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Updated over 4 years ago on . Most recent reply

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5
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David B.
  • Algonquin, IL
0
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5
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Dumb mistake - Dealing with utilities

David B.
  • Algonquin, IL
Posted

Hi All, looking for a little advice.

I started renting my house a little over a year ago.  Everything went fine and they moved out when their lease was up, (well 15 days early but... they had paid for the month, eventually)

Apparently they had never switched over the ComEd electric bill.  So for 12 months they did not pay for electricity, then when I got my new tenant in I asked him to call and switch utlities into his name (ComEd keeps telling me I can switch utilities into someone else's name)  Well he did not do so - tells me they won't let him.  In any case they get the power shut off on them.  I call ComEd and get the power put back in my name and now I have a $1200 electric bill on my doorstep.

Did I do some stupid things?  YES.  Any advice on where to go from here?

I know in the future I'll call all the utility companies to make sure that the bill is in the tenants name.  And I won't give back any security deposit until I've made sure the bill is $0 on the property.  I also have a landlord agreement set up with ComEd now but I'm not feeling that it does much.

I am on fairly good terms still with the previous tenant, but according to them... after they fessed up, they only owed $600 and wanted to work out a way to pay me that.

Any thoughts are appreciated.

Most Popular Reply

Account Closed
  • San Jose, CA
3,246
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Account Closed
  • San Jose, CA
Replied
Originally posted by @David B.:

Hi All, looking for a little advice.

I started renting my house a little over a year ago.  Everything went fine and they moved out when their lease was up, (well 15 days early but... they had paid for the month, eventually)

Apparently they had never switched over the ComEd electric bill.  So for 12 months they did not pay for electricity, then when I got my new tenant in I asked him to call and switch utlities into his name (ComEd keeps telling me I can switch utilities into someone else's name)  Well he did not do so - tells me they won't let him.  In any case they get the power shut off on them.  I call ComEd and get the power put back in my name and now I have a $1200 electric bill on my doorstep.

Did I do some stupid things?  YES.  Any advice on where to go from here?

I know in the future I'll call all the utility companies to make sure that the bill is in the tenants name.  And I won't give back any security deposit until I've made sure the bill is $0 on the property.  I also have a landlord agreement set up with ComEd now but I'm not feeling that it does much.

I am on fairly good terms still with the previous tenant, but according to them... after they fessed up, they only owed $600 and wanted to work out a way to pay me that.

Any thoughts are appreciated.

 If the lease said they were responsible for the utility bills then they were.  So, they owe you.  Even if you already returned their security deposit.

Small claims court is really easy.  You don't have to do everything perfectly or know the laws, etc.  So, don't sweat it.  Just fill out the forms - you can often do it online now - and put the total they owe you for the electric bills, and add "and court costs and any punitive damages allowed."  You don't normally have to have an exact figure to put that.

Then, you show up in court with the lease that says they have to pay utilities, and the bill you got.  

You tell the judge something like: "Your honor, the tenant was supposed to pay the utilities, which is written in the lease.  The tenant did not put the utilities in his/her name.  The tenant then saw bills arrive, and did not pay the bills and kept this knowledge from me.  I didn't find out the bill was due, until after they moved out and my new tenant tried to put the utilities in their name, and was told there was a balance due, which the utility company required me to pay before the new tenant could take over the account.  So, I am here to ask you for a judgment from the tenant I'm suing, in the amount of the utility bills and my court costs and any punitive damages that you may find appropriate.  Thank you."

Then you'll hand over your copy of your lease and the utility bills to the court clerk, usually, who will hand them to the judge.  Normally, the judge doesn't decide then and there, but mails their decision.

You normally first have to send a demand letter to the person you are suing first.  So, do that.  Then when they don't pay you by the deadline (say a week?), you file your small claims suit.

If they don't then pay like they're supposed to, you can use a landlord collection agency, which will report the debt to you, to all three credit bureaus.  If you just Google "landlord collection agency," a few will pop up.  There's one that for less than $20, will send them one collection letter and then report to all three bureaus.  And it will show up on their credit report as a debt owed to a landlord.  Incentive to get them to pay you, so that future landlords will rent to them.

I'm amazed the electric company didn't shut them off way sooner, and not turn it back on until they paid up.  That's weird to me.

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