2006 Minnesota Code
Chapters 324 - 338 Trade Regulations, Consumer Protection
Chapter 325F Consumer Protection; Products and Sales
Section 325F.91 PROHIBITED PRACTICES.

325F.91 PROHIBITED PRACTICES.
Subdivision 1. Prohibited rental agreement provisions. A rental-purchase agreement
may not contain a provision:
(1) requiring a confession of judgment;
(2) authorizing a lessor or an agent of the lessor to commit a breach of the peace in the
repossession of property;
(3) waiving a defense, counterclaim, or right the lessee may have against the lessor or an
agent of the lessor;
(4) requiring the payment of a late charge unless a lease payment is delinquent for more
than two business days for a weekly lease or three business days for a monthly lease, and the
charge or fee shall not be in an amount more than the greater of five percent of the delinquent
lease payment or $3;
(5) requiring a separate payment in addition to lease payments in order to acquire ownership
of the property, other than by exercising an early purchase option pursuant to section 325F.93; and
(6) authorizing a lessor to charge a penalty for early termination of a rental-purchase
agreement.
Subd. 2.[Repealed, 1995 c 202 art 3 s 22]
Subd. 3. Delivery charges; security deposits; collection fees. A lessor may not charge a
delivery charge that is greater than $15 for five items or less or $30 for more than five items. A
lessor may not charge a security deposit. A lessor may contract for and receive a charge for
picking up payments from the lessee if the lessor is required or requested to visit the lessee's
dwelling to pick up a payment. In a consumer rental-purchase agreement with payment or
renewal dates which are more frequent than monthly, this charge shall not be assessed more than
three times in any three-month period. In consumer rental-purchase agreements with payments
or renewal options which are at least monthly, this charge shall not be assessed more than three
times in any six-month period. A charge assessed pursuant to this subdivision shall not exceed $7.
This charge is in lieu of a late charge assessed for the applicable payment period.
History: 1990 c 527 s 8