Oregon Statewide Rule
Oregon Rent Late Fee Limits
Key Facts
- Grace period
- Through the 4th day of the rental period (ORS 90.260)
- Flat fee
- Reasonable customary amount, once per period
- Daily charge
- Max 6% of the flat amount, from the 5th day
- Percentage option
- 5% of periodic rent per five-day period
- Written agreement
- Required to charge any late fee
Summary
ORS 90.260 lets an Oregon landlord charge a late fee only if rent is not received by the fourth day of the rental period and the written rental agreement provides for it. The fee must be a reasonable flat amount, a daily charge capped at 6% of that amount, or 5% of periodic rent per five-day delinquency.
90.260 Late rent payment charge or fee; restrictions; calculation. (1) A landlord may impose a late charge or fee, however designated, only if: (a) The rent payment is not received by the fourth day of the weekly or monthly rental period for which rent is payable; and (b) There exists a written rental agreement that specifies: (A) The tenant’s obligation to pay a late charge on delinquent rent payments; (B) The type and amount of the late charge, as described in subsection (2) of this section; and (C) The date on which rent payments are due and the date or day on which late charges become due. (2) The amount of any late charge may not exceed: (a) A reasonable flat amount, charged once per rental period. “Reasonable amount” means the customary amount charged by landlords for that rental market; (b) A reasonable amount, charged on a per-day basis, beginning on the fifth day of the rental period for which rent is delinquent. This daily charge may accrue every day thereafter until the rent, not including any late charge, is paid in full, through that rental period only. The per-day charge may not exceed six percent of the amount described in paragraph (a) of this subsection;
Full Breakdown
ORS 90.260 allows a late charge only when 'the rent payment is not received by the fourth day of the weekly or monthly rental period.' The agreement must specify the obligation, type, and amount in writing. Three structures are permitted: 'a reasonable flat amount, charged once per rental period'; a daily charge that 'may not exceed six percent' of that flat amount, beginning on the fifth day; or 'five percent of the periodic rent payment amount, charged once for each succeeding five-day period.' A landlord may not deduct a prior late charge from rent to make a later payment delinquent, and nonpayment of a late charge alone is not grounds for a nonpayment eviction.
Violations & Penalties
No specific statutory penalty. A late fee that exceeds the ORS 90.260 limits, or that is charged without a written agreement or before the fourth day, is unenforceable, and an unlawful charge cannot be the basis for a nonpayment-of-rent termination.
Frequently Asked Questions
When can an Oregon landlord charge a late fee?
How much can an Oregon late fee be?
Sources
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