Effective September 1, 2025, HB25-1108 — known as Letty's Act — closes a gap most landlords never think about until it happens: what a lease requires when a tenant dies mid-term. It's named for a Colorado renter whose family was billed thousands in fees after her death, and it changes what's enforceable in that situation.
1. Early-termination penalties are now void when death ends the lease
Liquidated damages, lease-break fees, and similar penalty clauses can't be enforced against the estate or co-tenants if the lease ends because the responsible tenant died.
2. Accelerated rent has a hard limit
You can no longer demand rent through the end of the lease term. Rent is owed only through the end of that month, or up to 10 business days after the unit is vacated following notice of the death — whichever is later.
3. Move-in concessions and discounts can't be clawed back
If the tenant received a move-in discount or concession, the estate doesn't have to repay it just because the lease ended early.
4. You can still take possession without a full eviction filing
If the estate's personal representative notifies you the unit is being surrendered, or 30 days pass with rent unpaid or the property substantially cleared out, you can move forward without going to court.
5. The security deposit still covers actual damage
If the death itself caused property damage, you're still entitled to retain deposit funds to cover it — this law doesn't touch that.
