House File 640 - Introduced HOUSE FILE 640 BY COMMITTEE ON COMMERCE (SUCCESSOR TO HSB 184) A BILL FOR An Act concerning self-storage facilities, including 1 acceptances and defaults of rental agreements. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 2123HV (2) 91 ll/jh

H.F. 640 Section 1. Section 578A.3, subsection 2, Code 2025, is 1 amended to read as follows: 2 2. An occupant shall not use a leased space for residential 3 purposes. An occupant who uses a leased space for residential 4 purposes is immediately in default and the operator may limit 5 the occupant’s access to the leased space to the hours which 6 the office is open at the self-service storage facility and 7 proceed in accordance with this chapter. 8 Sec. 2. Section 578A.6, Code 2025, is amended to read as 9 follows: 10 578A.6 Right Rental agreement —— right to deny access due to 11 default. 12 1. A rental agreement may be a written or oral agreement. 13 If a written rental agreement is presented to a potential 14 occupant by an operator and if the potential occupant takes 15 possession of a leased space, or if an existing occupant 16 retains possession of the leased space, a failure by the 17 occupant to execute and deliver the written rental agreement 18 to the operator within thirty days from the initial or renewed 19 date of occupancy constitutes acceptance of the terms of the 20 written rental agreement. 21 2. If the occupant is in default or if the operator does 22 not renew the occupant’s rental agreement , the operator shall 23 have deliver to the occupant a written notice or an electronic 24 mail notice, if consented to by the parties in accordance with 25 section 578A.5, subsection 5, to remove personal property from 26 the leased space within fifteen days. During the fifteen-day 27 period, the operator has the right to place reasonable 28 restrictions on the occupant’s use of the leased space, 29 including the right to deny or limit the occupant occupant’s 30 access to the leased space to the hours which the office is 31 open at the self-service storage facility if such right is set 32 forth in the rental agreement. 33 3. Any personal property remaining is subject to lien 34 as provided in section 578A.5 and in accordance with section 35 -1- LSB 2123HV (2) 91 ll/jh 1/ 2

H.F. 640 578A.7. 1 EXPLANATION 2 The inclusion of this explanation does not constitute agreement with 3 the explanation’s substance by the members of the general assembly. 4 This bill relates to leased spaces in self-storage 5 facilities. The bill provides that if a person receives a 6 written rental agreement from a self-storage facility operator 7 and takes possession of or retains the leased space, a person 8 who fails to execute and deliver the written agreement within 9 30 days shall be deemed to have accepted the terms of the 10 rental agreement. If an occupant is in default or if the 11 operator does not renew the occupant’s rental agreement, the 12 operator shall deliver to the occupant a written notice or 13 an electronic mail notice, if consented to by the parties in 14 accordance with Code section 578A.5(5), to remove personal 15 property from the leased space within 15 days. During the 16 15-day period, the operator may deny or limit the occupant’s 17 access to the leased space to the hours which the office is 18 open at the self-service storage facility if such right is set 19 forth in the rental agreement. Any personal property remaining 20 is subject to lien as provided in Code section 578A.5 and in 21 accordance with Code section 578A.7. 22 The bill provides that an occupant who uses a leased space 23 for residential purposes is immediately in default and the 24 operator may limit the occupant’s access to the leased space to 25 during office hours at the self-service storage facility and 26 proceed in accordance with the Code chapter. 27 -2- LSB 2123HV (2) 91 ll/jh 2/ 2