Pet Agreements

Pet Agreements

Ownership of pets is becoming increasingly important to people. Because such a large percentage of potential tenants have pets, allowing pets in rental units significantly increases the size of the applicant pool when it’s time to fill a vacancy. Also, since pets are not allowed in a significant percentage of rental units, tenants with pets are often more likely to remain for longer terms. These factors can lead to shorter vacancies and fewer vacancies, respectively. Accordingly, more landlords are beginning see a benefit to allowing pets in their properties.

On the downside, allowing pets in a rental property can involve additional risks, including additional property damage and injuries caused by tenants’ pets. However, landlords can reduce the potential risks associated with pet-friendly rentals. The most important factor in doing so is utilizing a good pet agreement. The pet agreement can either be incorporated into the lease agreement itself or be a separate document that is referred to within the lease agreement in a way that makes it a part thereof. Having a pet agreement that is a part of the lease agreement provides notice to the tenants and increases the landlord’s legal power to deal with pet problems, including termination of tenancy.

Pet agreements should executed by all tenants, even those who do not have pets at the time of their move-in, to be sure the tenants know the rules and have already agreed to abide by them in the event they later acquire a pet.

There are a number of issues that should be covered in the pet agreement.

List Allowed/Disallowed Pets – The pet agreement should specify which types of pets are allowed (e.g., dogs, cats, birds, fish) and disallowed (e.g., chickens, pigs, snakes). Neither list need be all-inclusive, just representative. In order to avoid wasted time by both the applicant and the landlord, this information should also be provided with the application form. The agreement should also specify any limit to the number of pets allowed.

Some landlords ban certain dog breeds that many people believe have a propensity toward violence, such as pit bulls and Rottweilers. Landlords can legally ban these breeds even though the question of whether certain breeds are truly dangerous is debatable. Before allowing such breeds, landlords should check with their insurers. Some companies won’t issue liability policies or will issue the policy with excluded coverage for incidences involving certain so-called “dangerous breeds” kept on the property. A landlord cannot prohibit “dangerous breeds” that are bona fide service or companion animals.

Some landlords limit the weight of dogs, although small dogs can cause more damage than large ones.

No Pet Sitting – The pet agreement should make it clear that only tenants’ pets are allowed and the tenants are not to care for other pets. The agreement should specify whether guests are allowed to bring their pets with them while visiting tenants.

Require Approval of Pets – Require that tenants get approval for any pet that they have when applying to rent the unit or at any later date when they wish to acquire one. Approval should be contingent on the owners stating, as part of the pet agreement, that the pet has no record of damaging property or injuring people or animals belonging to others. Landlords should ask about this issue when checking with previous landlords.

Conditional Approval – Finally, state that the agreement should state that approval is conditioned upon the tenants’ continued compliance with the terms of the pet agreement. The agreement should make clear that the landlord has the right to ask the tenant to remove the pet from the property or terminate tenancy in the event of violations of the agreement.

It is also important that landlords enforce their pet policies to avoid the risk of creating a waiver because of ignoring known violations. This means giving written notices of violations and a termination notice when a problem is not corrected, subject to any related rent control restrictions. It is extremely important to deal with violations where the animal was a threat or appeared to be a threat to others in order to minimize liability for a future injury by the animal.

Identification, Licenses, Vaccinations – Require that all dogs and cats wear identification collars or tags, are properly licensed and vaccinated as required by local ordinances, with proof of compliance being provided to the landlord.

Responsibility – Tenants must agree to always control their pets, insure that they don’t disturb or annoy others, clean up after them in the tenant’s private area and in common areas, not leave pets unsupervised for extended periods, and keep pets in appropriate contained areas within their unit.

Pet Fee or Deposit – Expecting that pets may cause damages or additional wear and tear, many landlords impose a “pet fee” or “pet deposit” in addition to the normal security deposit. Think carefully before implementing such a policy.

First, landlords must be sure they know of any statutes or ordinances governing such items. Many states do not allow non-refundable fees or they specifically define which types are allowed. Many states consider any funds collected in addition to rent, whether called fees or deposits, to be part of the maximum allowed security deposits that are defined by statute in a majority of states (typically one to two months rent). Therefore, if the total amount of the deposits that are required from a tenant has reached the maximum, the tenant cannot be charged a pet deposit on top of that in many states. Controlled housing may have different restrictions.

Second, be sure to consider that there can be downsides to such funds. For example, calling something a “pet” deposit may mean that the amount can’t be applied to damages not done by a pet. This is particularly disadvantageous when the security deposit is reduced in order to allow a pet deposit when the state limits the total of all deposits. For this reason, in many states it’s better to impose a non-specific deposit.

Third, there can be issues regarding pet fees and deposits even in those dates that allow such items in addition to a maximum security deposit. If a pet fee or deposit is considered by a judge to be unreasonably high the judge may not enforce it.

Finally, do not impose a pet deposit or fee for a tenant who keeps a service or companion animal. Such animals aren’t pets — they are animals needed to accommodate a disability.

Fair Housing – Keep in mind that even if landlords don’t wish to have pet friendly rentals, they cannot prohibit service animals.

Make Agreement Changeable – Landlords may find it desirable, even necessary to change their pet policies at sometime in the future either due to experiences related to a certain type of pet or, particularly for dogs, a change in their insurer’s breed exclusions. Accordingly, the agreement should state that the landlord has the right to amend the rules by giving tenants a reasonable notice, e.g., 30 days. Landlords should consider grandfathering existing pets (but not replacements for them) except when the need for a change is related to insurance or governmental action. Requiring removal of existing pets will likely result in serious deterioration of landlord-tenant relations, even potential legal actions.

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