Indiana Standard Residential Lease Agreement

Introduction

An Indiana residential lease agreement is a legally binding contract between a landlord and tenant that establishes the terms and conditions for renting residential property in the State of Indiana. This agreement defines the lease term, rent amount, security deposit requirements, required disclosures, and the rights and obligations of both parties. Once signed by both the landlord and tenant, the lease becomes enforceable under Indiana law.

This comprehensive guide covers all essential aspects of Indiana residential lease agreements, including state-mandated disclosures, security deposit regulations, rent payment terms, landlord entry rights, tenant and landlord obligations, lease termination procedures, and eviction processes. All information is supported by current Indiana Code statutes and federal regulations where applicable.

Required Disclosures

Indiana law requires landlords to provide specific disclosures to tenants before or at the commencement of a tenancy. These mandatory disclosures are designed to protect tenant health and safety and ensure transparency in the landlord-tenant relationship.

Lead-Based Paint Disclosure (pre-1978 Properties)

Federal law requires landlords to disclose known information about lead-based paint and lead-based paint hazards for residential properties built before 1978. Landlords must:

Provide tenants with an EPA-approved information pamphlet on identifying and controlling lead-based paint hazards ("Protect Your Family From Lead in Your Home")

Disclose any known lead-based paint and lead-based paint hazards in the dwelling unit

Provide any available records or reports pertaining to lead-based paint and/or lead-based paint hazards

Include specific warning language in the lease agreement as required by EPA/HUD regulations

Obtain signed acknowledgment from tenants certifying they received the required information

*Landlords must retain copies of all disclosures and acknowledgments for at least three years from the commencement of the leasing period. Failure to comply with lead-based paint disclosure requirements can result in significant civil and criminal penalties. *^[1]

Flood Plain Disclosure

Indiana law requires landlords to clearly disclose in the rental agreement if the lowest floor of a structure, including any basement, is located at or below the 100-year frequency flood elevation. This determination is based on flood maps published by the Indiana Department of Natural Resources, the Federal Emergency Management Agency (FEMA) Flood Insurance Rate Maps, or FEMA-approved local flood plain maps. ^[2]

This disclosure requirement applies to rental agreements entered into or renewed after June 30, 2009, for residential, agricultural, and commercial property. The disclosure must be clearly stated within the landlord-tenant rental agreement itself.

Landlord/manager Identification Disclosure

Before or at the commencement of any residential tenancy, Indiana landlords must disclose in writing to the tenant the names and addresses of: ^[3]

A person residing in Indiana who is authorized to manage the dwelling unit

A person residing in Indiana reasonably accessible to the tenant who is authorized to act as agent for the owner for purposes of service of process and for receiving and receipting for notices and demands

A person identified as the property manager may also serve as the agent for service of process. This disclosure requirement is enforceable against any successor landlord, owner, or manager. If a landlord fails to comply with this requirement, the person who fails to disclose becomes an agent of each person who is a landlord for purposes of service of process and receiving notices, and the tenant may recover any expenses reasonably incurred to discover the required names and addresses.

Smoke Detector Acknowledgment

At the time the landlord delivers a rental unit to a tenant, Indiana law requires the landlord to obtain written acknowledgment from the tenant that the rental unit is equipped with a functional smoke detector. This requirement cannot be waived by either the landlord or the tenant in the rental agreement or any separate writing. ^[4]

Once the rental begins, the tenant assumes responsibility to ensure that each smoke detector installed in the rental unit remains functional and is not disabled. If the smoke detector is battery operated, the tenant must replace batteries as necessary to maintain functionality.

Water and Sewage Services Disclosure

When a landlord distributes water or sewage disposal service from a utility to tenants and bills separately from rent, Indiana law requires disclosure of specific information. The disclosure must be provided in the lease, the tenant's first bill, or a separate signed writing. The required disclosure must include: ^[5]

A description of the water or sewage disposal services provided

An itemized statement of permitted fees and charges

A statement that tenants have the right under Indiana law to file a complaint with the Indiana Utility Regulatory Commission if they believe they are being charged improperly

The landlord may not charge tenants more than what the landlord paid the utility for the same services, less the landlord's own use. This statute helps protect tenants from excessive utility charges while allowing landlords to pass through legitimate water and sewage costs.

Security Deposits

Indiana law provides specific protections and requirements regarding security deposits to ensure fair treatment of both landlords and tenants.

Maximum Security Deposit Amount

Indiana does not impose a statutory limit on the maximum security deposit amount that landlords may require. Landlords are free to set security deposit amounts at their discretion, though the amount should be reasonable in relation to the rental value of the property. Common practice is to require one to two months' rent as a security deposit.

Security Deposit Return Timeline and Itemization

Indiana law requires landlords to return security deposits within 45 days after the termination of the rental agreement and delivery of possession by the tenant. If the landlord makes any deductions from the security deposit, the landlord must provide the tenant with an itemized list of damages along with a check for the remaining balance. ^[6]

The itemized statement must be delivered to the tenant not more than 45 days after termination of the rental agreement and delivery of possession. The landlord must mail or deliver the statement and any refund to the tenant's last known address or forwarding address if provided.

Allowable Deductions

Under Indiana law, landlords may deduct from the security deposit for:

Unpaid rent

Unpaid utility or sewer charges that are the tenant's responsibility

Damages to the premises caused by the tenant's noncompliance with the rental agreement (beyond normal wear and tear)

Normal wear and tear includes deterioration that occurs naturally over time with ordinary use, such as minor scuffs on walls, worn carpet in high-traffic areas, or fading paint. Landlords cannot deduct from the security deposit for normal wear and tear.

Tenant Remedies for Noncompliance

If a landlord fails to return the security deposit or provide an itemized list of damages within the 45-day period, the tenant may recover all of the security deposit due and reasonable attorney's fees. ^[6]

Rent Payment Terms

Understanding rent payment terms, grace periods, late fees, and tenant remedies is essential for both landlords and tenants in Indiana.

Grace Period

Indiana law does not mandate a grace period for late rent payment. Rent is due in full on the date specified in the lease agreement. If the lease does not specify a due date, rent is typically due on the first day of each rental period (usually the first of the month). Landlords may charge late fees immediately after the rent becomes overdue, unless the lease agreement specifies a grace period.

Late Fees

Indiana state law does not establish a maximum late fee amount or cap on late fees. Landlords may charge whatever late fee they determine appropriate, provided the fee is:

Clearly stated in the lease agreement

Reasonable in relation to the actual damages or administrative costs incurred by the landlord

Not so excessive as to constitute an unenforceable penalty

Courts may invalidate late fees that are deemed unconscionably high or punitive in nature. Common practice in Indiana is to charge a flat fee (e.g., $25-$75) or a percentage of monthly rent (e.g., 5-10%).

Bounced Check (NSF) Fees

A landlord may charge a fee of $25 for a bounced check (check returned for non-sufficient funds). This fee should be specified in the lease agreement. The landlord may also seek recovery of actual bank fees incurred as a result of the returned payment.

Landlord Obligations

Indiana Code establishes specific obligations for landlords under residential rental agreements. These requirements apply to dwelling units let for rent under rental agreements entered into after June 30, 2002. A waiver of these obligations by contract or otherwise is void. ^[7]

Delivery of Premises

The landlord must deliver the rental premises to the tenant in compliance with the rental agreement and in a safe, clean, and habitable condition. The landlord must also comply with all health and housing codes applicable to the rental premises.

Common Areas Maintenance

The landlord must make all reasonable efforts to keep common areas of the rental premises in a clean and proper condition throughout the tenancy.

Systems and Facilities

The landlord must provide and maintain the following items in good and safe working condition, if they were provided on the premises at the time the rental agreement was entered into:

Plumbing systems sufficient to accommodate a reasonable supply of hot and cold running water at all times

Heating, ventilating, and air conditioning systems

Electrical systems

Sanitary systems

Tenant Remedies for Landlord Noncompliance

If a landlord fails to comply with their obligations, the tenant may bring a cause of action to enforce landlord obligations. If the tenant is the prevailing party, they may obtain: ^[8]

Actual damages and consequential damages

Attorney's fees and court costs

Injunctive relief

Any other remedy appropriate under the circumstances

The landlord's liability for damages begins when the landlord has notice or actual knowledge of noncompliance and has either refused to remedy the noncompliance or failed to remedy the noncompliance within a reasonable amount of time following notice.

Tenant Obligations

Indiana Code establishes specific obligations for tenants under residential rental agreements. These requirements apply to dwelling units let for rent under rental agreements entered into after June 30, 2002. ^[9]

Compliance With Codes and Cleanliness

The tenant shall comply with all obligations imposed primarily on tenants by applicable provisions of health and housing codes. The tenant must also keep the areas of the rental premises occupied or used by the tenant reasonably clean.

Proper Use of Systems and Equipment

The tenant must use electrical systems, plumbing, sanitary systems, heating, ventilating, and air conditioning systems, and elevators (if provided) in a reasonable manner.

Care of Property

The tenant must refrain from defacing, damaging, destroying, impairing, or removing any part of the rental premises. The tenant must also comply with all reasonable rules and regulations in existence at the time the rental agreement was entered into, as well as amended rules and regulations as provided in the rental agreement.

Smoke Detector Maintenance

The tenant must ensure that each smoke detector installed in the rental unit remains functional and is not disabled. If the smoke detector is battery operated, the tenant shall replace batteries as necessary to maintain functionality.

Move-Out Condition

At the termination of the tenant's occupancy, the tenant shall deliver the rental premises to the landlord in a clean and proper condition, except for ordinary wear and tear expected in the normal course of habitation of a dwelling unit. ^[10]

Landlord's Right to Enter

Notice Requirements

Under Indiana law, a landlord must give a tenant reasonable written or oral notice of the landlord's intent to enter the dwelling unit and may enter only at reasonable times. While the statute requires "reasonable" notice, Indiana law does not specify a precise timeframe for what constitutes reasonable notice. ^[11]

Best Practice: Although not statutorily required, most landlords provide at least 24 hours' notice before entering for non-emergency purposes. The notice should specify the date, approximate time, and reason for entry (repairs, inspections, showing to prospective tenants, etc.).

Emergency Access

A landlord may enter the dwelling unit without notice to the tenant in the case of an emergency that threatens the safety of the occupants or the landlord's property. Emergencies may include fire, flooding, gas leaks, burst pipes, or other situations requiring immediate action to prevent harm or property damage.

Entry Without Consent

A landlord may also enter without the consent of the tenant:

Under a court order

If the tenant has abandoned or surrendered the dwelling unit

Restrictions on Entry

Indiana law prohibits landlords from abusing the right of entry or using a right of entry to harass a tenant. Repeated entries without legitimate purpose or at unreasonable times may constitute harassment and may give rise to tenant remedies.

Prohibited Landlord Conduct

Prohibition on Self-Help Evictions

Indiana law strictly prohibits landlords from engaging in self-help evictions. A landlord may not willfully, knowingly, or intentionally interfere with the tenant's access to or possession of the dwelling unit, or terminate or interrupt any essential services to the unit (such as heat, water, electricity, or gas) without following proper legal eviction procedures. ^[11]

Illegal self-help actions include:

Changing locks without providing new keys to the tenant

Removing doors, windows, or other means of access

Shutting off utilities to force the tenant to leave

Blocking entry to the unit

Removing the tenant's possessions without a court order

Prohibition on Retaliatory Conduct

Indiana law prohibits landlords from engaging in retaliatory acts against tenants who exercise their legal rights. A landlord may not retaliate against a tenant for: ^[12]

Complaining in writing to the landlord concerning violations of landlord obligations

Bringing an action against the landlord to enforce the lease or Indiana law

Organizing or becoming a member of a tenant's organization

Prohibited retaliatory acts include:

Increasing the tenant's rent

Decreasing, terminating, or interfering with services provided to the rental premises

Bringing or threatening to bring an action for possession of the rental premises

Eviction Procedures

Indiana law establishes specific procedures that landlords must follow to terminate a lease and evict a tenant. Understanding these requirements is essential for legal compliance.

Non-Payment of Rent (10-Day Notice)

When a tenant fails to pay rent when due, the landlord may serve a 10-day notice to pay or quit. The notice must inform the tenant of the amount of rent due and that the tenancy will terminate if the rent is not paid within 10 days of receiving the notice. ^[13]

If the tenant pays the full rent due within the 10-day period, the tenancy continues. If the tenant fails to pay, the landlord may proceed with an eviction lawsuit after the notice period expires. The statutory form of notice states: "You are notified to vacate the following property not more than ten (10) days after you receive this notice unless you pay the rent due on the property within ten (10) days."

Lease Violations

For lease violations other than non-payment of rent, Indiana landlords must provide the tenant with reasonable notice and an opportunity to cure the violation before proceeding with eviction. The notice should:

Clearly describe the lease violation

Reference the specific lease provision that was breached

Provide a reasonable time to cure the violation

State that eviction proceedings will commence if the violation is not cured

Lease Termination

The procedures for terminating a lease in Indiana depend on the type of tenancy and the circumstances of termination.

Month-To-Month Tenancy Termination

For month-to-month rental agreements, either the landlord or the tenant may terminate the tenancy by providing written notice at least 30 days before the termination date. The notice period runs from the date notice is given to the end of the next rental period. ^[14]

The notice must be in writing and should clearly state:

The date of termination

That the party is terminating the month-to-month tenancy

Any move-out instructions (for landlord notices to tenants)

Fixed-Term Lease Expiration

A fixed-term lease (such as a one-year lease) automatically terminates at the end of the specified lease term. Indiana law does not require either party to provide advance notice of non-renewal for fixed-term leases unless the lease agreement specifically requires such notice.

If a tenant remains in possession after the lease expires without signing a new lease, and the landlord continues to accept rent, the tenancy typically converts to a month-to-month tenancy subject to the original lease terms.

Early Termination for Victims of Crime

Indiana law provides special protections for tenants who are victims of certain crimes, including domestic violence, sexual assault, and stalking. A protected individual may terminate their rental agreement early by providing the landlord with written notice at least 30 days before the termination date, along with documentation of the qualifying circumstances. ^[15]

Servicemembers Civil Relief Act

Under federal law (the Servicemembers Civil Relief Act), military service members have the right to terminate a residential lease early if they receive permanent change of station orders or deployment orders for a period of 90 days or more. The service member must provide written notice of termination along with a copy of the military orders.

The lease terminates 30 days after the next rent payment is due following proper notice. The landlord may not impose early termination penalties or fees against a service member who properly terminates under this federal protection.