S.P. 443 - L.D. 1318
An Act to Amend the Treatment of Security Deposits Upon the Sale of a Building
Be it enacted by the People of the State of Maine as follows:
Sec. 1. 14 MRSA §6035, sub-§1, as enacted by PL 1977, c. 359, is repealed and the following enacted in its place:
1. Landlord's termination of interests in dwelling unit. Upon termination of a landlord's interest in the dwelling unit, whether by sale, assignment, death, appointment of a receiver or otherwise, the person in possession of a security deposit, including, but not limited to, the landlord, the landlord's agent or the landlord's executor shall, upon the transfer of the interest in the dwelling unit:
A. Provide to the landlord's successor in interest an accounting of the amount of each security deposit paid by each tenant and held by the person in possession of the security deposits, transfer the funds or any remainder after lawful deduction under this chapter to the landlord's successor in interest and provide to the tenant by mail:
(1) Notice of that transfer;
(2) Notice of the transferee's name and address; and
(3) A copy of the accounting of the amount of the security deposit transferred; or
B. Return the funds or any remainder after lawful deductions under this section to the tenant.
Sec. 2. 14 MRSA §6038, as amended by PL 1981, c. 428, §12, is further amended to read:
§6038. Treatment of security deposit
During the term of a tenancy, a security deposit given to a landlord as part of a residential rental agreement shall may not be treated as an asset to be commingled with the assets of the landlord. All security deposits received after October 1, 1979, shall must be held in an account of a bank or other financial institution under such terms as will that place the security deposit beyond the claim of creditors of the landlord, including a foreclosing mortgagee or trustee in bankruptcy, and as will that provide for transfer of the security deposit to a subsequent owner of the dwelling unit or to the tenant in accordance with section 6035. Upon the transfer of the dwelling unit, the new owner shall assume all responsibility for maintaining and returning to tenants all security deposits accounted for and transferred pursuant to section 6035. Upon request by his a tenant, a landlord shall disclose the name of the institution and the account number where the security deposit is being held. A landlord may use a single escrow account to hold security deposits from all of his the tenants.
Effective September 18, 1999, unless otherwise indicated.
| Revisor of Statutes Homepage | Subject Index | Search | Laws of Maine | Maine Legislature |
