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2024 SESSION

24104482D
HOUSE BILL NO. 588
Offered January 10, 2024
Prefiled January 9, 2024
A BILL to amend and reenact § 55.1-1240 of the Code of Virginia, relating to Virginia Residential Landlord and Tenant Act; fire or casualty damage; termination by landlord.
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Patrons-- McClure, Clark, Henson and Shin
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Referred to Committee for Courts of Justice
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Be it enacted by the General Assembly of Virginia:

1. That § 55.1-1240 of the Code of Virginia is amended and reenacted as follows:

§ 55.1-1240. Fire or casualty damage.

A. If the dwelling unit or premises is damaged or destroyed by fire or casualty to an extent that the tenant's enjoyment of the dwelling unit is substantially impaired or required the unit requires repairs that can only be accomplished if the tenant vacates the dwelling unit, either the tenant or the landlord may terminate the rental agreement.

B. The tenant may terminate the rental agreement by vacating the premises and within 14 21 days thereafter, serving on the landlord a written notice of his intention to terminate the rental agreement, in which case the rental agreement terminates as of the date of vacating. If continued occupancy is lawful, § 55.1-1411 shall apply.

C. The landlord may terminate the rental agreement by giving the tenant 14 21 days' notice of his intention to terminate the rental agreement on the basis of the landlord's determination if, prior to giving the tenant such notice, he:

1. Has met with or has made a reasonable effort to meet with the tenant to discuss the extent of the damage to the tenant's unit and whether any reasonable alternatives to terminating the rental agreement are available; and

2. Has determined whether a substantially similar unit within the same complex is available for rent within a reasonable time for the tenant to move into such unit and if so, has offered to lease such unit to the tenant under the tenant's current lease terms.

If the landlord has met the requirements of subdivisions 1 and 2, and the landlord has determined that such damage requires the removal of the tenant and that the use of the premises is substantially impaired, in which case the rental agreement terminates shall terminate as of the expiration of the notice period.

D. Within seven days of receiving the termination notice pursuant to subsection C, a tenant may make a written request to have the landlord reevaluate the extent of the damage and habitability of the tenant's unit. The landlord shall involve the tenant in the reevaluation process. If, after meeting with the tenant or making a reasonable effort to meet with the tenant, the landlord determines that such damage requires the removal of the tenant and that the use of the premises is substantially impaired, the rental agreement shall terminate at the expiration of the original notice period.

E. If the rental agreement is terminated, the landlord shall return all security deposits in accordance with § 55.1-1226 and prepaid rent, plus accrued interest, recoverable by law unless the landlord reasonably believes that the tenant, an authorized occupant, or a guest or invitee of the tenant was the cause of the damage or casualty, in which case the landlord shall provide a written statement to the tenant for the security and prepaid rent, plus accrued interest based upon the damage or casualty, and may recover actual damages sustained pursuant to § 55.1-1251. Proration for rent in the event of termination or apportionment shall be made as of the date of the casualty.