Client Alert


Longer Notice Requirements for Residential Lease Renewals, Terminations and Rent Increases

A row of blue paper houses

On July 22, 2020 the Chicago City Council passed the “Fair Notice” ordinance (the “Ordinance”) which requires longer notice periods for landlords who seek to terminate, not renew or increase rental rates for residential leases.

Under the new Ordinance, a landlord must provide a tenant with prior written notification of its intent to terminate, not to renew, or increase rent under a lease as follows: (i) 120 days’ notice with respect to a tenant residing in a unit for more than 3 years; (ii) 60 days’ notice with respect to a tenant residing in a unit between 6 months and 3 years; and (iii) 30 days’ notice with respect to a tenant residing in a unit less than 6 months.   The failure to timely provide such prior written notice allows the tenant to remain in its unit for 60, 90 or 120 days, respectively, after notice.

Previously, the notice period for any residential lease was 30 days and the failure to deliver such notice enabled a tenant to remain in its unit for up to 60 days after notice.

The requirements provided in the Ordinance are in addition to the Council’s adoption of the “COVID-19 Eviction Protection Ordinance” last month which set forth additional steps Chicago landlords must follow before terminating any residential lease based on nonpayment of rent.

HMB Legal Counsel will continue to provide updates as the situation evolves. The ongoing issues related to the spread of the Coronavirus (COVID-19) have had and will continue to have a significant impact on individuals, families, businesses and markets. Visit our collection of resources providing guidance during these fast-changing circumstances. To discuss how the COVID-19 "Fair Notice" Ordinance may impact you, please contact a member of the Real Estate team.

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