An Act To Protect the Integrity of Security Deposits
Sec. 1. 14 MRSA §6035, sub-§1, as repealed and replaced by PL 1999, c. 213, §1, is amended to read:
(1) Notice of that transfer;
(2) Notice of the transferee's name and address; and
(3) A copy of the accounting of the amount of the security deposit transferred; or
If the landlord's interest is terminated by sale, then the accounting and transfer of funds must occur no later than at the real estate closing. A person in possession of a security deposit, including, but not limited to, the landlord, the landlord's agent or the landlord's executor, shall provide written proof of the accounting and transfer of funds to the landlord's successor in interest at the real estate closing.
A person in possession of a security deposit, including, but not limited to, the landlord, the landlord's agent or the landlord's executor, who fails to comply with this subsection commits a violation of the Maine Unfair Trade Practices Act.
summary
This bill requires a landlord who is selling or transferring property being rented to inform the buyer or transferee at the closing on the property of the security deposits paid by tenants of the property, to transfer those security deposits at the closing and to provide written proof at the closing of the disclosure of this information and the transfer of funds. This bill also specifies that failure to provide the accounting or to transfer the security deposits is a violation of the Maine Unfair Trade Practices Act.