as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to landlords and tenants; prohibiting the 1.3 taking of earnest collateral; providing for a civil 1.4 penalty; proposing coding for new law in Minnesota 1.5 Statutes, chapter 504. 1.6 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.7 Section 1. [504.38] [EARNEST MONEY.] 1.8 Subdivision 1. [DEFINITION.] For the purpose of this 1.9 section, "earnest collateral" means money given to a landlord 1.10 from a prospective tenant of a residential dwelling unit as a 1.11 condition of the landlord's refusing to consider other 1.12 prospective tenants for the same unit, but before a lease has 1.13 been agreed to. 1.14 Subd. 2. [EARNEST COLLATERAL LIMITATIONS.] A landlord may 1.15 not accept earnest collateral from a prospective tenant. 1.16 Subd. 3. [REMEDIES.] In addition to any other remedies, a 1.17 landlord who violates this section is liable to the payor of the 1.18 earnest collateral for twice the amount of the collateral paid, 1.19 plus costs and reasonable attorney fees.