H.F. _____ Section 1. Section 535.2, subsection 7, Code Supplement 1 2011, is amended to read as follows: 2 7. This section does not apply to a charge imposed for late 3 payment of rent. However, in the case of a residential lease, 4 a late payment fee shall not exceed ten dollars a day or forty 5 dollars per month. 6 Sec. 2. Section 562A.4, Code 2011, is amended by adding the 7 following new subsection: 8 NEW SUBSECTION . 3. The court may, in any action on a rental 9 agreement, award reasonable attorney fees to the prevailing 10 party. 11 Sec. 3. Section 562A.6, Code 2011, is amended by adding the 12 following new subsections: 13 NEW SUBSECTION . 7A. “Presumption” means that the trier of 14 fact must find the existence of the fact presumed unless and 15 until evidence is introduced which would support a finding of 16 its nonexistence. 17 NEW SUBSECTION . 11A. “Resident” means an occupant of a 18 dwelling unit who is at least eighteen years of age. 19 Sec. 4. Section 562A.6, subsection 9, Code 2011, is amended 20 to read as follows: 21 9. “Rent” means a payment to be made to the landlord under 22 the rental agreement , including late fees pursuant to section 23 562A.9, subsection 3A, and amounts due to the landlord under 24 other provisions of this chapter . 25 Sec. 5. Section 562A.8, Code 2011, is amended to read as 26 follows: 27 562A.8 Notice Method of notice and service of process . 28 1. A written notice of termination as required by section 29 562A.27, subsection 1, 2, or 5, a written notice of termination 30 as required by section 562A.34, subsection 1, 2, or 3, a 31 notice of termination and notice to quit as required by 32 section 562A.27A, or a notice to quit as required by section 33 648.3, shall be served upon the tenant by one of the following 34 methods: 35 -1- LSB 5195YC (4) 84 ad/sc 1/ 11

H.F. _____ a. Personal service pursuant to rule of civil procedure 1 1.305, Iowa court rules, for the personal service of original 2 notice. 3 b. Delivery evidenced by an acknowledgment of service 4 that is signed and dated by a resident of the dwelling unit. 5 Delivery under this paragraph of a single notice shall be 6 deemed to provide notice to all tenants and occupants of the 7 rental unit. 8 c. Posting the notice on or near a primary entrance door 9 of the subject premises and mailing by regular mail and by 10 certified mail as defined in section 618.15. 11 d. A method of providing notice that results in the notice 12 actually being received by the tenant. 13 1. 2. Notices All other notices required under this 14 chapter , except those notices identified in section 562A.29A , 15 shall be served as follows: 16 a. A landlord shall serve notice on a tenant by one or more 17 of the following methods: 18 (1) Hand delivery to the tenant as evidenced by a written 19 confirmation of delivery signed and dated by the landlord . 20 (2) Delivery evidenced by an acknowledgment of delivery 21 service that is signed and dated by a resident of the dwelling 22 unit who is at least eighteen years of age. Delivery under 23 this subparagraph of a single notice shall be deemed to provide 24 notice to all tenants of the dwelling unit. 25 (3) Personal service pursuant to rule of civil procedure 26 1.305, Iowa court rules, for the personal service of original 27 notice. 28 (4) Mailing by both regular mail and certified mail, as 29 defined in section 618.15 , to the address of the dwelling unit 30 or to an address provided by the tenant for mailing. 31 (5) Posting on the primary entrance door of the dwelling 32 unit. A notice posted according to this subparagraph shall be 33 posted within the applicable time period for serving notice and 34 shall include the date the notice was posted. 35 -2- LSB 5195YC (4) 84 ad/sc 2/ 11

H.F. _____ (6) A method of providing notice that results in the notice 1 actually being received by the tenant. 2 b. A tenant shall serve notice on a landlord by one or more 3 of the following methods: 4 (1) Hand delivery to the landlord or the landlord’s agent 5 designated under section 562A.13 at the landlord’s business 6 office, as evidenced by a written confirmation of delivery 7 signed and dated by the tenant . 8 (2) Delivery evidenced by an acknowledgment of delivery 9 that is signed and dated by the landlord or the landlord’s 10 agent designated under section 562A.13 . 11 (3) Personal service pursuant to rule of civil procedure 12 1.305, Iowa court rules, for the personal service of original 13 notice. 14 (4) Delivery to an employee or agent of the landlord at the 15 landlord’s business office. 16 (5) (4) Mailing by both regular mail and certified mail, 17 as defined in section 618.15 , to the address of the landlord’s 18 business office or to an address designated by the landlord for 19 mailing. 20 (6) (5) A method of providing notice that results in the 21 notice actually being received by the landlord. 22 3. If service of notice includes posting, the notice shall 23 be posted within the same time period that is applicable 24 to other methods of giving notice under the circumstances. 25 The posted notice shall set forth, on its face, the date 26 of posting. An affidavit signed by the person posting and 27 notarized or certified under penalty of perjury pursuant 28 to section 622.1 shall be evidence of service of notice by 29 posting. Service of notice by posting is deemed completed one 30 day after the notice is posted. 31 2. 4. Notice served by mail under this section is deemed 32 completed four three days after the notice is deposited in the 33 mail and postmarked for delivery, whether or not the recipient 34 signs a receipt for the notice date of the postmark . 35 -3- LSB 5195YC (4) 84 ad/sc 3/ 11

H.F. _____ 5. In the case of service of a notice by multiple methods, 1 the latest date of completed service shall control the 2 computation of time. 3 Sec. 6. Section 562A.9, Code 2011, is amended by adding the 4 following new subsection: 5 NEW SUBSECTION . 3A. A rental agreement shall not provide 6 for a late fee that exceeds twenty dollars per day or eighty 7 dollars per month. 8 Sec. 7. Section 562A.11, subsection 1, paragraph c, Code 9 2011, is amended to read as follows: 10 c. Agrees to pay the other party’s attorney fees , except 11 that a written agreement may provide notification that attorney 12 fees may be awarded to the prevailing party in the event of 13 court action ; or 14 Sec. 8. Section 562A.12, subsection 8, Code 2011, is amended 15 by striking the subsection. 16 Sec. 9. Section 562A.27, subsection 3, Code 2011, is amended 17 to read as follows: 18 3. Except as provided in this chapter , the landlord may 19 recover damages and obtain injunctive relief for noncompliance 20 by the tenant with the rental agreement or section 562A.17 21 unless the tenant demonstrates affirmatively that the 22 tenant has exercised due diligence and effort to remedy any 23 noncompliance, and that the tenant’s failure to remedy any 24 noncompliance was due to circumstances beyond the tenant’s 25 control. If the tenant’s noncompliance is willful, the 26 landlord may recover reasonable attorney fees. 27 Sec. 10. Section 562A.30, Code 2011, is amended by striking 28 the section and inserting in lieu thereof the following: 29 562A.30 Waiver of landlord’s right to terminate. 30 Acceptance of performance by the tenant that varies from the 31 terms of the rental agreement or rules subsequently adopted 32 by the landlord shall not be a waiver of the landlord’s right 33 to terminate the rental agreement for that breach of the 34 agreement. Failure by the landlord to promptly assert rights 35 -4- LSB 5195YC (4) 84 ad/sc 4/ 11

H.F. _____ under this section shall not be a waiver of such rights or a 1 waiver of any existing or subsequent breach. Waiver of any 2 breach shall not constitute a waiver of any subsequent and 3 similar breach. 4 Sec. 11. Section 562A.32, Code 2011, is amended to read as 5 follows: 6 562A.32 Remedy after termination. 7 If the rental agreement is terminated by either party , the 8 landlord may have a claim for possession and for rent and a 9 separate claim for rent, actual damages for breach of the 10 rental agreement , and reasonable attorney fees as provided in 11 section 562A.27 . 12 Sec. 12. Section 562A.36, subsection 2, Code 2011, is 13 amended to read as follows: 14 2. If the landlord acts in violation of subsection 1 of 15 this section , the tenant may recover from the landlord the 16 actual damages sustained by the tenant and reasonable attorney 17 fees, and has a defense in action against the landlord for 18 possession. In an action by or against the tenant, evidence 19 of a good faith good-faith complaint within one year prior to 20 the alleged act of retaliation creates a presumption that the 21 landlord’s conduct was in retaliation. The presumption does 22 not arise if the tenant made the complaint after notice of a 23 proposed rent increase or diminution of services. Evidence 24 by the landlord that legitimate costs and charges of owning, 25 maintaining or operating a dwelling unit have increased shall 26 be a defense against the presumption of retaliation when a 27 rent increase is commensurate with the increase in costs and 28 charges. “Presumption” means that the trier of fact must find 29 the existence of the fact presumed unless and until evidence is 30 introduced which would support a finding of its nonexistence. 31 Sec. 13. Section 648.3, Code 2011, is amended to read as 32 follows: 33 648.3 Notice to quit. 34 1. Before action can be brought under any ground specified 35 -5- LSB 5195YC (4) 84 ad/sc 5/ 11

H.F. _____ in section 648.1 , except subsection 1 , three days’ notice to 1 quit must be given to the defendant in writing. However, a 2 landlord who has given a tenant three days’ notice to pay rent 3 and has terminated the tenancy as provided in section 562A.27, 4 subsection 2 , or section 562B.25, subsection 2 , if the tenant 5 is renting the manufactured or mobile home or the land from the 6 landlord, may commence the action without giving a three-day 7 notice to quit. 8 2. A notice to quit required under subsection 1 shall 9 be served on the defendant according to one or more of the 10 following methods: 11 a. Delivery evidenced by an acknowledgment of delivery 12 service that is signed and dated by a resident of the premises 13 who is at least eighteen years of age. Delivery under this 14 paragraph of a single notice shall be deemed to provide notice 15 to the defendant all tenants and occupants of the rental unit . 16 b. Personal service pursuant to rule of civil procedure 17 1.305, Iowa court rules, for the personal service of original 18 notice. 19 c. Posting the notice on the or near a primary entrance door 20 of the subject premises and mailing by both regular mail and 21 certified mail, as defined in section 618.15 , to the address 22 of the premises or to the defendant’s last known address, 23 if different from the address of the premises. A notice 24 posted according to this paragraph shall be posted within the 25 applicable time period for serving notice and shall include the 26 date the notice was posted . 27 d. A method of providing notice that results in the notice 28 actually being received by the tenant. 29 2A. If service of notice includes posting, the notice 30 shall be posted within the same time period that is applicable 31 to other methods of giving notice under the circumstances. 32 The posted notice shall set forth, on its face, the date of 33 the posting. An affidavit signed by the person posting and 34 notarized or certified under penalty of perjury pursuant 35 -6- LSB 5195YC (4) 84 ad/sc 6/ 11

H.F. _____ to section 622.1 shall be evidence of service of notice by 1 posting. Service of notice by posting is deemed completed one 2 day after the notice is posted. 3 3. A notice to quit Notice served by mail under this 4 section is deemed completed four three days after the notice 5 is deposited in the mail and postmarked for delivery, whether 6 or not the recipient signs a receipt for the notice date of the 7 postmark . 8 4. In the case of service of a notice by multiple methods, 9 the latest date of completed service shall control the 10 computation of time. 11 Sec. 14. Section 648.5, subsection 2, paragraphs a and c, 12 Code 2011, are amended to read as follows: 13 a. Delivery evidenced by an acknowledgment of service that 14 is signed and dated by a resident of the premises who is at 15 least eighteen years of age. Delivery under this paragraph 16 of a single notice shall be deemed to provide notice to all 17 tenants or residents of the premises. Service of original 18 notice under this paragraph is invalid if the acknowledgment of 19 service is signed and dated less than three days prior to the 20 hearing. 21 c. If service cannot be made following two attempts using 22 a method specified under paragraph “a” or “b” , by posting 23 on or near the primary entrance door of the premises and 24 mailing by both regular mail and certified mail, as defined 25 in section 618.15 , to the address of the premises or to the 26 defendant’s last known address, if different from the address 27 of the premises. An original notice posted according to this 28 paragraph shall be posted not less than three days prior to 29 the hearing and shall include the date the original notice was 30 posted. Service of original notice by mailing shall occur not 31 less than three days prior to the hearing. 32 Sec. 15. Section 648.5, subsection 3, Code 2011, is amended 33 to read as follows: 34 3. Service of original notice by mail is deemed completed 35 -7- LSB 5195YC (4) 84 ad/sc 7/ 11

H.F. _____ four three days after the notice is deposited in the mail and 1 postmarked for delivery, whether or not the recipient signs a 2 receipt for the original notice. 3 Sec. 16. Section 714H.4, subsection 1, Code 2011, is amended 4 by adding the following new paragraph: 5 NEW PARAGRAPH . l. A rental agreement or other 6 landlord-tenant relationship as set forth in chapter 562A. 7 Sec. 17. REPEAL. Section 562A.29A, Code 2011, is repealed. 8 EXPLANATION 9 This bill makes changes to Code chapter 562A, the uniform 10 residential landlord and tenant Act, and related provisions in 11 Code chapter 648 (forcible entry and detainer). 12 The bill strikes language regarding maximum fees for late 13 payment of rent in Code section 535.2, and the substance of 14 the provision is transferred to Code section 562A.9, except 15 that the bill increases the maximum payment that may be imposed 16 for late payment of rent from $10 a day or $40 per month to an 17 amount not to exceed $20 per day or $80 per month. 18 The bill amends Code section 562A.6 regarding general 19 definitions for Code chapter 562A. The bill strikes language in 20 Code section 562A.36, concerning the meaning of “presumption”, 21 and transfers the substance of the provision to Code section 22 562A.6. The bill defines “resident” as an occupant of a 23 dwelling unit who is at least 18 years of age. The bill amends 24 the definition of “rent” to state that rent also means a 25 payment to be made to the landlord pursuant to Code chapter 26 562A, including late fees as provided in Code section 562A.9. 27 The bill amends Code section 562A.8, regarding method 28 of notice and service of process, to transfer and modify 29 the provisions contained in Code section 562A.29A, which 30 is repealed by the bill. The bill also makes changes to 31 provisions regarding service of notice to a tenant when serving 32 a written notice of termination pursuant to Code section 33 562A.27, a notice of termination and notice to quit pursuant to 34 Code section 562A.27A, or a notice to quit as required by Code 35 -8- LSB 5195YC (4) 84 ad/sc 8/ 11

H.F. _____ section 648.3. The bill provides that the delivery of a single 1 notice when the delivery is evidenced by an acknowledgment of 2 service that is signed and dated by a resident of the dwelling 3 unit is deemed to provide notice to all tenants of the dwelling 4 unit. The bill amends the service of notice provided by 5 posting to allow posting on or near the primary entrance door 6 rather than only on the primary entrance door. The bill adds 7 that a method of providing notice that results in the notice 8 actually being received by the tenant is a valid method of 9 notice. 10 The bill provides that a notice of termination pursuant to 11 Code section 562A.34, related to holdover tenancies, shall be 12 served in the same manner as notices of termination and notices 13 to quit. Specifically, the bill amends the notice provision 14 for termination pursuant to Code section 562A.34 to provide 15 that the delivery of a single notice when the delivery is 16 evidenced by an acknowledgment of service that is signed and 17 dated by a resident of the dwelling unit is deemed to provide 18 notice to all tenants of the dwelling unit. Under the bill, 19 service by posting allows the person posting to post on or near 20 the primary entrance door of the premises, but also requires 21 mailing the notice by regular and certified mail. The bill 22 does not allow notice by hand delivery or notice by mailing by 23 both regular and certified mail as valid methods of service of 24 notice of termination of a holdover tenancy. 25 The bill also amends the method of notice provided in Code 26 section 562A.8 for all other types of notice required under 27 the Code chapter. The bill requires hand delivery of a notice 28 to the tenant to be evidenced by a written confirmation of 29 delivery signed and dated by the landlord. The bill provides 30 that delivery of a single notice evidenced by an acknowledgment 31 of service, rather than an acknowledgment of delivery, that is 32 signed and dated by a resident of the dwelling unit is deemed 33 to provide notice to all tenants of the dwelling unit. The 34 bill requires hand delivery of a notice to the landlord or the 35 -9- LSB 5195YC (4) 84 ad/sc 9/ 11

H.F. _____ landlord’s agent to be delivered to the landlord’s business 1 office, as evidenced by a written confirmation of delivery 2 signed and dated by the tenant. The bill strikes the provision 3 in current law that allows delivery to an employee or agent 4 of the landlord at the landlord’s business office as a valid 5 method of service. 6 The bill provides that service of notice by posting is 7 complete one day after notice is posted. The bill decreases 8 the number of days from four to three before a notice served 9 by mail is deemed complete. The bill provides that when 10 using multiple methods of service, the latest date of service 11 controls the computation of time. 12 The bill amends Code section 562A.11 concerning prohibited 13 provisions in rental agreements by adding that the parties may 14 enter into a written agreement to provide notification that 15 attorney fees may be awarded to the prevailing party in the 16 event of court action. 17 The bill amends Code section 562A.12, relating to security 18 deposits, by striking a provision regarding an award of 19 reasonable attorney fees, but the substance of the provision is 20 transferred to Code section 562A.4, relating to administration 21 of remedies and their enforcement under Code chapter 562A, 22 generally. The bill makes corresponding amendments to 23 Code section 562A.27, regarding noncompliance with a rental 24 agreement, and Code section 562A.32, regarding remedies after 25 termination. 26 The bill strikes and rewrites Code section 562A.30, 27 relating to waiver of a landlord’s right to terminate a 28 rental agreement, to provide that a landlord’s acceptance of 29 a tenant’s performance that varies from the rental agreement 30 or rules does not constitute a waiver of the landlord’s right 31 to terminate the rental agreement for that breach. The bill 32 further states that the landlord’s failure to promptly assert 33 rights is not a waiver of the landlord’s rights or of any 34 existing or subsequent breach. The bill provides that a waiver 35 -10- LSB 5195YC (4) 84 ad/sc 10/ 11

H.F. _____ of any breach does not constitute a waiver of any subsequent 1 breach. 2 The bill amends provisions in Code section 648.3, regarding 3 service of a notice to quit, to mirror the method of notice 4 provisions in Code section 562A.8, as amended by the bill. 5 The bill provides that an affidavit signed by the person 6 posting and notarized or certified under penalty of perjury 7 constitutes evidence of the service of notice. Service of 8 notice by posting is complete one day after notice is posted. 9 Notice served by certified mail is deemed completed three days 10 after date of postmark rather than four days after notice is 11 deposited and postmarked. The bill also provides that when 12 notice is served by multiple methods, the latest date of 13 service controls the computation of time. 14 The bill amends Code section 648.5 to provide that service by 15 mail of original notice of a forcible entry and detainer action 16 is deemed completed three days after the notice is postmarked 17 for delivery, rather than four days after the mail is deposited 18 and postmarked for delivery. 19 The bill amends Code section 714H.4 to provide that the 20 consumer fraud chapter regarding private actions does not apply 21 to a rental agreement or other landlord-tenant relationship 22 under Code chapter 562A. 23 -11- LSB 5195YC (4) 84 ad/sc 11/ 11