to be the property of the tenant making such deposit, shall not be commingled with the assets of the landlord, and shall not be subject to the claims of any creditor of the landlord or of the landlord's successors in interest, including a foreclosing mortgagee or trustee in bankruptcy.
      (2)   Notwithstanding subsection (a)(1), a landlord may accept the payment of the first month's rent and security deposit in one check or one electronic funds transfer, and deposit the check or electronic funds transfer into one account, if within 5 business days of the acceptance of the check or electronic transfer, the landlord transfers the amount of the security deposit into a separate account that complies with subsection (a)(1).
      (3)   The name and address of the financial institution where the security deposit will be deposited shall be clearly and conspicuously disclosed in the written rental agreement signed by the tenant. If no written rental agreement is provided, the landlord shall, within 14 days of receipt of the security deposit, notify the tenant in writing of the name and address of the financial institution where the security deposit was deposited.
      If, during the pendency of the rental agreement, a security deposit is transferred from one financial institution to another, the landlord shall, within 14 days of such transfer, notify the tenant in writing of the name and address of the new financial institution.
      (4)   Notwithstanding subsection (a)(1), a landlord shall not be considered to be commingling the security deposits with the landlord's assets if there is excess interest in the account in which the security deposits are deposited. “Excess interest” means the amount of money in excess of the total amount of security deposits deposited into the account plus any interest due thereon.
   (b)   (1)   Except as provided for in subsection (b)(2), any landlord who receives a security deposit from a tenant or prospective tenant shall give said tenant or prospective tenant at the time of receiving such security deposit a receipt indicating the amount of such security deposit, the name of the person receiving it and, in the case of the agent, the name of the landlord for whom such security deposit is received, the date on which it is received, and a description of the dwelling unit. The receipt shall be signed by the person receiving the security deposit. Failure to comply with this subsection shall entitle the tenant to immediate return of security deposit.
      (2)   Upon payment of the security deposit by means of an electronic funds transfer, the landlord shall give the tenant a receipt that complies with subsection (b)(1), or an electronic receipt that acknowledges the receipt of the security deposit. The electronic receipt shall set forth the date of the receipt of the security deposit, the amount of the deposit, a description of the dwelling unit and an electronic or digital signature, as those terms are defined in 5 ILCS 175/5-105, of the person receiving the deposit.
   (c)   A landlord who holds a security deposit or prepaid rent pursuant to this section for more than six months shall pay interest to the tenant accruing from the beginning date of the rental term specified in the rental agreement at the rate determined in accordance with Section 5-12-081 for the year in which the rental agreement was entered into. The landlord shall, within 30 days after the end of each 12-month rental period, pay to the tenant any interest, by cash or credit to be applied to the rent due.
   (d)   The landlord shall, within 45 days after the date that the tenant vacates the dwelling unit or within seven days after the date that the tenant provides notice of termination of the rental agreement pursuant to Section 5-12-110(g), return to the tenant the security deposit or any balance thereof and the required interest thereon; provided, however, that the landlord, or successor landlord, may deduct from such security deposit or interest due thereon for the following:
      (1)   Any unpaid rent which has not been validly withheld or deducted pursuant to state or federal law or local ordinance; and
      (2)   A reasonable amount necessary to repair any damage caused to the premises by the tenant or any person under the tenant's control or on the premises with the tenant's consent, reasonable wear and tear excluded. In case of such damage, the landlord shall deliver or mail to the last known address of the tenant within 30 days an itemized statement of the damages allegedly caused to the premises and the estimated or actual cost for repairing or replacing each item on that statement, attaching copies of the paid receipts for the repair or replacement. If estimated cost is given, the landlord shall furnish the tenant with copies of paid receipts or a certification of actual costs of repairs of damage if the work was performed by the landlord's employees within 30 days from the date the statement showing estimated cost was furnished to the tenant.
   (e)   In the event of a sale, lease, transfer of ownership or control or other direct or indirect disposition of residential real property by a landlord who has received a security deposit or prepaid rent from a tenant, the successor landlord of such property shall be liable to that tenant for any security deposit, including statutory interest, or prepaid rent which the tenant has paid to the transferor.
   The successor landlord shall, within 14 days from the date of such transfer, notify the tenant who made such security deposit by delivering or mailing to the tenant's last known address that such security deposit was transferred to the successor landlord and that the successor landlord is holding said security deposit. Such notice shall also contain the successor landlord's name, business address, and business telephone number of the successor landlord's agent, if any. The notice shall be in writing.
   The transferor shall remain jointly and severally liable with the successor landlord to the tenant for such security deposit or prepaid rent, unless and until such transferor transfers said security deposit or prepaid rent to the successor landlord and provides notice, in writing, to the tenant of such transfer of said security deposit or prepaid rent, specifying the name, business address and business telephone number of the successor landlord or his agent within ten days of said transfer.
   (f)   (1)   Subject to subsection (f)(2), if the landlord fails to comply with any provision of Section 5-12-080(a) – (e), the tenant shall be awarded damages in an amount equal to two times the security deposit plus interest at a rate determined in accordance with Section 5-12-081. This subsection does not preclude the tenant from recovering other damages to which he may be entitled under this chapter.
      (2)   If a landlord pays the interest on a security deposit or prepaid rent within the 30-day period provided for in subsection (c), or within the 45-day period provided for in subsection (d), whichever is applicable, but the amount of interest is deficient, the landlord shall not be liable for damages under subsection (f)(2) unless:
         (A)   the tenant gives written notice to the landlord that the amount of the interest returned was deficient; and
         (B)   within fourteen days of the receipt of the notice, the landlord fails to either:
            (i)   pay to the tenant the correct amount of interest due plus $50.00; or
            (ii)   provide to the tenant a written response which sets forth an explanation of how the interest paid was calculated.
      If the tenant disagrees with the calculation of the interest, as set forth in the written response, the tenant may bring a cause of action in a court of competent jurisdiction challenging the correctness of the written response. If the court determines that the interest calculation was not accurate, the tenant shall be awarded damages in an amount equal to two times the security deposit plus interest at a rate determined in accordance with Section 5-12-081.
(Prior code § 193.1-8; Added Coun. J. 9-8-86, p. 33771; Corrected. 9-12-86, p. 33919; Amend Coun. J. 11-6-91, p. 7196; Amend Coun. J. 5-14-97, p. 45166; Amend Coun. J. 3-31-04, p. 20916, § 3.23; Amend Coun. J. 5-12-10, p. 91084, § 1; Amend Coun. J. 7-28-10, p. 97304, § 1)
5-12-081  Interest rate on security deposits.
   During December of each year, the city comptroller shall review the status of banks within the city and interest rates on savings accounts, insured money market accounts and six (6) month certificates of deposit at commercial banks located within the city. On the first business day of each year, the city comptroller shall announce the rates of interest, as of the last business day of the prior month, on savings accounts, insured money market accounts and six (6) month certificates of deposit at the commercial bank having the most number of branches located within the city. The rates for money market accounts and for certificates of deposit shall be based on the minimum deposits for such investments. The comptroller shall calculate and announce the average of the three rates. The average of these rates so announced by the comptroller shall be the rate of interest on security deposits under rental agreements governed by this chapter and made or renewed after the most recent announcement.
(Added Coun. J. 5-14-97, p. 45166; Amend Coun. J. 5-14-08, p. 26210, § 25)
5-12-082  Interest rate notification.
   The city comptroller, after computing the rate of interest on security deposit governed by this chapter, shall cause the new rate of security deposit interest to be published for five consecutive business days in two or more newspapers of general circulation in the city. The mayor shall direct the appropriate city department to prepare and publish for free public distribution at government offices, libraries, schools and community organizations, a pamphlet or brochure describing the respective rights, obligations and remedies of landlords and tenants with respect to security deposits, including the new interest rate as well as the interest rate for each of the prior two years. The commissioner shall also distribute the new rate of security deposit interest, as well as the interest rate for each of the prior two years, through public service announcements to all radio and television outlets broadcasting in the city.
(Added Coun. J. 5-14-97, p. 45166)
5-12-090  Identification of owner and agents.
   A landlord or any person authorized to enter into an oral or written rental agreement on the landlord's behalf shall disclose to the tenant in writing at or before the commencement of the tenancy the name, address, and telephone number of:
   (a)   The owner or person authorized to manage the premises; and
   (b)   A person authorized to act for and on behalf of the owner for the purpose of service of process and for the purpose of receiving and receipting for notices and demands.
   A person who enters into a rental agreement and fails to comply with the requirements of this section becomes an agent of the landlord for the purpose of (i) service of process and receiving and receipting for notices and demands and (ii) performing the obligations of the landlord under this chapter and under the rental agreement.
   The information required to be furnished by this section shall be kept current and this section extends to and is enforceable against any successor landlord, owner, or manager.
   If the landlord fails to comply with this section, the tenant may terminate the rental agreement pursuant to the notice provisions of Section 5-12-110(a). If the landlord fails to comply with the requirements of this section after receipt of written notice pursuant to Section 5-12-110(a), the tenant shall recover one month's rent or actual damages, whichever is greater.
(Prior code § 193.1-9; Added Coun. J. 9-8-86, p. 33771; Corrected. 9-12-86, p. 33919; Amend Coun. J. 11-6-91, p. 7196)
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