State Specific Question About: VIRGINIA (VA)

Your thoughts? Tenants of mine sent in their rent on January 4 (postmarked) and it arrived on January 6. Rent is due on the first of the month, and they didn’t include a late fee. Their lease says “In the event that any payment required to be paid by Tenant hereunder is not made within three (3) days of when due, Tenant shall pay to Landlord, in addition to such payment or other charges due hereunder, a “late fee” in the amount of $50.00, plus an additional amount of $10.00 per day thereafter until the rent is received by the landlord(s)."

My husband thinks the language is a bit ambiguous and open for interpretation, since “within three days of being due” could mean the third or fourth--I had intended it to be the third. My state landlord tenant laws are silent on the issue of due dates and late fees. I have heard that if payment for a bill is postmarked on the due date, then it is considered to be on time. Is that always true if not specified in our lease?

NO, and I don't know the law in VA but usually there are 5 days grace if you go that way and if you go in front of a judge who can be tenant friendly will tell you the same. Either: 1. your lease will say the rent should be paid on or before the due date if not it is considered late or

NO, and I don't know the law in VA but usually there are 5 days grace if you go that way and if you go in front of a judge who can be tenant friendly will tell you the same. Either: 1. your lease will say the rent should be paid on or before the due date if not it is considered late or

I'm not 100% on this one, but your lease does not say it is required that it be postmarked within 3 days of being due. Then again what is the definition of "paid?" A person could argue that the intent of the requirement is that the transaction be completed (meaning received and not just paid) within 3 days of being due. I'm not sure how your courts would interpret it.

I would recommend you change your lease to what is more or less normal here and allowed by most courts.

If payment is not received by the 5th then a late fee equal to 10% of the full monthly rent.

This is what a Judge would consider reasonable.

Although I do know of one in a small town that would allow only a $25.00 late fee, period. So can depend on the Judge but rare.

You will start off on the wrong side of the court with the 10.00 a day wording.

Which could end up being over the 10% rule. Does not make a difference if it was in this case or not.

The Judge will see this and then wonder what else you are being unfair about.

I will also say that for good long term tenants I still do not charge if postmarked by the 5 th.

But also if they make a partial payment they still get charged the late fee.

And also it does happen. A tenant is short by $100.00 and is late. If the rent is 1100.00 then they still are charged 110.00 late fee on top of the 100.00

Surprising how many times this has happened.

Jan 1 is probably a legal holiday in all states.

So far as i know, each state has a rule that says that any act that is required to be done on a holiday, Sat or Sun is timely if done on the next business day.

So, with Jan 1 being a Friday, the next business day was Monday, Jan 4.

I think the rent was paid on time, and no late fee is due.

Tamara VA don't be so thin skinned. Some here get right to the point and some with levity so relax. What are you going to do when the tenants start jumping down your throat?

I've said this a few times here before you can put on paper whatever you want for the lease but if it's contrary to state law or your JUDGES normal way of adjudicating it will be null. As BRAD has pointed out Know your judge.

Not taking into account when you received it this date of Jan 4 this year is about right.

We had a tenant who insisted she paid the rent Dec 30 2015. We waited until Jan 6 and filed for non payment-- we received the rent the 10th-- it was post marked the 31st of Dec. Our PO is about 15 miles from where she mailed it-- can anyone explain why it took 11 days to go 15 miles? Anyway we had to eat the cost of court and filing fee.

I agree with MYOB - it's happened to us as well where it took a week to get from one side of town to the other. Who knows why (maybe the Post Office took the envelope on a trip).

With all of that said - the previous "lates" were probably more of something you SHOULD have dealt with and not take this one as the one to "stand your ground" on (just in my opinion).

I'd let it go for now. I also know that you beefed up/corrected your lease on the payments. Mine currently is that if I don't receive it by the 4th day (by mail, person, deposit, etc) then it is considered late. That covers weekends, holidays, etc. Sure, you can mail it - but it would have to be post-marked by the 4th. Any other date after that - it's late.

I also (personally) get confused and do not like the "per day" late fees. So for yours - it's $50 then $10 per day. So on the second they would owe $50 and the third on would be an additional $10 per day? When does it stop? When do you file? HOW do you file? You have a "moving" amount. For example - if you file day 10 - that would be $1,800 rent plus $140 late fee. However, when they actually are served (which could take a few days) - assuming they have not paid it could be another $30. Then you file for court - once you get the date (could be a few more weeks) - now how much do they owe?

I like the clear and cut approach: Look - your rent is due on the 1st - $1,800 - late on the 4th you owe an additional $180 for a total of $1,980. I typically will be calling, texting, emailing and dropping a note off to them with the amount now owed. If they do not respond to that within a day or so - I file.

That's just me though. Also - make sure you include a clause in your lease that your late fees are considered "added rent" ... then you don't need to break out "rent" with "late fees" ... it's all one amount "rent".

Tamara,

Straight answer typed with love: They are playing you.

We get what we allow. You are allowing this behavior. I suggest firmer management. The lease is the boundary, NOT their stories.

"Late", "Bounced", "Plausible explanation", "Concerned over YOUR bills" (What!?! No res really cares about our bills!), "late again"...how many times have these folks been late in the last 12 months? You listed at least 3 in the last several months.

They have sweet talked you into waiving the late fees they KNOW they owe. take a moment and add up how much you have given away in late fees $______.

These are NOT good residents. I predict you are about to see them fall into non-payers.

No need to tiptoe around ANY resident, ESPECIALLY these residents who have a history of late payment.

1. Tighten the wording. It's simple, "Rent is due on the first, late on the second. Fees will be added." Done. Just send them a letter "clarifying our policy".

2. Get these people onto the system you know works - direct deposit or autodraft. You've done well in that regard. Make it standard for all.

3. No more mail. Stay in control, not letting the USPS control your cash flow. Plenty of examples.

4. Eliminate grace periods. Who dreamed up that a deadline is not really a deadline.

5. Send them a letter about the late fee they owe.

6. Add that fee to their rent ledger so they have a balance due. My lease is clear: unpaid balance is considered rent and grounds for eviction.

7. Standard Practice: if you have not been enforcing late fees a judge can dismiss your late fees (next month when they don't pay and you have to evict!).

8. Great candidates for PayDayPlan. It's obvious they are having trouble budgeting.

Please please please get on top of this and protect yourself. They are about to go under and take you with them.

BRAD