A Michigan residential lease agreement (“rental agreement”) is a legal contract between a landlord overseeing a rental property and a tenant using the property. State and local laws set the rules for rental agreements, such as laws regulating the use of a tenant’s security deposit.
Michigan Residential Lease Agreement Disclosures
These disclosures are required for residential lease agreements in Michigan:
| Disclosure | Applicable To |
|---|---|
| Landlord Name/Address | All Units |
| Truth In Renting Act | All Units |
| Domestic Violence | All Units |
| Move-In Checklist/Security Deposit Notice | All Leases Collecting a Security Deposit |
| Lead Paint | All Units Built Before 1978 |
Landlord’s Name and Address
Applies to all Michigan rentals.
Michigan leases must contain the name and address of the landlord (or authorized agent). This allows required communication (for example, about repairs) to happen in a smooth way. For this reason, most leases also include phone numbers and email addresses.
Contact information most often is written in the lease agreement, for maximum convenience. The landlord must notify the tenant whenever there’s a change in contact information.
Truth in Renting Act Disclosure
Applies to all Michigan rentals.
Michigan rental agreements must include a general statement of the rights a tenant has under state law. This is a requirement of the state Truth in Renting Act.
The law provides the exact language to be used for this disclosure:
NOTICE: Michigan law establishes rights and obligations for parties to rental agreements. This agreement is required to comply with the Truth in Renting Act. If you have a question about the interpretation or legality of a provision of this agreement, you may want to seek assistance from a lawyer or other qualified person.
Domestic Violence Protection Disclosure
Applies to all Michigan rentals.
Michigan law allows a tenant to cancel the lease without penalty in the event of domestic violence. Rental agreements must include notice that a tenant with a certified victim status may cancel the lease by giving appropriate notice.
The disclosure must use the following language, placed in a prominent section of the rental agreement and typed in a font not less than 12 points, or in a legible print with letters not smaller than 1/8 inch:
A tenant who has a reasonable apprehension of present danger to him or her or his or her child from domestic violence, sexual assault, or stalking may have special statutory rights to seek a release of rental obligation under MCL 554.601b.
Move-In Checklist/Security Deposit Notice
Applies to all Michigan rentals.
Michigan landlords collecting a security deposit must provide two copies of a checklist to take inventory of the rental unit’s condition. This list notes any existing damage and any features which must be returned in original condition. This checklist needn’t be included in the rental agreement, but must be provided to the tenant within seven days of move-in. An identical form must be used upon move-out.
The checklist must contain the following notice in legible writing at the top of the document:
You should complete this checklist, noting the condition of the rental property, and return it to the landlord within 7 days after obtaining possession of the rental unit. You are also entitled to request and receive a copy of the last termination inventory checklist which shows what claims were chargeable to the last prior tenants.
It also must include the following security deposit receipt disclosure, in at least 12-point, boldface font:
You must notify your landlord in writing within 4 days after you move of a forwarding address where you can be reached and where you will receive mail; otherwise your landlord shall be relieved of sending you an itemized list of damages and the penalties adherent to that failure.
Landlord failure to provide this disclosure means the tenant needn’t provide a forwarding address to receive any unused portion of the security deposit.
Download: Michigan Move-In Checklist Disclosure Form (PDF)
Lead-Based Paint Disclosure
Applies to any Michigan rentals built before 1978.
Michigan residential leases for property built before 1978 must, by federal law, contain a lead-based paint disclosure. This requires landlords to do the following:
- Fill out and attach this lead-based paint disclosure form to the lease agreement
- Provide the tenant with an Environmental Protection Agency (EPA) approved pamphlet about the dangers of lead-based paint
- Provide any additional records or reports about the presence or hazards of lead-based paint in the unit (for multi-unit buildings with common areas, this includes information from building-wide evaluations)
Download: Michigan Lead-Based Paint Disclosure Form (PDF)
Optional Disclosures and Addenda (Recommended)
The following lease agreement disclosures and addenda are not required by Michigan law in residential lease agreements, but help with tenant management and landlord liability.
| Optional Disclosure | Purpose |
|---|---|
| Asbestos | Informs tenants about any asbestos hazards related to the property. Tenants can reduce asbestos risk by not disturbing asbestos fibers. |
| Bed Bugs | Informs tenants whether the property or an adjacent unit has a history of suspected bed bug infestation, and reminds the tenant of the obligation to report suspected infestation immediately. |
| Late/Returned Check Fees | Specifies late fees or returned check fees related to the lease. Michigan has no cap on late fees. Returned check fees have a $25 cap on if paid within 7 days, $35 if paid within 30 days. After 30 days, the landlord can demand up to an extra $250 in reasonable costs. |
| Medical Marijuana Use | Informs tenants about policy related to medical marijuana use on the rental property. Some state laws allow landlords to restrict marijuana usage to non-smoking methods only, or allow use only in designated smoking areas. |
| Mold Disclosure | Informs tenants about actual or suspected mold contamination on the property efforts, plus information about treatments. This helps limit landlord liability. |
| Non-Refundable Fees | Charges not agreed by the tenant in the lease may be refundable when the lease ends. For Michigan landlords to charge a non-refundable fee, it must be disclosed and agreed as such in the lease. |
| Shared Utilities Arrangements | Sets terms for how to divide utility costs up on properties which share a utility meter with other units. This ensures tenants receive fair charges and understand what uses contribute to their bill. |
| Smoking | Informs tenants of designated smoking areas that do not interfere with the quiet enjoyment of other tenants. |
Consequences of Not Including Mandatory Disclosures
Mandatory disclosures outline important health, safety, and property information for the benefit of both landlord and tenant. A landlord who fails to provide federally or state-mandated disclosures could face legal consequences or monetary penalties, either from a tenant lawsuit or from state officials. Many lease provisions may be unenforceable without legally required disclosures.
Failure to comply with the federal lead-based paint hazard disclosure risks fines of tens of thousands of dollars per violation.
Sources
- 1 Mich. Comp. L. § 554.634(1)
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A rental agreement shall state the name and address at which notice required under this act shall be given to the lessor.
Source Link - 2 Mich. Comp. L. § 554.634(2)
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(2) A rental agreement shall state in a prominent place in type not smaller than the size of 12-point type, or in legible print with letters not smaller than 1/8 inch, a notice in substantially the following form:
“NOTICE: Michigan law establishes rights and obligations for parties to rental agreements. This agreement is required to comply with the Truth in Renting Act. If you have a question about the interpretation or legality of a provision of this agreement, you may want to seek assistance from a lawyer or other qualified person.”
Source Link - 3 Mich. Comp. L. § 554.601b(1)
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A rental agreement may contain a provision stating “A tenant who has a reasonable apprehension of present danger to him or her or his or her child from domestic violence, sexual assault, or stalking may have special statutory rights to seek a release of rental obligation under MCL 554.601b.”. If the rental agreement does not contain such a provision, the landlord shall post written notice visible to a reasonable person in the landlord’s property management office or deliver written notice to the tenant when the lease agreement is signed. The content of the written notice shall be identical to the provision in this section.
Source Link - 4 Mich. Comp. L. § 554.608(1)
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The landlord shall make use of inventory checklists both at the commencement and termination of occupancy for each rental unit which detail the condition of the rental unit for which a security deposit is required.
Source Link - 5 Mich. Comp. L. § 554.608(2) & (3)
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(2) At the commencement of the lease, the landlord shall furnish the tenant 2 blank copies of a commencement inventory checklist, which form shall be identical to the form used for the termination inventory checklist. The checklist shall include all items in the rental unit owned by the landlord including, but not limited to, carpeting, draperies, appliances, …
(3) Unless the landlord and tenant agree to complete their inventory checklist within a shorter period, the tenant shall review the checklist, note the condition of the property and return 1 copy of the checklist to the landlord within 7 days after receiving possession of the premises.
Source Link - 6 Mich. Comp. L. § 554.608(4)
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The checklist shall contain the following notice in 12 point boldface type at the top of the first page: “You should complete this checklist, noting the condition of the rental property, and return it to the landlord within 7 days after obtaining possession of the rental unit. You are also entitled to request and receive a copy of the last termination inventory checklist which shows what claims were chargeable to the last prior tenants.”.
Source Link - 7 Mich. Comp. L. § 600.2952(3) - (5)
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(3) The maker of a dishonored check, draft, or order for payment of money is liable to the payee as provided in subsection (4) if the maker fails to pay 1 of the following in cash to the payee or a designated agent of the payee after the mailing of a written demand for payment pursuant to subsection (2):
(a) Within 7 days, excluding weekends and holidays, after the date the written demand provided in subsection (2) is mailed, the full amount of the dishonored check, draft, or order, plus a processing fee of $25.00.
(b) Within 30 days after the date of the mailing of the notice provided in subsection (2), the full amount of the dishonored check, draft, or order, plus a processing fee of $35.00.
(4) Except as otherwise provided in subsection (5), a maker who fails to make payment pursuant to subsection (3) and who is found responsible for payment in a civil action is liable to the payee for payment of all of the following:
(a) The full amount of the check, draft, or order.
(b) Civil damages of 2 times the amount of the dishonored check, draft, or order or $100.00, whichever is greater.
(c) Costs of $250.00.
(5) Subsection (4) does not apply if, before the trial of an action brought pursuant to this section, the maker pays to the payee or a designated agent of the payee, in cash, the total of the amounts described in subsection (3)(b), plus reasonable costs, not exceeding $250.00, as agreed to by the parties.
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