§209-9  Rental or sale of essentialcommodities during a state disaster; prohibition against price increases. (a)  Whenever the governor declares a state disaster for the entire State orany portion thereof, or when the State, or any portion thereof, is the subjectof a severe weather warning:

(1)  There shall be prohibited any increase in theselling price of any commodity, whether at the retail or wholesale level, inthe area that is the subject of the disaster declaration or the severe weatherwarning; and

(2)  No landlord shall terminate any tenancy for aresidential dwelling unit in the area that is the subject of a disasterdeclaration or a severe weather warning, except for a breach of a material termof a rental agreement or lease, or if the unit is unfit for occupancy asdefined in this chapter, provided that:

(A)  Nothing in this chapter shall be construedto extend a fixed term lease beyond its termination date, except that aperiodic tenancy for a residential dwelling unit may be terminated by thelandlord upon forty-five days written notice:

(i)  When the residential dwelling unit is soldto a bona fide purchaser for value; or

(ii)  When the landlord or an immediate familymember of the landlord will occupy the residential dwelling unit; or

(B)  Under a fixed term lease or a periodictenancy, upon forty-five days written notice, a landlord may require a tenantor tenants to relocate during the actual and continuous period of any repair torender a residential dwelling unit fit for occupancy provided that:

(i)  Reoccupancy shall first be offered to thesame tenant or tenants upon completion of the repair; and

(ii)  The term of the fixed term lease orperiodic tenancy shall be extended by a period of time equal to the duration ofthe repair; and

(iii)  It shall be the responsibility of thetenant or tenants to find other accommodations during the period of repair.

As used in this section, "breach of amaterial term" means the failure of a party to perform an obligation underthe rental agreement which constitutes the consideration for entering into thecontract and includes the failure to make a timely payment of rent.  For thepurpose of this subsection:

"Fixed term lease" means a lease forreal property that specifies its beginning date and its termination date ascalendar dates, or contains a formula for determining the beginning andtermination dates; and the application of the formula as of the date of theagreement will produce a calendar date for the beginning and termination of thelease.

"Periodic tenancy" means a tenancywherein real property is leased for an indefinite time with monthly or otherperiodic rent reserved.  A periodic tenancy may be created by express agreementof the parties, or by implication upon the expiration of a fixed term leasewhen neither landlord nor tenant provides the other with written notice oftermination and the tenant retains possession of the premises for any period oftime after the expiration of the original term.

"Unfit for occupancy" means that aresidential dwelling unit has been damaged to the extent that the appropriatecounty agency determines that the unit creates a dangerous or unsanitarysituation and is dangerous to the occupants or to the neighborhood.

(b)  Notwithstanding this section, anyadditional operating expenses incurred by the seller or landlord because of thestate disaster, and which can be documented, may be passed on to the consumer. In the case of a residential dwelling unit, if rent increases are contained ina written instrument which was signed by the tenant prior to the disasterdeclaration or severe weather warning, the increases may take place pursuant tothe written instrument.

(c)  The prohibitions under subsection (a)shall remain in effect until twenty-four hours after the severe weather warningis canceled by the National Weather Service; or in the event of a disasterdeclaration, until the declaration is altered, amended, revised, or revoked bythe governor.

(d)  In any action against a merchant,landlord, or other business for violation of the price limitations in thissection, the defendant shall be deemed not to have violated this section if thedefendant proves all of the following:

(1)  The violation of the price limitation wasunintentional;

(2)  The defendant voluntarily rolled back prices tothe appropriate level upon discovering that this section was or may have beenviolated; and

(3)  The defendant has instituted a restitutionprogram for all consumers who may have paid excessive prices.

(e)  Any violation of this section shallconstitute unfair methods of competition and unfair and deceptive acts orpractices in the conduct of any trade [or] commerce under section 480-2 andshall be subject to a civil penalty as provided in section 480-3.1.  Each itemsold at a price that is prohibited by this section shall constitute a separateviolation. [L 1983, c 271, §1; am L 1993, c 333, §3; am L 1994, c 86, §1]