Minnesota Session Laws - 1990, Regular Session

  

                         Laws of Minnesota 1990 

                        CHAPTER 451-S.F.No. 1087 
           An act relating to landlord and tenant relations; 
          providing standing for certain associations to bring 
          an action for tenant remedies; providing for actions 
          against certain unoccupied buildings; amending 
          Minnesota Statutes 1988, sections 504.23; 566.18, 
          subdivision 7, and by adding a subdivision; 566.19; 
          566.20, subdivision 1; 566.25; 566.28; and 566.29, 
          subdivision 3; Minnesota Statutes 1989 Supplement, 
          section 566.29, subdivisions 1 and 4. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
     Section 1.  Minnesota Statutes 1988, section 504.23, is 
amended to read:  
    504.23 [CODE VIOLATIONS, DISCLOSURE.] 
    All code violation records pertaining to a particular 
parcel of real property and the buildings, improvements and 
dwelling units located thereon kept by any state, county or city 
agency charged by the governing body of the appropriate 
political subdivision with the responsibility for enforcing a 
state, county or city health, housing, building, fire prevention 
or housing maintenance code shall be available to all persons 
having a reasonable need for the information contained in the 
records relating to the premises, at reasonable times and upon 
reasonable notice to the custodian of the records, for 
inspection, examination, abstracting or copying at the expense 
of the person obtaining the information.  The persons to whom 
the records shall be available under this section include but 
are not limited to the following persons and their 
representatives: 
    (a) any person having any legal or beneficial interest in 
the premises, including a tenant; 
    (b) any person considering in good faith the lease or 
purchase of the premises; and 
    (c) any person authorized to request an inspection under 
section 566.19; and 
    (d) a party to any action related to the premises, 
including actions maintained pursuant to sections 504.18 and 
566.18 to 566.33. 
    Sec. 2.  Minnesota Statutes 1988, section 566.18, 
subdivision 7, is amended to read: 
    Subd. 7.  [BUILDING.] "Building" means: 
    (a) any building used in whole or in part as a dwelling, 
including single family homes, multiple family units such as 
apartments, and structures containing both dwelling units and 
units used for nondwelling purposes, and also includes a 
manufactured home park, or 
    (b) any unoccupied building which was previously used in 
whole or in part as a dwelling and which constitutes a nuisance 
under section 561.01. 
    Sec. 3.  Minnesota Statutes 1988, section 566.18, is 
amended by adding a subdivision to read: 
    Subd. 9.  [NEIGHBORHOOD ORGANIZATION.] "Neighborhood 
organization" means a nonprofit corporation incorporated under 
chapter 317 that satisfies clauses (1) and (2).  
    The corporation shall:  
    (1) designate in its articles of incorporation or bylaws a 
specific geographic community to which its activities are 
limited; and 
    (2) be formed for the purposes of promoting community 
safety, crime prevention, and housing quality in a 
nondiscriminatory manner. 
     For purposes of this chapter, an action taken by a 
neighborhood organization with the written permission of a 
tenant means, with respect to a building with multiple dwelling 
units, an action taken by the neighborhood organization with the 
written permission of the tenants of a majority of the units. 
    Sec. 4.  Minnesota Statutes 1988, section 566.19, is 
amended to read: 
    566.19 [INSPECTION, NOTICE.] 
    Subdivision 1.  Upon demand by a tenant, neighborhood 
organization with the written permission of a tenant or, if a 
building is unoccupied, by a neighborhood organization, an 
inspection shall be made by the local authority charged with 
enforcing the code claimed to be violated. 
    Subd. 2.  After an inspection of a building has been made 
upon demand by a tenant or neighborhood organization with the 
written permission of a tenant, the owner or the owner's agent 
and the complaining tenant or neighborhood organization shall be 
informed in writing by the inspector of any code violations 
discovered and a reasonable period of time shall be allowed in 
which to correct the violations. 
    Subd. 3.  Where an inspection has been made, no action 
shall be brought pursuant to sections 566.18 to 566.33 except on 
expiration of the time thus granted without satisfactory repairs 
being accomplished to remove the code violations unless the 
tenant or neighborhood organization with the written permission 
of a tenant shall allege the time is excessive. 
    Subd. 4.  No action may be commenced pursuant to sections 
566.18 to 566.33 by a tenant of a building in which a violation 
as defined in section 566.18, subdivision 6, clauses (b) or (c), 
is alleged to exist or by a neighborhood organization with the 
written permission of a tenant of a building in which a 
violation as defined in section 566.18, subdivision 6, clause 
(b), is alleged to exist unless the owner is informed in writing 
of the alleged violation at least 14 days prior to the 
commencement of the action.  The notice requirement may be 
waived upon a finding by the court that the owner cannot be 
located despite diligent efforts. 
    Sec. 5.  Minnesota Statutes 1988, section 566.20, 
subdivision 1, is amended to read: 
    Subdivision 1.  An action may be brought in county district 
court, or municipal court in the counties of Hennepin, Ramsey or 
St. Louis, by any tenant of a building in which a violation, as 
defined in section 566.18, subdivision 6, is alleged to exist, 
or by any neighborhood organization with the written permission 
of a tenant of a building in which a violation, as defined in 
section 566.18, subdivision 6, clause (a) or (b), is alleged to 
exist, or by a neighborhood organization that has within its 
geographical area an unoccupied building in which a violation, 
as defined in section 566.18, subdivision 6, clause (a) or (b), 
is alleged to exist, or state, county or local department, or 
authority, charged with the enforcement of codes relating to 
health, housing, or building maintenance. 
    Sec. 6.  Minnesota Statutes 1988, section 566.25, is 
amended to read: 
    566.25 [JUDGMENT.] 
    Upon finding the complaint proved, the court may, in its 
discretion, do any or all of the following, either alone or in 
combination: 
     (a) Order the owner to remedy the violation or violations 
found by the court to exist if the court is satisfied that 
corrective action will be undertaken promptly; or 
     (b) Order the tenant to remedy the violation or violations 
found by the court to exist and deduct the cost from the rent 
subject to the terms as the court determines to be just; or 
    (c) Appoint an administrator with powers as set out in 
section 566.29, and 
    (1) direct that rents due: 
    (i) on and from the day of entry of judgment, in the case 
of petitioning tenants or neighborhood organizations, and 
    (ii) on and from the day of service of the judgment on all 
other tenants and commercial tenants of the building, if any, 
shall be deposited with the administrator appointed by the 
court, and 
    (2) direct that the administrator use the rents collected 
for the purpose of remedying the violations found to exist by 
the court paying the debt service, taxes and insurance, and 
providing the services necessary to the ordinary operation and 
maintenance of the building which the owner is obligated to 
provide but fails or refuses to provide; or 
    (d) Find the extent to which any uncorrected violations 
impair the tenants' use and enjoyment of the premises contracted 
for and order the rent abated accordingly.  Should the court 
choose to enter judgment under this paragraph the parties shall 
be informed and the court shall find the amount by which the 
rent shall be abated; and 
    (e) After termination of administration, continue the 
jurisdiction of the court over the building for a period of one 
year and order the owner to maintain the building in compliance 
with all applicable state, county, and city health, safety, 
housing, building, fire prevention, and housing maintenance 
codes; and 
    (e) (f) Grant any other relief the court deems just and 
proper, including a judgment against the owner for reasonable 
attorney fees, not to exceed $500, in the case of a prevailing 
tenant or neighborhood organization.  The $500 limitation does 
not apply to awards made under section 549.21 or other specific 
statutory authority.  
    Sec. 7.  Minnesota Statutes 1988, section 566.28, is 
amended to read: 
    566.28 [EVICTION PROCEEDINGS BY OWNER LIMITED.] 
    A tenant may not be evicted, nor may the tenant's 
obligations under a rental agreement be increased nor the 
services decreased, if the eviction or increase of obligations 
or decrease of services is intended as a penalty for the 
tenant's or neighborhood organization's complaint of a violation.
The burden of proving otherwise shall be on the owner if said 
eviction or increase of obligations or decrease of services 
occurs within 90 days after the filing of the complaint, unless 
it is found that the complaint was not made in good faith.  
After 90 days the burden of proof shall be on the tenant.  
    Sec. 8.  Minnesota Statutes 1989 Supplement, section 
566.29, subdivision 1, is amended to read: 
    Subdivision 1.  [ADMINISTRATOR.] The administrator may be a 
person, local government unit or agency, other than an owner of 
the building, the inspector, the complaining tenant or any 
person living in the complaining tenant's dwelling unit.  If a 
state or court agency is authorized by statute, ordinance or 
regulation to provide persons or neighborhood organizations to 
act as administrators under this section, the court may appoint 
such persons or neighborhood organizations as administrators to 
the extent they are available.  
    Sec. 9.  Minnesota Statutes 1988, section 566.29, 
subdivision 3, is amended to read: 
    Subd. 3.  The court may allow a reasonable amount for the 
services of administrators, and the expense of the 
administration from any rent moneys, or upon termination of 
administration, may enter judgment against the owner in a 
reasonable amount for the services and expenses incurred by the 
administrator.  
    Sec. 10.  Minnesota Statutes 1989 Supplement, section 
566.29, subdivision 4, is amended to read: 
    Subd. 4.  [POWERS.] The administrator is authorized to: 
    (a) Collect rents from tenants and commercial tenants, 
evict tenants and commercial tenants for nonpayment of rent or 
other cause, rent enter into leases for vacant dwelling units on 
a month to month basis, rent vacant commercial units with the 
consent of the owner and exercise all other powers necessary and 
appropriate to carry out the purposes of Laws 1973, chapter 611; 
    (b) Contract for the reasonable cost of materials, labor 
and services necessary to remedy the violation or violations 
found by the court to exist and for the rehabilitation of the 
property in order to maintain safe and habitable conditions over 
the useful life of the property, and make disbursements for 
payment therefor from funds available for the purpose; 
    (c) Provide any services to the tenants which the owner is 
obligated to provide but refuses or fails to provide, and pay 
for them from funds available for the purpose; 
    (d) Petition the court, after notice to the parties, for an 
order allowing the administrator to encumber the premise to 
secure funds to the extent necessary to cover the cost of 
materials, labor, and services, including reasonable fees for 
the administrator's services, necessary to remedy the violation 
or violations found by the court to exist and for rehabilitation 
of the property in order to maintain safe and habitable 
conditions over the useful life of the property, and to pay for 
them from funds derived from the encumbrance; and 
    (e) Petition the court, after notice to the parties, for an 
order allowing the administrator to receive funds made available 
for this purpose by the municipality to the extent necessary to 
cover the cost of materials, labor, and services necessary to 
remedy the violation or violations found by the court to exist 
and for rehabilitation of the property in order to maintain safe 
and habitable conditions over the useful life of the property, 
and pay for them from funds derived from the municipal sources.  
The municipality shall recover disbursements by special 
assessment on the real estate affected, bearing interest at the 
rate determined by the municipality, not exceeding the rate 
established for finance charges for open-end credit sales under 
section 334.16, subdivision 1, clause (b), with the assessment, 
interest and any penalties to be collected the same as special 
assessments made for other purposes under state statute or 
municipal charter. 
    Presented to the governor April 12, 1990 
    Signed by the governor April 16, 1990, 4:37 p.m.