Senate Bill 375 would amend Michigan’s Truth in Renting Act to expand and clarify what counts as “rent” and to place new limits on lease terms and tenant fees. The bill states that rent includes not only the base payment for occupancy, but also the cost of essential services needed to use a rental unit, such as heat, water, sewer, electricity, gas, plumbing, ventilation, trash removal, pest control, snow removal, lawn care, locks, and certain landlord-supplied appliances. It also revises the definition of a rental agreement and residential premises, while preserving the act’s focus on written residential leases.
The bill would prohibit a wide range of rental provisions that are already disfavored in landlord-tenant law, including waivers of habitability rights, security-deposit rights, civil rights protections, jury trial rights, and eviction-related rights. It would also bar clauses requiring arbitration, confessions of judgment, powers of attorney, excessive attorney fees, unreasonable or unrelated charges, and certain late fees or notice-of-nonrenewal penalties. In addition, it would limit a landlord’s ability to change lease terms after commencement without tenant consent, while allowing some changes with notice for legal compliance, health and safety, or increased operating costs tied to taxes, utilities, or insurance.
The bill’s impact on state law would be to strengthen tenant protections under the Truth in Renting Act and make more lease provisions void as against public policy. It would also require that at least one rent-payment method be available without an added fee, and it would allow landlords to require tenants to arrange and pay for public-utility service only if the landlord does not add extra surcharges beyond direct costs. Any lease clause violating the amended section would be void, increasing the enforceability of tenant-friendly standards in residential rental contracts.
The general sentiment reflected in the available voting history appears favorable, with the bill reported favorably without amendment by a 7-2 vote in committee. No committee transcript was provided, so there is no recorded floor or committee debate to show broader public arguments. The committee result suggests support for tighter regulation of landlord fees and lease terms, likely framed as consumer protection for renters.
The main points of contention are likely to center on landlord flexibility versus tenant protection. Landlords and property managers may object to limits on fees, restrictions on post-signing lease changes, and the treatment of essential services as part of rent, while tenant advocates would likely support those provisions as preventing hidden charges and unfair contract terms. The bill also draws a line around utility billing and operating-cost pass-throughs, which may be a specific area of dispute for housing providers.
SB 375 would amend the Michigan Truth in Renting Act, MCL 554.632 and 554.633, by redefining rent to include essential services and by expanding the list of prohibited lease provisions. It would affect residential landlords, tenants, property managers, and consumer cooperatives by voiding lease clauses that waive statutory rights, impose certain fees, require arbitration, or allow unilateral lease changes without consent. The bill would also reinforce existing protections under landlord-tenant, civil rights, consumer protection, security deposit, and eviction statutes by making conflicting rental terms unenforceable.
The available legislative history shows a favorable committee vote, 7-2, reported without amendment, indicating overall support for the bill in committee. With no transcript available, the record does not show detailed debate, but the vote suggests the proposal was viewed positively by a majority as a tenant-protection measure. The bill’s framing and committee action point to a generally supportive sentiment toward limiting abusive rental practices and hidden fees.
The likely contention is between tenant advocates, who would favor stronger limits on fees and lease terms, and landlord or housing-industry interests, who may argue the bill restricts contract freedom and operational flexibility. Specific flashpoints include the definition of rent to include essential services, the ban on many fee types, the restriction on unilateral lease modifications, and the requirement that at least one rent-payment method be fee-free. Utility pass-throughs and allowable cost increases for taxes, insurance, and utilities may also be disputed as either reasonable cost recovery or an avenue for additional charges.