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Chapter 710-A Security Deposits on Residential Rental Units

Section 6031. Definitions As uses in this Part, unless the context otherwise indicates, the following words shall have the following meanings.

1. Normal wear and tear. "Normal wear and tear" means that deterioration which occurs, based upon the use for which the rental unit is intended, without negligence, carelessness, accident or abuse of the premises or equipment or chattels by the tenant or members of his household or their invitees or guests. The term "normal wear and tear" does not include sums or labor expanded in removing from the rental unit articles abandoned by the tenant such as trash. If a rental unit was leased to the tenant in a habitable condition or if to was put in a habitable condition by the landlord during the terms of the tenancy, normal wear and tear does not include sums required to be expended by the landlord to return the rental unit to a habitable condition, unless expenditure of these sums was necessitated by actions of the landlord, events beyond the control of the tenant or actions of someone other than the tenant or members of his household or their invitees or guests.
2. Security deposit. "Security deposit" means any advance or deposit, regardless of its denomination, of money, the primary function of which is to secure the performance of a rental agreement for residential premises or any part thereof.

Section 6032. Maximum security deposit. No lessor of a dwelling intended for human habitation shall require a security deposit equivalent to more than the rent for 2 months.

Section 6033. Return of the security deposit.

1. Normal wear and tear. A security deposit or any portion of a security deposit shall not be retained for the purpose of paying for normal wear and tear.
2. Return; time; retention. A landlord shall return to a tenant the full security deposit deposited with the landlord by the tenant or, if there is actual cause for retaining the security deposit or any portion of it, the landlord shall provide the tenant with a written statement itemizing the reasons for the retention of the security deposit or any portion of it:

A. In the case of a written rental agreement, within the time, not to exceed 30 days, stated in the agreement; and
B. In the case of tenancy at will, within 21 days after the termination of the tenancy or the surrender and acceptance of the premises, whichever occurs later. The written statement itemizing the reasons for the retention of any portion of the security deposit shall be accompanied by a full payment of the difference between the security deposit and the amount retained. The landlord is deemed to have complied with this section by mailing the statement any payment required to the last known address of the tenant. Nothing in this section may preclude the landlord from retaining the security deposit to cover costs of storing and disposing of unclaimed property, for nonpayment of rent or nonpayment of utility charges which the tenant was required to pay directly to the landlord.

3. Penalty. If a landlord fails to provide a written statement or to return the security deposit within the time specified in subsection 2, the landlord shall forfeit his right to withhold any portion of the security deposit.

Section 6034. Wrongful retention; damages

1. Notice to landlord of intention to bring suit; presumption or failure to return deposit. Should the landlord fail to return the security deposit and provide the itemized statement within the time periods in Section 6033, the tenant shall give notice to the landlord of his intention to bring legal action no less than 7 days prior to commencing the action. Should the landlord fail to return the entire security deposit within the 7-day period, it shall be presumed that the landlord is willfully and wrongfully retaining the security deposit.
2. Double damages for willful retention. The willful retention of a security deposit in violation of this chapter shall render a landlord liable for double the amount of that portion of the security deposit wrongfully withheld from the tenant, together with reasonable attorney's fees and court costs.
3. Burden of proof. In any court action brought by a tenant under this section, the landlord shall bear the burden of proving that his withholding of the security deposit, or any portion of it, was not wrongful.

Section 6035. Transfer of security deposit

1. Landlord's termination of interests in the dwelling unit. Upon termination of his interest in the dwelling unit, whether by sale, assignment, death, appointment of a receiver or otherwise, the person in possession of the security deposit, including, but not limited to, the landlord, his agent or executor shall, within a reasonable time:

A. Transfer the funds, or any remainder after lawful deduction under this chapter, to the landlord's successor in interest and notify the tenant by mail of that transfer and of the transferee's name and address; or

B. Return the funds, or any remainder after lawful deductions under this section, to the tenant.

2. Release from liability following compliance. Upon compliance with this section, the person in possession of the security deposit shall be relieved of further liability and the transferee, in relation to those funds, shall be deemed to have all the rights and obligations of a landlord holding the funds as a security deposit. Section 6036. Waiver of provisions Any provision, whether oral or written, in or pertaining to a rental agreement whereby any provision of this chapter for the benefit of a tenant or members of its household is waived shall be deemed to be against public policy and shall be void.

Section 6037. Exemptions

1 Federally guaranteed mortgages. Any of the provisions of this chapter relative to security deposits which may be in conflict with the terms of a mortgages guaranteed by the United States or any authority created under the laws thereof, shall not apply to security deposits held by the lessor who appears as the mortgagor in such a mortgage.
2. Owner-occupied buildings of 5 or fewer units. This chapter shall not apply to any tenancy or dwelling unit which is part of a structure containing no more than 5 dwelling units, one of which is occupied by the landlord.

Section 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 not be treated as an asset to be commingled with assets of the landlord. All security deposits received after October 1, 1979, shall be held in an account of a bank or other financial institution under such terms as will place the security deposit beyond the claim of creditors of the landlord, including a foreclosing mortgage or trustee in bankruptcy, and as will provide for transfer of the security deposit to a subsequent owner of the dwelling unit. Upon request by his 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 tenants.

Chapter 709 Entry and Detainer

Section 6001. Availability of remedy

1. Persons against whom process may be maintained. Process of forcible entry and detainer may be maintained against a disseisor who has not acquired any claim by possession and improvement; against a tenant holding under a written lease or contract, or person holding under such tenant; against a tenant where the occupancy of the premises is incidental to the employment of a tenant; at expiration or forfeiture of the term, without notice, if commenced within 7 days from the expiration or forfeiture of the term; and against a tenant at will, whose tenancy has been terminated as provided in section 6002.
2. Persons who may not maintain process. The process of forcible entry and detainer may not be maintained against a tenant by a 3rd party lessee, grantee, assignee or donee of the tenant's premises, unless a tenant at will has received notice of termination in accordance with section 6002 by either the grantor or the grantee of the conveyance.
3. Presumption of retaliation. In any action of forcible entry and detainer there shall be a presumption that the action was commenced in retaliation against a tenant if, within 6 months prior to the commencement of the action, the tenant has:

A. Asserted his rights pursuant to section 6021.
B. Complained as an individual, or a complaint has been made in that individual's behalf, in good faith, of conditions affecting that individual's dwelling unit which may constitute a violation of a building, housing, sanitary or other code, ordinance, regulation or statute, presently or hereafter adopted, to a body charged with enforcement of that code, ordinance, regulation or statute, or such a body has filed a notice or complaint of such a violation.
C. Complained in writing or made a written request, in good faith, to the landlord or the landlord's agent to make repairs on the premises as required by any applicable building, housing or sanitary code, or by section 6021, or as required by the rental agreement between the parties; or
D. Been the beneficiary of general assistance paid into escrow pursuant of Title 22, section 4325. This paragraph is repealed on October 1, 1991. No writ of possession may issue in the absence of rebuttal of the presumption of retaliation. 4. Membership in tenant's organization. No writ of possession may issue when the tenant proves that the action of forcible entry and detainer was commenced in retaliation for tenant's membership in an organization concerned with landlord-tenant relationships.

Section 6002. Tenancy at will; buildings on land of another Tenancies at will must be terminated by either party by 30 days' notice, except as provided in subsection 1, in writing for the purpose given to the other party, and not otherwise, excepting cases where the tenant, if liable to pay rent, shall not be in arrears at the expiration of the notice, in which case the 30 days' notice shall be made to expire upon a rent day, provided that either party may waive in writing said 30 days' notice at the time said notice is given, and at no other time prior to the giving of such notice. Such termination shall not be affected by the receipt of moneys, whether previously owed or for current use and occupation, until the date a writ of possession is issued against the tenant during the period of actual occupancy after receipt of said notice. When the tenancy is terminated, the tenant is liable to the process of forcible entry and detainer without further notice and without proof of any relation of landlord and tenant unless he has paid, after service of the notice, rent that accrued after termination of the tenancy. These provisions apply to tenancies of buildings erected on land of another party. Termination of the tenancy shall be deemed to occur at the expiation of the time fixed in the notice.

1. Causes for 7-day notice of termination of tenancy. Notwithstanding any other provision of this chapter, in the event that the landlord can show, by affirmative proof, that the tenant's family or an invitee of the tenant has caused substantial damage to the premises which the tenant has not repaired or caused to be repaired before the giving of notice provided in this subsection, has caused or permitted a nuisance within the premises, has caused or permitted an invitee to cause the dwelling unit to become unfit for human habitation or has violated or permitted a violation of the law regarding the tenancy, or when the tenant is 14 days or more in arrears in payment of his rent, the tenancy may be terminated by the landlord by 7 days' notice in writing for that purpose given to the tenant, and in the event that the landlord or his agent has made at least 3 good faith efforts to serve the tenant, that service may be accomplished by both mailing the notice by first class mail to the tenant's last known address and by leaving the notice at the tenant's last and usual place of abode. If a tenant, who is 14 days or more in arrears in payment of his rent, pays the full amount of rent due before the expiration of the 7-days' notice in writing, that notice shall be void. Payment or written assurance of payment through the general assistance program, as authorized by the State or a municipality pursuant to Title 22, chapter 1251, shall be given the same effect as payment in cash.
2. Ground for termination notice. Any notice of termination issued pursuant to subsection 1 shall indicate the specific ground claimed for issuing the notice. If a ground claimed is rent arrearage of 14 days or more, the notice shall also include a statement indicating that the tenant can negate the effect of the notice of termination as it applies to rent arrearage if he pays the full amount of rent due before the expiration of the notice.
3. Breach of warranty of habitability as an affirmative defense. In an action brought by the landlord to terminate a rental agreement on the ground that the tenant is in arrears in payment of his rent, the tenant may raise as a defense any alleged violation of implied warranty and covenant of habitability, provided that the landlord or the landlord's agent has actual constructive notice of the alleged violation, and has unreasonably failed under the circumstances to take prompt, effective steps to repair or remedy the condition and the condition was not caused by the tenant or other persons acting under the tenant's control. Upon finding that the dwelling unit is not fit for human habitation, the court shall permit the tenant either to terminate the rental agreement without prejudice or to reaffirm the rental agreement, with the court assessing against the tenant an amount equal to the reduced fair rental value of the property for the period during which rent is owed. The reduced amount of rent thus owed shall be paid on a pro rate basis, unless the parties agree otherwise, and payments shall become due at the same intervals as rent for the current rental period. The landlord may not charge the tenant for full rental value of the property until such time as it is fit for human habitation.

Section 6003. Jurisdiction. The District Court shall have jurisdiction of cases of forcible entry and detainer. If either in a forcible entry and detainer action requests a recorded hearing, the court shall schedule and hold the hearing as soon as practicable, but no later than 10 days after the return day. Any defendant requesting a recorded hearing shall file a written answer enumerating all known defenses on or before the return day.

Section 6004. Commencement of action; recognizance The process of forcible entry and detainer shall be commenced and service made in the same manner as other civil actions, When the plaintiff lives out of the State and recognizance is required of him, any person in his behalf shall be personally liable.

Section 6005. Writ of possession; service When the defendant is defaulted or fails to show sufficient cause, judgement shall be rendered against him by the District Court for possession of the premises and a writ of possession be issued to remove him, which may be served by a constable. An additional writ of possession may be issued by the clerk at the request of the plaintiff after issuance of the first writ. When a writ of possession has been served on the defendant by a constable or sheriff, and the defendant fails to remove himself or his possession within 48 hours of service by the constable or sheriff, the defendant is deemed a trespasser without right and the defendant's goods and property are considered by law to be abandoned and subject to section 6013.

Section 6006. Claim of title When the defendant claims title in himself or in another person under whom he claims the premises, he shall, except as otherwise provided, recognize in a reasonable sum to the plaintiff, with sufficient sureties, conditioned to pay intervening damages and costs and a reasonable rent for the premises. The plaintiff shall in a like manner recognize to the defendant, conditioned to enter the action in the Superior Court within 30 days and to pay all costs adjusted against him. If either party neglects so to recognize, judgement shall be rendered against him.

Section 6007. Allegation that defendant's claim is frivolous The plaintiff may make a written allegation that the defendant's claim of title is frivolous and intended for delay and the judge shall then examine the case so far as to ascertain the truth of such allegation, and if satisfied of the truth thereof, he shall proceed to try the cause, and if it is determined in favor of the plaintiff, he may issue a writ of possession for removal of the defendant; but shall not prevent an appeal as provided in section 6008.

Section 6008. Appeals Either party may appeal on questions of law from a judgement to the Superior Court as in other civil actions. Either party may appeal on any issues triable by right by a jury to a trial de novo in the Superior Court as provided in this section. When the defendant appeals, the Superior Court may stay the issuance of a writ of possession pending disposition of the appeal. The Superior Court shall condition the granting and continuation of the stay on the defendant's payment of the current rent for the premises into an escrow account to be administered by the clerk of the Superior Court and, in all appropriate cases, on the defendant's agreement to refrain from any nuisance or damage. Upon finding a violation of the condition for granting the stay, the Superior Court shall vacate the stay. Upon application of either party, the Superior Court may authorize payments from the escrow accounts for appropriate expenses related to the premises. The appeal decision or an agreement of the parties shall provide for the disposition of the escrowed rent. The procedures with respect to the appeal of an issue triable by right by a jury to trial de novo in Superior Court shall be set forth in rules to be promulgated by the Supreme Judicial Court.

Section 6009. Judgement for plaintiff; possession on recognizance; damages When judgement is rendered for the plaintiff a writ of possession may issue in all cases if he recognizes to the defendant in the manner before provided, conditioned to pay all such damages and costs as may be awarded against him if final judgement is rendered for the defendant. When either party appeals, the plaintiff may give evidence of any claim rent of the premises, to be set off against damages claimed against by the defendant.

Section 6010. Sums due for rent and damages Sums due for rent on leases under seal or otherwise and claims for damages to premises rented may be recovered in an action, specifying the items and amount claimed, but no action shall be maintained for any sums claimed to be due for rental or for claim for damages for the breach of any of the conditions claimed to be broken on the part of the lessee, his legal representatives, assigns or tenant, contained in a lease or written agreement to hire or occupy any building, buildings or part of a building, during a period when such building, buildings or part of a building, which the lessee, his assigns, legal representatives or tenant may occupy or have a right to occupy, shall have been destroyed or damaged by fire or other unavoidable casualty so that the same shall be therefore rendered unfit for use or habitation; provided that nothing herein shall render invalid or unenforceable an agreement contained in a lease or any building, buildings, or part of a building used primarily for other than residential purposes or in the case of any lease securing obligations guaranteed by the Maine Guaranty Authority or in any written instrument to pay the rental stipulated in said lease or agreement or any portion of such rental during a period when the building, buildings, or part of a building described therein shall have been destroyed or damaged by fire or other unavoidable casualty so that the same shall be rendered unfit for use or habitation, in whole or in part. In any action for sums due for rent, if the court finds that;

1. Notice of conditions. The tenant, without unreasonable delay, gave to the landlord or to the person who customarily collects rent on behalf of the landlord written notice of a condition which rendered the rented premises unfit for human habitation;
2. Cause of condition. The condition was not caused by the tenant or another person acting under his control;
3. Failure to take steps. The landlord unreasonably failed under the circumstances to take prompt, effective steps to repair or remedy the condition; and
4. Rental payments current. The tenant is current in rental payments owing to the landlord at the time written notice was given. Then the court shall deduct from the amount of rent due and owing the difference between the rental price and the fair value of the use and occupancy of the premises from the time or written notice, as provided in subsection 1, to the time when the condition is repaired or remedied. In determining the fair value of the use and occupancy of the premises, there shall be a rebuttable presumption that the rental price is fair value of the rented premises free from any condition rendering it unfit for human habitation. Any agreement by a tenant to waive the rights or benefits provided by this section shall be void. A written agreement whereby the tenant accepts specified conditions which may violate the warranty of fitness for human habitation in return for a stated reduction in rent or other specified fair consideration shall be binding on the tenant and the landlord.

Section 6011. House of ill fame; lease void at landlord's option When the tenant of a dwelling house is convicted of keeping it as a house of ill fame, the lease or contract by which he occupies it may, at the option of the landlord, be denied void and the landlord shall have the same remedy to recover possession as against a tenant holding over after his term expires.