The Utah Residential Lease Agreement: An Overview and Legal Insights

Utah Residential Lease Agreement Explained

A residential lease agreement in Utah is a contract used between the owner of a residential unit and an individual looking to rent the unit from the owner. These agreements are sometimes called "tenant agreements" and they outline the responsibilities and liabilities of the tenant and the owner of the property (usually called the "lessor"). Certain commercial lease agreements are also subject to Utah law, but the following sections will focus on the residential agreements that are common among those who rent homes or apartments in Utah .
Although these lease agreements are fairly straightforward, there are some important aspects regarding their formation that are worth considering. The lease agreement is required to contain certain information by law. Utah has specific law regarding what must be included in a lease agreement, as described below.
Most importantly, a lease agreement in Utah is required to include:
This information can be found in the applicable Utah Code at § 57-22-3.

The Basic Components of a Lease Agreement

The key elements that must be included in a Utah residential lease agreement include the parties (lessor/lessee) involved, the description of the property (including the address and space number assigned), the related parking spaces, the term of the lease (one month, two months, three months, etc.), the amount of the rent and how the rent should be paid as well as any additional utility costs to the tenant, the amount of the damage deposit that must be paid, the permitted uses of the property, representations that the tenant is of legal age and has the authority to enter into the agreement, and representations if the tenant is renting the property on behalf of a business or that the agreement is less than one year in duratino.

Rights and Duties of Tenants and Landlords

A careful reading of the Utah Residential Lease Agreement is essential to understanding the rights and responsibilities of tenants and landlords. According to Section 10-3-104 of the Utah Code, a landlord shall:

• (1) make all repairs and maintain the premises in a habitable condition;
• (2) keep all common areas of the premises shared with other tenants of the property safe and clean, and provide adequate trash receptacles and arrange for proper removal of waste; and
• (3) supply running water and reasonable amounts of hot water at all times and reasonable heat and hot water during the usual hours.

Also, under Utah law, a landlord may not terminate a lease without six (6) weeks’ notice, unless the lease provides otherwise. A tenant renting dwelling units for 7 or more days in a hotel, motel or trailer park must receive six days’ notice of termination before being issued an unlawful detainer (eviction) notice.
We will discuss the landlord’s maintenance responsibilities in greater detail in the next section. The obligations of a tenant under Utah law include:

• (1) following reasonable written or oral rules so long as the rules are part of the lease signed by the tenant and do not make the tenant’s occupancy less than habitable;
• (2) refraining from intentionally or negligently destroying or removing a property of the premises or intentionally or negligently allowing another person to do so;
• (3) refraining from unnecessarily obstructing or interfering with other tenants’ use and enjoyment of the premises; and
• (4) giving the landlord reasonable notice before vacating a residence.

One area that causes particular concern and future expense is the prevention and repair of plumbing leaks. Depending upon the language of the lease, a landlord may not be responsible for damage caused by a tenant who does not shut off the water supply to facilities causing leaks after receiving notice of the leak.
The topic of privacy rights presents a more complex issue. The landlord has the right under federal and state law to enter the premises without notice to inspect for areas requiring repair, to make necessary or agreed repairs, supply necessary or agreed services or show the unit to prospective tenants or purchasers. But lease provisions should not permit a landlord to enter without notice or with only verbal notice from the landlord himself. The proper method for the landlord and his employees to enter the premises is with 24 hours’ advance notice consistent with law. A court can void any lease that attempts to permit entry without notice, even if the lease requires written notice.
In Utah, a tenant who changes locks and does not provide for access by a landlord or his agents can be evicted on 24 hours’ notice. The tenant’s lease can be terminated and all possessions placed in storage. If a tenant does not return a key within 72 hours after requested by the landlord or his agent, the tenant can be evicted.
Rental payments for residential leases typically are due and paid on the first day of the month for the month to follow. So, as example, rent for the month of May is due on May 1. Under the Utah Lease Bank and Security Deposit section, the lessee will be charged $25.00 for the first returned check and $50.00 for any subsequent returned checks. We do not recommend this approach, as most banks will not redeposit a returned check and you may be delayed in receiving your funds.

Lease Agreement Legal Requirements

Many lease agreements, including the Utah Residential Lease Agreement, are subject to federal, state, and local laws and ordinances designed to protect the rights of both landlords and tenants. A breach of these laws can have serious legal and financial implications.
State Laws
In Utah, Title 57, Chapter 17 of the Utah Code governs residential rental agreements and sets forth certain requirements which landlords and tenants must follow. For example, the law requires that most landlords give at least 24 hours written notice before entering the tenant’s premises. In addition, landlords must keep the property in a safe and sanitary condition and make all repairs necessary to keep the property habitable. These requirements apply regardless of whether or not they are expressly included in the lease agreement. Failing to meet these obligations can have dire consequences for landlords. For instance, if a rental unit is determined to be uninhabitable, the tenant may terminate the lease without penalty and recover all amounts payable under the rental agreement. If a landlord has violated the law, the tenant may also be entitled to damages for deprivation of use and enjoyment of the unit. Furthermore, if the violation is willful or malicious, the tenant may recover punitive and actual damages (as well as attorney’s fees). It is very important for landlords to be aware of their obligations under the Utah Code in order to avoid legal penalties and possible financial loss.
Local Laws
There may also be local laws and ordinances that govern the rental of residential units, so it is important to check both city and county regulations throughout the state. For example, some cities require that landlords provide notice for any rent increase or that an inspection be conducted before the property is rented. Even if these provisions are not contained in a written lease, failure to comply with a local ordinance could lead to civil or criminal penalties.
Federal Laws
Finally, the Utah Residential Lease Agreement and all rental agreements for residential units throughout the United States are subject to the Federal Fair Housing Act which prohibits discrimination based on race, color, religion, sex, disability, familial status, or national origin. Landlords cannot refuse to rent space or inquire about the status or identity of the prospective tenant or use discriminatory language in leasing applications or leases. Violations of the Fair Housing Act can lead to severe legal consequences.
Conclusion
Therefore, regardless of their experience or the length of time spent managing their properties, landlords should make sure they are compliant with all laws and ordinances to avoid liability and penalties.

Common Provision and Amendments in a Lease Agreement

A standard Utah residential lease agreement will typically include a range of common clauses. These clauses form the foundational legal structure of landlord-tenant relationships. Some of the most frequently encountered provisions include the following:
One of the clauses that landlords often find problematic is the security deposit provision. Utah law requires a written agreement if a landlord is going to collect a security deposit. If no agreement is in place, the landlord cannot collect any deposit from the tenant. Moreover, the amount of the security deposit cannot exceed the equivalent of two months’ rent. While many landlords take advantage of this provision and collect deposits greater than the legal limit, they are setting themselves up for a potential legal battle. If the case goes to court, the judge will simply award the tenant their money back and potentially require the landlord to pay the tenant’s costs and legal fees. If you are talking about a large deposit, this could easily add up to several thousand dollars. A statement on the rental application signed by the prospective tenant is NOT a written agreement unless it is signed by both parties.
Another common clause that frequently becomes a source of contention is the pet policy. Many properties do not allow pets, as these types of properties are typically easier to rent and in better condition when they come time to be re-rented. The only two situations in which a landlord is required to accept a pet are if the pet is a support animal or if the property receives some sort of benefit for accepting a certain pet. For example, an apartment complex may receive some sort of financial benefit from accepting pets. In those circumstances, the landlord has minimal options as to the terms of pet acceptance.
Many landlords have a very clear "no pets" policy or a policy that requires tenants to pay extra money every month if they own a pet. On the other hand, many landlords have no problem with accepting pets under some circumstances. However, it is important to maintain control over those circumstances. For example, a landlord could charge an extra $250.00 per pet every year and require that the tenant provide proof of current vaccination and a copy of the pet’s license. This clause allows the landlord to control what pets can reside on the property , while still allowing the opportunity for additional rent. It also sets up a source of income that will cover any additional wear and tear that the pet may inflict on the property.
We do not advise accepting additional pets on a cash basis and without any lease addendum. Under those circumstances, you are virtually guaranteeing that rent will increase due to some damage that the pet caused during its tenancy. If you find yourself in a situation where a tenant is requesting permission to have a pet despite the lease barring pets, you should be careful. They are likely being evicted from their current premises as a result of their pet and are seeking a landlord who will allow them to have a pet. You want to be that landlord, but there are certain risks involved in truthfully responding to any requests for modifications. After all, how can the tenant prove that they did not have a pet at the other property and that they are really a responsible pet owner? By requiring proof of vaccinations, licenses, and perhaps a pet deposit or increasing the security deposit, you are asking that tenant to put their money where their mouth is. You are firmly establishing a lease addendum that describes the increased rent as being related to the pet, and that any failure to comply can result in additional fees and/or immediate eviction. If you charge an upfront pet fee, you are effectively saying that you did not receive any money to bring the pet into the unit, thus avoiding the appearance of a bribe. From a legal perspective, this clause allows you to say no to the pet with little consequences, while allowing you to say yes with some guarantees.
As stated previously, landlords and tenants can amend a lease at any time. This allows more freedom and more flexibility than a lease application, which exists until the property is rented. A modification form provides the opportunity for the parties to sign a written agreement as to the terms of the modification. However, if one party refuses to sign the modification, that means that the lease remains unchanged and the tenant must comply with the terms of the lease at the time of signing. If they are not going to comply, they need to move. In practice, the tenant may still remain in the unit and the landlord may still be required to provide disclosures required under the lease modification; however, absent some other issue with the modification, the lease remains in full force and effect.

Ending or Extending a Lease Agreement

To terminate or renew a residential lease agreement in Utah, the landlord is required to provide a written notice of termination. If the rental period is week-to-week, the landlord must provide at least five days’ notice. For month-to-month rental periods, at least 15 days’ notice is required. For all other rental periods, a notice period equal in length to the rental period, as specified in the lease, is required. Paxton v. Jorgensen, 2006 UT 16, ¶ 18, 133 P.3d 366, 370. A notice given on or before the 20th of the month effective at the expiration of the following month terminates the tenancy on the last day of that month.
An exception exists for a month-to-month lease where the lease is governed by a Utah statute requiring a lessor to give notice of at least 30 days. According to Utah Code Ann. § 57-22-4, a lessor must give a month-to-month lessee at least 30 days’ notice to terminate or decline to renew the lease if: (1) the tenancy was commenced or renewed after May 10, 1977; (2) the rental unit has monthly rent of $900 or less; and (3) the rental unit is the primary residence of the lessee.
If the lease does not specify when it will automatically terminate, the lease continues until either: (1) one of the parties gives notice of termination or renewal within an agreed amount of time as outlined above; or (2) the parties mutually agree in writing to terminate the lease or agree to terminate the lease without notice, then the lease terminates in accordance with the agreement. Paxton v. Jorgensen, 2006 UT 16, ¶ 18, 133 P.3d 366, 370. If a party to a lease fails to provide proper notice, the party may be liable for damages for the breach, including consequential damages. Utah Tenant/ Landlord Handbook, Office of the Attorney General.
Utah Code Ann. § 57-16-3(1)(c) requires a landowner to authorize the use of real property for certain types of public charity or religious purposes only if the property owner enters into a lease agreement that includes: (1) a specific termination date; (2) an option to renew; (3) a one-year initial term of lease; (4) an annual rent per leasehold unit (and specifies how rent is to change in subsequent years), limited to the lesser of: (a) $300 per year; or (b) 1% of the fair market value of the property as established by an independent appraisal; (5) a provision for the sale of the property to the lessee at fair market value; and (6) a requirement that the lessee pay property taxes on the property in an amount not less than the amount of property taxes that would otherwise be payable, and that the lessee will provide proof of the payment of the taxes.

Dispute and Remedies

With any legally binding contract, disputes may arise following execution and performance. The Utah Residential Lease Agreement is no exception. All parties to a contractual obligation should be aware of how disputes are addressed under the law and the various remedies available to each party. This section should include details regarding common disputes that could arise from residential lease agreements, such as failure to pay rent, unauthorized alterations and repairs, liability for damage to the premises, issues related to pets, failure to provide proper notice for lease termination, and more. Where these disputes cannot be resolved amicably, the parties may find legal recourse through various means such as small claims court, mediation, or arbitration.
Small claims court is a special court in Utah that has jurisdiction over certain civil matters with monetary amounts in dispute. Small claims disputes are limited to $11,000, exclusive of interests and costs, and cannot involve recovery for personal injury. The proceedings are relatively informal and less expensive than traditional litigation in the Utah district courts, which is beneficial for tenants and landlords without large financial means. A plaintiff can bring an action in small claims court if the plaintiff’s home, where the lease was executed, or the location where the home resides is also within the judicial district where the rental property or home is located. A small claims judge will hear the dispute and issue a judgment. Additionally , a plaintiff can obtain an income withholding order to garnish the defendant/other party’s wages. If either party is unhappy with the outcome of the small claims proceeding, they may appeal the decision to a higher court; however, an additional fee is required. Mediation is a helpful tool to resolve differences prior to taking legal action. The parties may be able to resolve their issue by communicating effectively and working with a mediator to assist them. Mediation is a free service offered at district courthouses and houses of worship. Parties will meet with a well-informed, trained mediator, who will be available to both parties. The mediator is not present to side with or judge either party; however, the mediator does provide a structured environment to resolve conflicts. Mediation sessions are often held in five stages. For parties who are unable to reach an agreement through mediation, a lawsuit can be filed. Alternative dispute resolution (ADR) is another option for seeking relief through a court. Arbitration is a ‘private trial’ that can be used for the resolution of disputed issues. Arbitration can result in a legally binding judicial decision. There are several additional resources, including the Division of Consumer Protection and the Department of Housing and Urban Development, for reviewing Utah landlord tenant laws and enforcement. The Utah Landlord Tenant Act (Title 57) outlines the responsibilities of landlords and tenants and aims to fairly regulate the actions of landlords and tenants.