Renters Warehouse Unlawfully Charges Minnesota Tenants for Wear and Tear, Class Action Lawsuit Alleges
Hansen et al. v. Renters Warehouse, LLC
Filed: July 10, 2024 ◆§ 0:24-cv-02670
A proposed class action lawsuit accuses Renters Warehouse of taking unlawful deductions from tenants’ security deposits for ordinary wear and tear.
A proposed class action lawsuit accuses Renters Warehouse of taking unlawful deductions from tenants’ security deposits for ordinary wear and tear.
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The 15-page security deposit lawsuit was filed by two former tenants at a house in Minnesota that was leased by the property management company. The plaintiffs claim that upon the termination of their lease in April 2022, Renters Warehouse made several deductions from their security deposit to cover normal wear and tear, including a $50 charge to refill salt in the water softener and two $42.64 fees to replace filters in the humidifier and HVAC unit.
According to the suit, the company’s conduct amounts to a violation of a Minnesota statute that governs the return of security deposits to vacating tenants, and prohibits landlords from withholding funds to cover ordinary wear and tear.
The Renters Warehouse security deposit lawsuit looks to represent any tenants who, in the past six years, resided at a property located in Minnesota that is or was managed by Renters Warehouse, were charged unreasonable amounts at the time of vacating the premises and did not receive an accurate amount for their refunded security deposits.
The filing notes that the Minnesota Department of Commerce in 2015 fined Renters Warehouse via cease-and-desist order $150,000 for “failing to place tenant security deposits in real estate trust accounts” and assessing residents charges above the statutory maximum for checks returned due to non-sufficient funds.
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