What a Landlord Cannot Do in Alabama

What a Landlord Cannot Do in Alabama

Landlords who retaliate are at risk of having the tenant terminate the lease and sue the landlord. If a court decides the landlord has retaliated against the tenant, the following penalties may be assessed: [1]

When Can a Landlord Retaliate?

Under landlord-tenant law in Alabama, there is never a time that a landlord can retaliate against a tenant for exercising their rights.

However, actions that may seem retaliatory can be legal if within the law. For instance, a landlord may increase the rent at the end of the lease term, and terminate a lease or evict a tenant for violating the terms of the agreement.

2. Discriminate

Under the Fair Housing Act, landlords cannot discriminate against a tenant based on protected characteristics such as race, color, national origin, religion, sex, familial status, or disability.

Discriminatory acts include:

A landlord requires female tenants to pay more rent than male tenants.

Consequences for Landlords Who Discriminate

Landlords who discriminate are at risk of having the tenant terminate the lease and sue the landlord. When suing the landlord, a tenant may either file a complaint with the U.S. Department of Housing and Urban Development (HUD) or the federal court in the jurisdiction where the tenant resides.

If either HUD or a federal court decides the landlord has discriminated against the tenant, the tenant may be eligible for the following remedies: [2]

When Can a Landlord Discriminate?

In Alabama, a landlord can never discriminate against a tenant, except in one instance. The exception is known as the “Mrs. Murphy Exemption”.

The “Mrs. Murphy” exemption provides that if a dwelling has four or fewer rental units and the owner lives in one of those units, that owner is exempt from the Fair Housing Act. Therefore, a landlord would be able to discriminate against tenants. [3]

There is a blanket ban on a landlord discriminating against the tenant because of race. No matter the Mrs. Murphy exemption, a landlord can never discriminate against a tenant because of race.

Furthermore, the exemption does not apply to rental advertisements. For example, the owner of the dwelling cannot be discriminatory in their advertisements by saying that people of a certain sexual orientation or race need not apply just because the dwelling itself is exempt from the Fair Housing Act.

3. Evict Without Cause

In Alabama, landlords cannot evict a tenant or force them to vacate the rental premises without legal cause that a tenant violated the lease.

A landlord may have legal grounds for evicting a tenant if the tenant: [4]

Consequences for Landlords Who Evict Tenants Without Cause

Landlords who evict their tenants without legal cause will be liable to the tenant for certain damages. If a court finds the landlord evicted the tenant without cause, the landlord may be liable for:

Once a court finds there was no cause for eviction, tenants will be allowed to return into the leased premises.

When Can a Landlord Evict a Tenant?

In Alabama, a landlord cannot legally evict a tenant without cause. However, a landlord would be able to evict a tenant on legal grounds such as the tenant not paying rent on time, staying after the lease ends, violating lease terms or not upholding responsibilities under Alabama law.

Eviction proceedings include:

Ensure that the tenant has violated the lease terms prior to initiating an eviction lawsuit.

4. Increase Rent During the Lease Term

A landlord in Alabama cannot raise the rent as often as they want nor increase it by an unreasonable amount during the life of the lease term. A rent increase will be illegal if it is done in any of three instances:

Consequences for Landlords Who Raise Rent

Unless written into the lease, a landlord cannot increase rent prior to the end of the contract. [5] When landlords do raise the rent for the aforementioned reasons, they will be in violation of the lease, and the tenant will be able to terminate the lease. Landlords may also be charged fines and penalties associated with increasing rent.

Before raising the rent, a landlord should ensure that it is done after the lease term has ended. If the proper procedure is outlined in the lease, those procedures should be followed.

When Can a Landlord Increase the Rent?

A landlord can increase rent at the end of any lease term. A lease is a legally binding contract, and the landlord must abide by the terms, including the set monthly rent. However, there are no control laws in Alabama, so any time a lease expires, the landlord can raise the rent as much as they like and allow the tenant the chance to renew at the new rate.

If the lease is for two years, the landlord can only raise the rent every two years, but if it’s a month-to-month lease, they can raise it every 30 days if they so choose.

5. Withhold Security Deposits

In Alabama, a landlord may not withhold the tenant’s security deposit for any disallowed reason. [6]

For example, a landlord would be unable to withhold the security deposit for property damage incurred from normal wear and tear. Normal wear and tear is deterioration or damage that happens as a result of a tenant living in and using the rental unit in a reasonable manner.

Consequences for Landlords Who Withhold Security Deposits

A landlord who withholds a tenant’s security deposit will be responsible for repaying the tenant the whole security deposit amount. Furthermore, the landlord may also be on the hook for attorney’s fees and three times the amount of the security deposit.

When Can a Landlord Withhold a Tenant’s Security Deposit?

A landlord will be able to withhold a tenant’s security deposit for certain reasons. These reasons include: [6]

Should there be any deductions, the landlord must provide an itemized list of deductions that were made within 30 days.

6. Violate the Covenant of Quiet Enjoyment

Landlords in Alabama cannot violate the covenant of quiet enjoyment, which is an implied term in every lease that guarantees the tenant will have quiet and peaceful possession of the leased premises.

There are several ways a tenant’s right to quiet enjoyment can be violated. Some common examples of violations include:

A landlord would be in violation of the covenant of quiet enjoyment if they continuously allow a tenant to yell racial slurs at another tenant.

Consequences for Landlords Who Violate the Covenant of Quiet Enjoyment

There are different recourse options that tenants can take when their rights are violated, including but not limited to:

Any of these actions would have a negative impact on the landlord. The landlord could also be liable for compensation such as moving expenses, attorney’s fees and other expenses.

When Can a Landlord Violate the Covenant of Quiet Enjoyment?

In Alabama, a landlord cannot violate the covenant of quiet enjoyment under any circumstances.

However, actions that seem to violate the covenant of quiet enjoyment may be legal in certain circumstances. For example, a landlord may enter the premises without providing notice to the tenant, in the event of an emergency.

A landlord enters into a tenant’s premise because there is evidence of a flood.

7. Violate the Warranty of Habitability

In Alabama, landlords must uphold the implied warranty of habitability, which is guaranteed in leases and ensures that the leased premises meet habitability requirements.

There are several ways a landlord may violate the warranty of habitability. Some common examples of violations include:

A landlord violates the warranty of habitability, if, after notice of shutting off, they do not repair the water system in a reasonable amount of time.

Consequences for Landlords Who Violate the Warranty of Habitability

When a landlord violates the warranty of habitability, a tenant is entitled to relief such as:

When Can a Landlord Violate the Warranty of Habitability?

Landlords in Alabama cannot violate the warranty of habitability at any time.

8. Commit Constructive Eviction

A landlord in Alabama cannot constructively evict tenants from the leased premises.

Constructive eviction is a circumstance where a tenant’s use of the property is so significantly impeded by actions under the landlord’s authority that the tenant has no alternative but to vacate the premises

Examples of constructive eviction include:

Consequences for Landlords Who Constructively Evict Tenants

Landlords who evict their tenants without just cause will be liable to the tenant for certain damages. If a court finds the landlord evicted the tenant without cause, the landlord may be liable for:

Once a court finds there was no cause for eviction, tenants will be allowed to return to the leased premises.

When Can a Landlord Constructively Evict a Tenant?

In Alabama, a landlord cannot withhold services or force out a tenant so as to constructively evict them.

Although, if a tenant has violated the lease terms, then the landlord can perform actions that are generally associated with constructive eviction. After lease termination, landlords are not contractually obligated to provide the mandatory services outlined in the lease.

9. Defraud Tenants

When landlords communicate with tenants, they cannot make any statements under false pretenses, which may lead the tenant to believe something that is not true.

There are many ways in which a landlord can commit fraud, including:

A landlord may not tell the tenant that they can pay the rent in a certain way, and then fail to accept that method of payment at a later time.

Consequences for Landlords Who Defraud Tenants

Landlords who defraud current and prospective tenants may face litigation. Depending on the court, the tenant may be entitled to:

When Can a Landlord Defraud Tenants?

In Alabama, landlords cannot defraud tenants under any circumstance.

10. Fail to Pass State Inspections

Prior to renting out leased premises, landlords must register the rental premises with the proper authorities. Landlords must then conduct a proper inspection so that the premises are in a habitable condition for the tenant.

Consequences for Landlords Failing to Pass State Inspections

Failure to register the premises and conduct an inspection may lead to fines and other taxes.

When Can a Landlord Fail to Pass State Inspections?

Landlords must always pass state inspections to lease out the rental property.

Can a Landlord Deny Sublessees or Assignees?

Unless prior written consent has already been granted, a landlord can prohibit a tenant from subletting in Alabama. A landlord reserves the right to deny any and all future requests from a tenant to sublease. However, a landlord cannot deny a qualified sublessee or assignee.

A qualified sublessee or assignee is one that:

Consequences for Landlords Who Deny Qualified Sublessees or Assignees

When a landlord denies a qualified subtenant or assignee, the original tenant may sue the landlord for damages. A tenant may be able to recover money equivalent to the amount of monthly rent for which the landlord disallowed the prospective subtenant or assignee from making payments.

Furthermore, damages associated with the landlord’s failure to mitigate damages may be possible. The duty to mitigate damages exists where the landlord must take reasonable steps to re-rent the unit to a replacement tenant.

When Can a Landlord Deny a Sublessee or Assignee?

A landlord can deny a sublessee when:

Can a Landlord Charge Unlimited Amounts for the Security Deposit?

In Alabama, a landlord can charge an unlimited amount for the security deposit. There are no rent control laws capping the security deposit amount. However, landlords are expected to charge only a reasonable amount for the security deposit.

Generally, a reasonable amount for a Alabama security deposit could be two times the amount of rent. So, if the monthly rent is $1,000, a landlord could require the tenant to pay $2,000 as a security deposit.

Can a Landlord Deduct Expenses From the Security Deposit?

Landlords in Alabama can deduct expenses from the security deposit[6].

A landlord will be able to withhold a tenant’s security deposit for certain reasons. These reasons include:

Can a Landlord Sue a Tenant for Lease Violations?

In Alabama, a landlord can sue a tenant for violating the lease. Common lease violations include:

Landlords can recover damages such as unpaid rent, costs of property damage the tenant caused and eviction of the tenant.

Can a Landlord Enter into a Tenant’s Premises During an Emergency?

A landlord can enter into a tenant’s premise when there is an emergency[7].

In practice, a landlord should try to give at least 24 hours’ notice before entering a rented apartment to make (or assess for) repairs or show the unit to prospective new tenants.

In the event of an emergency, such as a fire, burst water pipe, or gas leak, landlords have the right to enter without notice. They may also enter the premises if a tenant has moved out without notifying the tenant or if the landlord has a court order to do so.

Can a Landlord Conduct a Background Check on Prospective Tenants?

A landlord in Alabama can conduct a background check on prospective tenants. In Alabama, landlords must make available to the applicant, printed notice of the landlord’s tenant selection criteria, including:

In Alabama, there are usually costs associated with background checks.

Can a Landlord Charge Late Fees for Late Rent?

In Alabama, a landlord can charge late fees for late rent. According to statute, a landlord can charge up to a certain percentage of the monthly rent as a late penalty. If the landlord is going to charge a late fee, the following requirements need to be met:

  1. Notice of the fee is included in the written lease
  2. The fee is reasonable

Can a Landlord Set Occupancy Limits?

Alabama law requires that landlords set occupancy limits depending on the type of property the landlord owns.

Generally, the maximum number of adults that a landlord may allow to occupy a dwelling is three times the number of bedrooms in the premises. There are certain exceptions allowing a higher occupancy limit such as state or federal laws that allow a higher occupancy rate or if an adult is seeking temporary sanctuary from family violence.

Can a Landlord Require Certain Forms of Payment?

A landlord in Alabama can require certain forms of payment.

Alabama law does not say how a tenant must pay their rent. It does not discuss rules a landlord might impose that would make tenants pay a specific way, like online or with a money order. How a tenant must pay the rent will depend on the specific lease.

Alabama law ensures that landlords will provide the option for tenants to pay in cash, unless the lease states otherwise. When a tenant pays in cash, a landlord must provide a written receipt confirming payment.

Can a Landlord Charge an Application Fee?

In Alabama, a landlord can charge an application fee associated with a rental application. The fee is to pay the landlord’s cost of running a background check on a prospective tenant.

If the landlord rejects an applicant and the landlord has not made proper notice, the landlord will have to return the application fee. Furthermore, if an applicant requests a landlord to mail a refund of the applicant’s application fee to the applicant, the landlord shall mail the refund check to the applicant.

Sources

A landlord may not retaliate by discriminatorily increasing rent or decreasing services or by bringing or threatening to bring an action for possession because the tenant has complained to a governmental agency charged with responsibility for enforcement of a building or housing code of a violation applicable to the premises materially affecting health and safety.

If neither party elects to have a federal civil trial before the 20-day Election Period expires, HUD will promptly schedule a hearing for your case before an ALJ…payment of damages.

Except for subdivision (3) of Section 24-8-4, Sections 24-8-4 and 24-8-6 do not apply to rooms or units in dwellings containing living quarters occupied or intended to be occupied by no more than four families living independently of each other, if the owner actually maintains and occupies one of the living quarters as his or her residence

If there is a material noncompliance by the tenant with the rental agreement, an intentional misrepresentation of a material fact in a rental agreement or application, or a noncompliance with Section 35-9A-301 materially affecting health and safety, the landlord may deliver a written notice to terminate the lease to the tenant specifying the acts and omissions constituting the breach and that the rental agreement will terminate upon a date.

A local governmental unit shall not enact, maintain, or enforce an ordinance, resolution, or rule that would have the effect of controlling the amount of rent charged for leasing private property. This section does not impair the right of any local governmental unit to manage and control property in which the local governmental unit has a property interest.

Upon termination of the tenancy, money held by the landlord as security may be applied to the payment of accrued rent and the amount of damages that the landlord has suffered by reason of the tenant’s noncompliance with Section 35-9A-301 all as itemized by the landlord in a written notice delivered to the tenant together with the amount due 60 days after termination of the tenancy and delivery of possession.

A landlord shall not abuse the right of access or use it to harass the tenant. Except as provided in this section or unless it is impracticable to do so, the landlord may show the premises at any reasonable time by giving the tenant at least two days’ notice of the landlord’s intent to enter and may enter only at reasonable times.

A landlord shall comply with the requirements of applicable building and housing codes materially affecting health and safety; make all repairs and do whatever is necessary to put and keep the premises in a habitable condition; keep all common areas of the premises in a clean and safe condition.