To amend section 5321.04 and to enact section 5321.20 of the Revised Code to require a landlord who has been served with notice of a foreclosure action to disclose to a prospective tenant of the property subject to that action of the action and to terminate the provisions of this act on January 1, 2018, by repealing section 5321.20 of the Revised Code on that date.

Section 1. That section 5321.04 be amended and section 5321.20 of the Revised Code be enacted to read as follows:

Sec. 5321.04.  (A) A landlord who is a party to a rental agreement shall do all of the following:

(1) Comply with the requirements of all applicable building, housing, health, and safety codes that materially affect health and safety;

(2) Make all repairs and do whatever is reasonably necessary to put and keep the premises in a fit and habitable condition;

(3) Keep all common areas of the premises in a safe and sanitary condition;

(4) Maintain in good and safe working order and condition all electrical, plumbing, sanitary, heating, ventilating, and air conditioning fixtures and appliances, and elevators, supplied or required to be supplied by the landlord;

(5) When the landlord is a party to any rental agreements that cover four or more dwelling units in the same structure, provide and maintain appropriate receptacles for the removal of ashes, garbage, rubbish, and other waste incidental to the occupancy of a dwelling unit, and arrange for their removal;

(6) Supply running water, reasonable amounts of hot water, and reasonable heat at all times, except where the building that includes the dwelling unit is not required by law to be equipped for that purpose, or the dwelling unit is so constructed that heat or hot water is generated by an installation within the exclusive control of the tenant and supplied by a direct public utility connection;

(7) Not abuse the right of access conferred by division (B) of section 5321.05 of the Revised Code;

(8) Except in the case of emergency or if it is impracticable to do so, give the tenant reasonable notice of the landlord's intent to enter and enter only at reasonable times. Twenty-four hours is presumed to be a reasonable notice in the absence of evidence to the contrary.

(9) Promptly commence an action under Chapter 1923. of the Revised Code, after complying with division (C) of section 5321.17 of the Revised Code, to remove a tenant from particular residential premises, if the tenant fails to vacate the premises within three days after the giving of the notice required by that division and if the landlord has actual knowledge of or has reasonable cause to believe that the tenant, any person in the tenant's household, or any person on the premises with the consent of the tenant previously has or presently is engaged in a violation as described in division (A)(6)(a)(i) of section 1923.02 of the Revised Code, whether or not the tenant or other person has been charged with, has pleaded guilty to or been convicted of, or has been determined to be a delinquent child for an act that, if committed by an adult, would be a violation as described in that division. Such actual knowledge or reasonable cause to believe shall be determined in accordance with that division.

(10) Comply with the rights of tenants under the Servicemembers Civil Relief Act, 117 Stat. 2835, 50 U.S.C. App. 501;

(11) When the landlord is party to any rental agreements that cover a property with one to four dwelling units in the same structure and are entered into before January 1, 2018, comply with section 5321.20 of the Revised Code.

(B) If the landlord makes an entry in violation of division (A)(8) of this section, makes a lawful entry in an unreasonable manner, or makes repeated demands for entry otherwise lawful that have the effect of harassing the tenant, the tenant may recover actual damages resulting from the entry or demands, obtain injunctive relief to prevent the recurrence of the conduct, and obtain a judgment for reasonable attorney's fees, or may terminate the rental agreement.

Sec. 5321.20.  (A) A landlord of a property with one to four single-family dwelling units in the same structure, who has been served notice of a foreclosure action against that property, which action has not been dismissed, shall provide a written disclosure of the foreclosure action to any prospective tenant of the property prior to executing a lease agreement for the property.

(B) The written disclosure required pursuant to division (A) of this section shall be provided to the prospective tenant in the following substantial form:

"THE FORECLOSURE PROCESS HAS BEGUN ON THIS PROPERTY, AND THIS PROPERTY MAY BE SOLD AT A FORECLOSURE SALE. IF YOU RENT THIS PROPERTY, AND A FORECLOSURE SALE OCCURS, THE SALE MAY AFFECT YOUR RIGHT TO CONTINUE TO LIVE IN THIS PROPERTY IN THE FUTURE. YOUR TENANCY MAY CONTINUE AFTER THE SALE. THE NEW OWNER MUST HONOR THE LEASE UNLESS THE NEW OWNER WILL OCCUPY THE PROPERTY AS A PRIMARY RESIDENCE, OR IN OTHER LIMITED CIRCUMSTANCES AS PROVIDED IN THE FEDERAL PROTECTING TENANTS AT FORECLOSURE ACT. IN ORDER FOR THE NEW OWNER TO EVICT YOU, THE NEW OWNER MUST PROVIDE YOU WITH AT LEAST 90 DAYS WRITTEN EVICTION NOTICE IN MOST CASES."

(C) If a landlord violates division (A) of this section, the affected tenant may do one of the following:

(1) Void the lease, which shall entitle the tenant to recover from the landlord who was served notice one month's rent or twice the actual damages, whichever is greater, and all prepaid rent;

(2) If the foreclosure sale has not occurred and the tenant has not voided the lease, deduct a total amount equal to one month's rent from future rent obligations owed to the landlord who was served notice.

(D) A property manager shall not be liable under this section for failure to provide the written disclosure required pursuant to division (A) of this section unless the landlord has notified the property manager of the notice of the foreclosure action and directed the property manager, in writing, to deliver the written disclosure to the prospective tenant. If a landlord has directed the property manager to deliver the disclosure in accordance with this division, and the property manager fails to do so, the tenant is entitled to void the lease and to recover from the property manager one month's rent or twice the actual damages, whichever is greater, and all prepaid rent. This division does not preclude a landlord from being held liable when a tenant does not receive the written disclosure described in division (B) of this section.

(E) The rights and remedies provided in this section are in addition to any other rights and remedies available under law. Nothing in this section shall be construed to alter, limit, or negate any other rights and remedies.

Section 2.  That existing section 5321.04 of the Revised Code is hereby repealed.

Section 3. Section 5321.20 of the Revised Code is hereby repealed, effective January 1, 2018. Any right to recover that accrues prior to that date continues in effect. The right to recover accrues upon the violation of division (A) of section 5321.20 of the Revised Code, even if the foreclosure action continues after that date or the foreclosure sale occurs after that date.