Landlord-Tenant Law and Restoration Agreements

By Lane V. Erickson, Attorney

Whenever a “Reasonable Modification” has been made to a property rented to a tenant, the issue of restoring the property comes up.  In most instances, the landlord has a right to “restore” or to have the tenant restore the premises to the condition they were in before the modification occurred.

So the question arises, it is legal for a landlord to require a tenant to sign a “Restoration Agreement” when a modification is made.  The answer to this questions is controlled by language in the Fair Housing Act itself.  According to the applicable section of the Fair Housing Act:

In the case of a rental, the landlord may, where it is reasonable to do so, condition permission for a modification on the renter agreeing to restore the interior of the premises to the condition that existed before the modification, reasonable wear and tear excepted. The landlord may not increase for handicapped persons any customarily required security deposit. However, where it is necessary in order to ensure with reasonable certainty that funds will be available to pay for the restorations at the end of the tenancy, the landlord may negotiate as part of such a restoration agreement a provision requiring that the tenant pay into an interest bearing escrow account, over a reasonable period, a reasonable amount of money not to exceed the cost of the restorations. The interest in any such account shall accrue to the benefit of the tenant.

(c) The application of paragraph (a) of this section may be illustrated by the following examples:

EXAMPLE 1:

A tenant with a handicap asks his or her landlord for permission to install grab bars in the bathroom at his or her own expense. It is necessary to reinforce the walls with blocking between studs in order to affix the grab bars. It is unlawful for the landlord to refuse to permit the tenant, at the tenant’s own expense, from making the modifications necessary to add the grab bars. However, the landlord may condition permission for the modification on the tenant agreeing to restore the bathroom to the condition that existed before the modification, reasonable wear and tear excepted. It would be reasonable for the landlord to require the tenant to remove the grab bars at the end of the tenancy. The landlord may also reasonably require that the wall to which the grab bars are to be attached be repaired and restored to its original condition, reasonable wear and tear excepted. However, it would be unreasonable for the landlord to require the tenant to remove the blocking, since the reinforced walls will not interfere in any way with the landlord’s or the next tenant’s use and enjoyment of the premises and may be needed by some future tenant.

EXAMPLE 2:

An applicant for rental housing has a child who uses a wheelchair. The bathroom door in the dwelling unit is too narrow to permit the wheelchair to pass. The applicant asks the landlord for permission to widen the doorway at the applicant’s own expense. It is unlawful for the landlord to refuse to permit the applicant to make the modification. Further, the landlord may not, in usual circumstances, condition permission for the modification on the applicant paying for the doorway to be narrowed at the end of the lease because a wider doorway will not interfere with the landlord’s or the next tenant’s use and enjoyment of the premises.

24 CFR 100.203 (a) and (c).

Based upon the language quoted above from the Fair Housing Act, it appears that a landlord can require a tenant in most circumstances to sign a restoration agreement before the landlord is required to provide a modification to the premises for the tenants disability.

If you are a landlord or a tenant and you have questions about a restoration agreement, we can help.  Call us toll free at 877-232-6101 or 208-232-6101 for a consultation with Lane Erickson and the Racine Olson team of Landlord and Tenant Law and Real Estate attorneys in Idaho. You can also email Lane Erickson directly at lve@racinelaw.net.  We will answer your Idaho Landlord and Tenant Law and Real Estate questions and will help you solve your Idaho Landlord and Tenant Law and Real Estate needs.

 

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