Non transfer of utilities by tenant

Non transfer of utilities by tenant

Member since 2025 · 15 posts · 5 votes

Good morning. I am a new landlord and have a question. Our tenant moved in 6 weeks ago and has not transferred the gas utility into her name.  We received a bill as the utilities are still in our name. We have called her and informed her via text message and email over the last few days but there has been no response or follow-up action from her end. 

My questions are:

1. What do we do in a situation like this? I am worried about the consumption continuing and bills adding up and them being our responsibility. 

2. Can we disconnect the gas utility from our name without liability or this being considered a violation of Fair Housing? The gas company has said that we can do this, but I want to be sure.

I would greatly appreciate any advice or feedback. Thank you. 

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  • Kenneth GarrettPro Member
    Investor · Florida Panhandle/Illinois · Member since 2016 · 4k+ posts · 3k+ votes
    10mo

    You need to follow your state laws first regarding the utilities. The lease should have stated that utilities are responsibility of the tenant. It probably doesn’t say they are required to put the utility in their name. It’s probably implied. The lack of communication is not good for a long term relationship from your tenant.

    At worst, I would start billing them for the gas service when you receive the bill. If the lease spelled out the provision in their lease they are required to transfer their name for the utility they are then in violation of the lease. You can send them a lease violation notice. You state should have a specific form for this. Some states are 5, 7 or 10 day provision for the tenant to correct (cure) the situation. Again state law and or city or county laws you have to make sure you are in compliance.

    Continue to communicate with them. Text messages, emails, phone calls and document everything.

  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    10mo

    Start billing them for the utilities and give them a deadline to get them in their name. If they fail to do it by that date, tell them they are in violation of the lease.  The other option is keep them in your name and have them reimburse you-more work for you.

    Normally you ensure the utilities are in their name prior to them moving in and giving them the keys.

  • James JonesPro Member
    Investor · Collierville, TN 38017 · Member since 2017 · 806 posts · 592 votes
    10mo

    This is a very common issue with new landlords, so you’re not alone.

    First, check your lease language. Most leases require utilities to be transferred into the tenant’s name within a specific number of days after move-in. If that clause exists, the tenant is already in default of the lease, even if rent is current.

    What I would do immediately:

    Send a formal written notice (email + certified letter if possible) stating:

    Utilities must be transferred into the tenant’s name by a specific deadline (for example, 72 hours)

    Any utility charges incurred during this period will be billed back to the tenant

    Failure to comply will be treated as a lease violation

    Keep it factual and non-emotional.

    Do not keep paying indefinitely.

    If the gas company has confirmed you can remove the service from your name, that is typically allowed as long as:

    The lease clearly states utilities are tenant responsibility

    You provided proper notice and opportunity to cure

    You are not selectively enforcing this rule

    This is not a Fair Housing issue if it’s applied consistently and based solely on lease terms, not the tenant.

    Bill-back is acceptable if utilities remain in your name temporarily.

    Pay the bill to avoid penalties, then invoice the tenant and treat it like unpaid rent if they don’t reimburse. Many landlords add this as additional rent due under the lease.

    Going forward, best practice is:

    Require proof of utility transfer before handing over keys

    Or keep utilities in your name and charge a flat utility fee built into rent

    Or have your PM handle confirmation on move-in day

    Right now, the key is documenting everything, enforcing the lease consistently, and setting a firm deadline. The longer it drags on, the harder it is to correct.

    You’re asking the right questions early, which is good. This is more about tightening process than anything you did wrong.

  • David PeschioBusiness Member
    Richmond, VA · Member since 2019 · 358 posts · 181 votes
    10mo

    In the future never hand out keys without proof of utilities and make sure you have liability insurance and you are named on the policy.  Getting them to do this before move in is vital and chasing down tenants after move in is always a pain.

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