This bill amends the residential landlord and tenant act by establishing a maximum late fee that landlords can charge for the late payment of rent. Specifically, it allows landlords to impose a reasonable late fee, which cannot exceed 5% of the periodic rent amount, as outlined in the rental agreement.

The new provision is intended to provide clarity and fairness in rental agreements regarding late payment fees, ensuring that tenants are not subjected to excessive charges. The bill will take effect upon its publication in the statute book, thereby becoming part of the existing residential landlord and tenant act.