Subdivision 1. Definition. For the purpose of this section, "prelease deposit" means payment given to a landlord from a prospective tenant of a residential dwelling unit before the prospective tenant and the landlord have entered into a rental agreement. "Prelease deposit" does not include the payment of a reasonable applicant screening fee used to conduct a background check on the prospective tenant.
Subd. 2. Limitations. (a) A prelease deposit may be accepted only if the landlord and prospective tenant enter into a conspicuous written agreement that includes:
(1) the circumstances under which it will be returned; and
(2) that the landlord is required to return the prelease deposit within seven days of the occurrence of a circumstance described in clause (1).
(b) "Return" means postmarked within seven days except that upon the prospective tenant's request, a landlord may destroy the payment or hold it for retrieval by the tenant instead of returning it by mail.
Subd. 3. Application on entry into rental agreement. If a prospective tenant and landlord do enter into a rental agreement, the prelease deposit must be applied to that tenant's security deposit or rent.
Subd. 4. Remedies. In addition to any other remedies, a landlord who violates this section is liable to the payor of the prelease deposit for the amount of the deposit paid, plus one-half of that amount as a penalty. A landlord who enters into a rental agreement with a tenant is not liable under this section unless the landlord failed to comply with subdivision 3.
1999 c 97 s 1; 1999 c 199 art 1 s 174
Structure Minnesota Statutes
Chapters 500 - 515B — Property And Property Interests
Chapter 504B — Landlord And Tenant
Section 504B.001 — Definitions.
Section 504B.101 — Distress For Rent.
Section 504B.111 — Written Lease Required; Penalty.
Section 504B.113 — Service And Support Animal Documentation.
Section 504B.115 — Tenant To Be Given Copy Of Lease.
Section 504B.116 — Prorated Rent Required.
Section 504B.118 — Receipt For Rent Paid In Cash.
Section 504B.121 — Tenant May Not Deny Title; Exception.
Section 504B.125 — Person In Possession Liable For Rent; Evidence.
Section 504B.131 — Rent Liability; Uninhabitable Buildings.
Section 504B.135 — Terminating Tenancy At Will.
Section 504B.141 — Urban Real Estate; Holding Over.
Section 504B.145 — Restriction On Automatic Renewals Of Leases.
Section 504B.146 — Lease Duration Notice.
Section 504B.147 — Time Period For Notice To Quit Or Rent Increase.
Section 504B.155 — Tenant Must Give Cold Weather Notice Before Vacation Of Building.
Section 504B.161 — Covenants Of Landlord Or Licensor.
Section 504B.165 — Unlawful Destruction; Damages.
Section 504B.171 — Covenant Of Landlord And Tenant Not To Allow Unlawful Activities.
Section 504B.172 — Recovery Of Attorney Fees.
Section 504B.173 — Applicant Screening Fee.
Section 504B.175 — Prelease Deposit.
Section 504B.181 — Landlord Or Agent Disclosure.
Section 504B.185 — Inspection; Notice.
Section 504B.195 — Disclosure Required For Outstanding Inspection And Condemnation Orders.
Section 504B.204 — Action For Rental Of Condemned Residential Premises.
Section 504B.205 — Residential Tenant's Right To Seek Police And Emergency Assistance.
Section 504B.206 — Right Of Victims Of Violence To Terminate Lease.
Section 504B.211 — Residential Tenant's Right To Privacy.
Section 504B.215 — Billing; Loss Of Services.
Section 504B.221 — Unlawful Termination Of Utilities.
Section 504B.225 — Intentional Ouster And Interruption Of Utilities; Misdemeanor.
Section 504B.231 — Damages For Ouster.
Section 504B.235 — Definitions.
Section 504B.241 — Residential Tenant Reports; Disclosure And Corrections.
Section 504B.245 — Tenant Report; Remedies.
Section 504B.251 — Recording Of Notice Of Cancellation Of Leases.
Section 504B.255 — Termination Notice Requirement For Federally Subsidized Housing.
Section 504B.261 — Pets In Subsidized Disability Accessible Rental Housing Units.
Section 504B.265 — Termination Of Lease Upon Death Of Tenant.
Section 504B.271 — Tenant's Personal Property Remaining In Premises.
Section 504B.275 — Attorney General's Statement; Distribution.
Section 504B.281 — Forcible Entry And Unlawful Detainer Prohibited.
Section 504B.285 — Eviction Actions; Grounds; Retaliation Defense; Combined Allegations.
Section 504B.291 — Eviction Action For Nonpayment; Redemption; Other Rights.
Section 504B.301 — Eviction Action For Unlawful Detention.
Section 504B.305 — Notice Of Seizure Provision.
Section 504B.311 — No Eviction Action If Tenant Holds Over For Three Years.
Section 504B.315 — Restrictions On Eviction Due To Familial Status.
Section 504B.321 — Complaint And Summons.
Section 504B.325 — Expedited Relief.
Section 504B.331 — Summons; How Served.
Section 504B.335 — Answer; Trial.
Section 504B.341 — Continuance Of Trial.
Section 504B.345 — Judgment; Execution.
Section 504B.351 — Failure Of Jury To Reach A Verdict.
Section 504B.355 — Form Of Verdict.
Section 504B.361 — Forms Of Summons And Writ.
Section 504B.365 — Execution Of The Writ Of Recovery Of Premises And Order To Vacate.
Section 504B.375 — Unlawful Exclusion Or Removal; Action For Recovery Of Possession.
Section 504B.381 — Emergency Tenant Remedies Action.
Section 504B.385 — Rent Escrow Action To Remedy Violations.
Section 504B.391 — Violations Of Building Repair Orders.
Section 504B.431 — Service Of Judgment.
Section 504B.435 — Landlord's Right To Collect Rent Suspended.
Section 504B.441 — Residential Tenant May Not Be Penalized For Complaint.
Section 504B.445 — Administrator.
Section 504B.451 — Receivership Revolving Loan Fund.
Section 504B.455 — Removal Of Administrator.
Section 504B.461 — Termination Of Administration.