Simply put, it is an agreement between the landlord and the tenant on how benefits are treated. One of them can help both parties understand who is responsible for what and provide documents to protect each party from a violation of the agreement by the other party. If your rental contract doesn`t contain a language on utilities, a utility addendum is probably a good idea. Call us if you call one of our offices for more information. “What is a utility addendum?” This is a question that one of our offices recently asked. To inform all our owners and tenants interested in this topic, we answer this question via our blog. Here`s our review of the Utility Addendum – A utility addendum could be something that would be added to the rental with the following goal: your email address will not be published. The required fields are marked – For example, the rent is $1000 per month, but the $60 channel bill (paid quarterly) cannot be recorded in the tenant`s name. The addendum explained that the tenant and landlord agree that the rent includes 20 $US per month to cover the canal costs, and that the tenant will now be responsible for a total monthly rent of 1020 $US per month. Note that it is usually a supplement because it is added after the fact and is used to clarify the exact amount and expectation of payment each month to all parties. Without the endorsement, the owner may be required to file for small claims if the utility fee has not been paid.
With the endorsement, the landlord has a much stronger case to request eviction for non-payment or partial payment of rent to the tenant. If you add to the monthly rent the monthly amount of an electricity bill that cannot normally be paid on behalf of the tenants, but which they bear by lease agreement.