§521-78 - Rent trust fund.
§521-78 Rent trust fund. (a) At the
request of either the tenant or the landlord in any court proceeding in which
the payment or nonpayment of rent is in dispute, the court shall order the
tenant to deposit any disputed rent as it becomes due into the court as
provided under subsection (c), and in the case of a proceeding in which a rent
increase is in issue, the amount of the rent prior to the increase; provided
that the tenant shall not be required to deposit any rent where the tenant can
show to the court's satisfaction that the rent has already been paid to the
landlord; provided further that if the parties had executed a signed, written
instrument agreeing that the rent could be withheld or deducted, the court
shall not require the tenant to deposit rent into the fund. No deposit of rent
into the fund ordered under this section shall affect the tenant's rights to
assert either that payment of rent was made or that any grounds for nonpayment
of rent exist under this chapter.
(b) If the tenant is unable to comply with the
court's order under subsection (a) in paying the required amount of rent into
the court, the landlord shall have judgment for possession and execution shall
issue accordingly. The writ of possession shall issue to the sheriff or to a
police officer of the circuit where the premises are situated, commanding the
sheriff or police officer to remove all persons from the premises, and to put
the landlord, or the landlord's agent, into the full possession thereof.
(c) The court in which the dispute is being
heard shall accept and hold in trust any rent deposited under this section and
shall make such payments out of money collected as provided herein. The court
shall order payment of such money collected or portion thereof to the landlord
if the court finds that the rent is due and has not been paid to the landlord
and that the tenant did not have any basis to withhold, deduct, or otherwise
set off the rent not paid. The court shall order payment of such money
collected or portion thereof to the tenant if the court finds that the rent is
not due or has been paid, or that the tenant had a basis to withhold, deduct,
or otherwise set off the rent not paid.
(d) The court shall, upon finding that either
the landlord or the tenant raised the issue of payment or nonpayment of rent in
bad faith, order that person to pay the other party reasonable interest on the
rent deposited into the court. [L 1978, c 75, §2; am L 1981, c 235, §5; gen ch
1985; am L 1989, c 211, §10; am L 1990, c 281, §11]
Cross References
Sheriff, etc., see §26-14.6.
Case Notes
Mentioned: 74 H. 294, 845 P.2d 1186.