H*3733(Rat #0167, Act #0112 of 1995)  General Bill, By L.L. Elliott, Bailey, 
G. Brown, T. Brown, B.D. Cain, C.D. Chamblee, Davenport, Govan, J. Hines, 
Inabinett, M.F. Jaskwhich, Jennings, M.H. Kinon, Littlejohn, Lloyd, Meacham, 
Neilson, Phillips, Rhoad, E.C. Stoddard and D.A. Wright
 A Bill to amend Section 27-40-210, Code of Laws of South Carolina, 1976,
 relating to definitions under the Residential Landlord and Tenant Act, so as
 to add certain language to the definition of "fair-market rental value", and
 add a definition for "security deposit"; to amend Section 27-40-240, relating
 to notice provisions under the Residential Landlord and Tenant Act, so as to,
 among other things, clarify certain references, and delete the reference to a
 repealed Code Section; to amend Section 27-40-530, relating to tenant
 obligations and access, so as to provide that a tenant shall not change locks
 on the dwelling unit without the permission of the landlord; to amend Section
 27-40-650, relating to tenant remedies and fire or casualty damage, so as to
 provide that unless fire or casualty was due to the tenant's negligence or
 otherwise caused by the tenant, if the rental agreement is terminated, the
 landlord shall return security recoverable under Section 27-40-410 and all
 prepaid rent, and provide that a landlord may withhold the tenant's security
 deposit or prepaid rent if the fire or casualty was due to the tenant's
 negligence or otherwise caused by the tenant, but that if the landlord
 withholds a security deposit or prepaid rent, he must comply with the notice
 requirement in Section 27-40-410(A); to amend Section 27-40-720, relating to
 landlord remedies and noncompliance affecting health and safety, so as to
 provide, among other things, that the tenant shall reimburse the landlord for
 certain costs; to amend Section 27-40-730, relating to landlord remedies for
 absence, nonuse, and abandonment of a dwelling unit, so as to provide that if
 the tenant has voluntarily terminated the utilities and there is an
 unexplained absence of a tenant after default in payment of rent, abandonment
 is considered immediate and the fifteen-day rule does not apply; and to amend
 Section 27-40-790, relating to the Residential Landlord and Tenant Act and the
 payment of rent into court, so as to delete the word "judgment" and replace it
 with the word "decision".-amended title

   03/02/95  House  Introduced and read first time HJ-9
   03/02/95  House  Referred to Committee on Labor, Commerce and
                     Industry HJ-10
   04/05/95  House  Committee report: Favorable with amendment Labor,
                     Commerce and Industry HJ-2
   04/11/95  House  Objection by Rep. Cotty HJ-21
   04/11/95  House  Amended HJ-21
   04/11/95  House  Read second time HJ-21
   04/12/95  House  Read third time and sent to Senate HJ-60
   04/18/95  Senate Introduced and read first time SJ-23
   04/18/95  Senate Referred to Committee on Judiciary SJ-23
   05/24/95  Senate Committee report: Favorable with amendment
                     Judiciary SJ-25
   05/29/95  Senate Amended SJ-26
   05/29/95  Senate Read second time SJ-26
   05/30/95  Senate Read third time and returned to House with
                     amendments SJ-56
   05/31/95  House  Concurred in Senate amendment and enrolled HJ-6
   06/06/95         Ratified R 167
   06/12/95         Signed By Governor
   06/12/95         Effective date 06/12/95
   08/11/95         Copies available
   08/11/95         Act No. 112

AN ACT TO AMEND SECTION 27-40-210, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS UNDER THE RESIDENTIAL LANDLORD AND TENANT ACT, SO AS TO ADD CERTAIN LANGUAGE TO THE DEFINITION OF "FAIR-MARKET RENTAL VALUE", AND ADD A DEFINITION FOR "SECURITY DEPOSIT"; TO AMEND SECTION 27-40-240, RELATING TO NOTICE PROVISIONS UNDER THE RESIDENTIAL LANDLORD AND TENANT ACT, SO AS TO, AMONG OTHER THINGS, CLARIFY CERTAIN REFERENCES, AND DELETE THE REFERENCE TO A REPEALED CODE SECTION; TO AMEND SECTION 27-40-530, RELATING TO TENANT OBLIGATIONS AND ACCESS, SO AS TO PROVIDE THAT A TENANT SHALL NOT CHANGE LOCKS ON THE DWELLING UNIT WITHOUT THE PERMISSION OF THE LANDLORD; TO AMEND SECTION 27-40-650, RELATING TO TENANT REMEDIES AND FIRE OR CASUALTY DAMAGE, SO AS TO PROVIDE THAT UNLESS FIRE OR CASUALTY WAS DUE TO THE TENANT'S NEGLIGENCE OR OTHERWISE CAUSED BY THE TENANT, IF THE RENTAL AGREEMENT IS TERMINATED, THE LANDLORD SHALL RETURN SECURITY RECOVERABLE UNDER SECTION 27-40-410 AND ALL PREPAID RENT, AND PROVIDE THAT A LANDLORD MAY WITHHOLD THE TENANT'S SECURITY DEPOSIT OR PREPAID RENT IF THE FIRE OR CASUALTY WAS DUE TO THE TENANT'S NEGLIGENCE OR OTHERWISE CAUSED BY THE TENANT, BUT THAT IF THE LANDLORD WITHHOLDS A SECURITY DEPOSIT OR PREPAID RENT, HE MUST COMPLY WITH THE NOTICE REQUIREMENT IN SECTION 27-40-410(A); TO AMEND SECTION 27-40-720, RELATING TO LANDLORD REMEDIES AND NONCOMPLIANCE AFFECTING HEALTH AND SAFETY, SO AS TO PROVIDE, AMONG OTHER THINGS, THAT THE TENANT SHALL REIMBURSE THE LANDLORD FOR CERTAIN COSTS; TO AMEND SECTION 27-40-730, RELATING TO LANDLORD REMEDIES FOR ABSENCE, NONUSE, AND ABANDONMENT OF A DWELLING UNIT, SO AS TO PROVIDE THAT IF THE TENANT HAS VOLUNTARILY TERMINATED THE UTILITIES AND THERE IS AN UNEXPLAINED ABSENCE OF A TENANT AFTER DEFAULT IN PAYMENT OF RENT, ABANDONMENT IS CONSIDERED IMMEDIATE AND THE FIFTEEN-DAY RULE DOES NOT APPLY; AND TO AMEND SECTION 27-40-790, RELATING TO THE RESIDENTIAL LANDLORD AND TENANT ACT AND THE PAYMENT OF RENT INTO COURT, SO AS TO DELETE THE WORD "JUDGMENT" AND REPLACE IT WITH THE WORD "DECISION".

Be it enacted by the General Assembly of the State of South Carolina:

Definition changed

SECTION 1. Section 27-40-210(4) of the 1976 Code is amended to read:

"(4) `fair-market rental value' means the actual periodic rental payment for comparable rental property to which a willing landlord and a willing tenant would agree. In determining the fair-market rental value, the court may consider appraisals offered by the tenant, landlord, realty experts, licensed appraisers, and other relevant evidence;"

New definition added

SECTION 2. Section 27-40-210 of the 1976 Code is amended by adding:

"(18) `security deposit' means a monetary deposit from the tenant to the landlord which is held in trust by the landlord to secure the full and faithful performance of the terms and conditions of the lease agreement as provided in Section 27-40-410."

Reference deleted; clarification of terms

SECTION 3. Section 27-40-240 of the 1976 Code is amended to read:

"Section 27-40-240. (A) A person has notice of a fact if:

(1) the person has actual knowledge of it;

(2) the person has received a notice or notification of it; or

(3) from all the facts and circumstances known to him at the time in question he has reason to know that it exists. A person `knows' or `has knowledge' of a fact if he has actual knowledge of it.

(B) A person `notifies' or `gives' a notice or notification to another person by taking steps reasonably calculated to inform the other in ordinary course whether or not the other actually comes to know of it. A person `receives' a notice or notification when:

(1) it comes to his attention; or

(2) in the case of the landlord, it is delivered at the place of business of the landlord through which the rental agreement was made or at any place held out by the landlord as the place for receipt of the communication; or

(3) in the case of the tenant, it is delivered in hand to the tenant or mailed by registered or certified mail to the tenant at the place held out by him as the place for receipt of the communication, or in the absence of the designation, to the tenant's last known place of residence. Proof of mailing pursuant to this subsection constitutes notice without proof of receipt.

(C) `Notice', knowledge, or a notice or notification received by an organization is effective for a particular transaction from the time it is brought to the attention of the individual conducting that transaction, and in any event from the time it would have been brought to the individual's attention if the organization had exercised reasonable diligence.

(D) The time within which an act is to be done must be computed by reference to South Carolina Rules of Civil Procedure."

Changing locks by tenant

SECTION 4. Section 27-40-530 of the 1976 Code is amended by adding:

"(e) A tenant shall not change locks on the dwelling unit without the permission of the landlord."

Security, prepaid rent; fire or casualty; etc.

SECTION 5. Section 27-40-650(b) of the 1976 Code is amended to read:

"(b) Unless the fire or casualty was due to the tenant's negligence or otherwise caused by the tenant, if the rental agreement is terminated, the landlord shall return security recoverable under Section 27-40-410 and all prepaid rent. Accounting for rent in the event of termination or apportionment must be made as of the date of the fire or casualty. A landlord may withhold the tenant's security deposit or prepaid rent if the fire or casualty was due to the tenant's negligence or otherwise caused by the tenant; however, if the landlord withholds a security deposit or prepaid rent, he must comply with the notice requirement in Section 27-40-410(a)."

Reimbursement of costs; etc.

SECTION 6. Section 27-40-720(a) of the 1976 Code is amended to read:

"(a) If there is noncompliance by the tenant with Section 27-40-510 materially affecting health and safety that can be remedied by repair, replacement of a damaged item, or cleaning, and the tenant fails to comply as promptly as conditions require in case of emergency or within fourteen days after written notice by the landlord specifying the breach and requesting that the tenant remedy it within that period of time, the landlord may enter the dwelling unit and cause the work to be done in a workmanlike manner and the tenant shall reimburse the landlord for the cost and, in addition, the landlord shall have the remedies available under this chapter."

When abandonment is considered immediate; etc.

SECTION 7. Section 27-40-730 of the 1976 Code is amended to read:

"Section 27-40-730. (a) The unexplained absence of a tenant from a dwelling unit for a period of fifteen days after default in the payment of rent must be construed as abandonment of the dwelling unit.

(b) If the tenant has voluntarily terminated the utilities and there is an unexplained absence of a tenant after default in payment of rent, abandonment is considered immediate and the fifteen day rule as described in (a) does not apply.

(c) If the tenant abandons the dwelling unit, the landlord shall make reasonable efforts to rent it at a fair rental. If the landlord rents the dwelling unit for a term beginning before the expiration of the rental agreement, it terminates as of the date of the new tenancy, subject to the landlord's remedies under Section 27-40-740. If the landlord fails to use reasonable efforts to rent the dwelling unit at a fair rental or if the landlord accepts the abandonment as a surrender, the rental agreement is considered to be terminated by the landlord as of the date the landlord has notice of the abandonment. If the tenancy is from month to month or week to week, the term of the rental agreement for this purpose is considered to be a month or a week, as the case may be.

(d) When a dwelling unit has been abandoned or the rental agreement has come to an end and the tenant has removed a substantial portion of his property or voluntarily and permanently terminated his utilities and has left personal property in the dwelling unit or on the premises with a fair-market value of five hundred dollars or less, the landlord may enter the dwelling unit, using forcible entry if required, and dispose of the property.

(e) When a dwelling unit has been abandoned or the rental agreement has come to an end and the tenant has left personal property in the dwelling unit or on the premises in the cases not covered by subsection (c) above, the landlord may have the property removed only pursuant to the provisions of Sections 27-37-10 to 27-37-150 of the 1976 Code.

(f) Where property is disposed of by the landlord pursuant to subsection (c) and the property was in excess of five hundred dollars, the landlord is not liable unless the landlord was grossly negligent."

Judgment deleted; decision substituted

SECTION 8. Section 27-40-790(d) of the 1976 Code is amended to read:

"(d) If the amount of rent due is determined at final adjudication to be less than alleged by the landlord, decision must be entered for the tenant if he has complied fully with the provisions of this section."

Time effective

SECTION 9. This act takes effect upon approval by the Governor.

Approved the 12th day of June, 1995.