Thursday, January 29, 2026

Thieving Landlords Might Finally Face Justice

Landlords who pocket their tenants' utility payments may not escape justice much longer after State Representative Shanda Yates filed a bill that will make doing so a crime.  

The need for such legislation arose last year when it became known several apartment complexes such as Blossom Apartments and Tracewood Apartments owed hundreds of thousands to a cash-starved JXN Water.   One complex even admitted in court it collected the utility payments from tenants but then spent the money elsewhere.  There was little prosecutors could do about what is arguably embezzlement while collection efforts became tied up in court (Thanks, Judge Wingate).  

Enter Ms. Yates.  She authored HB #1404, which creates the crime of "fraudulent utility conversion."  The crime is defined: 

The crime of "fraudulent utility conversion" is committed when a landlord receives payment for utilities from a tenant but fails to pay such utilities to the provider of the utilities and the provider interrupts the tenant's utility services as a result of the landlord's failure to pay.

The penalties for fraudulent utility conversion are determined by the total amount embezzled: 

< $1,000: Up to 5 years in prison and/or a fine up to $3,000

$5,000 - $25,000: Up to 10 years in prison and/or a fine up to $10,000

>$25,000: Up to 20 years in prison and/or a fine up to $50,000. 



The bill also provides relief to tenants who are chained to an unscrupulous landlord: 

5) Failure of a landlord to pay utility service charges that are required to be paid by the landlord in accordance with the lease and/or written agreement between the landlord and tenant that creates an interruption of a tenant's utility service shall be grounds to terminate the lease, unless the interruption results from bona fide repairs, construction, or an emergency.

The bill is assigned to the House Judiciary "A" Committee.

The Louisiana legislature passed similar legislation last year after cities found they were unable to prosecute such landlords.  Earlier post with copy of the bill.

We think economic justice is a part of Jackson's success. Slumlords and others who would take our resources for financial gain are doing just as much harm as those who rob and steal on our streets," said Hinds County District Attorney Jody Owens.  

Kingfish note: The bill probably sails through.  The Republicans won't like deadbeats getting off the hook and the Black Caucus will see it as a way to protect many of their constituents from being victimized.  It's good legislation that needs to become law.   Make no mistake, these landlords are just that, thieves.  Thieves who should be prosecuted.  


11 comments:

Anonymous said...

This bill should simplify tenants' ability to sue their corrupt landlords and terminate their leases. Hit 'em in the pocketbook and throw some of them in jail. It's beyond time to address this issue.

Anonymous said...

Will Wingate issue a ruling during the calendar year 2026?

Anonymous said...

Hope this passes this year.

Anonymous said...

This should have a law 20 years ago. Mississippi government is 30 years behind the other states!

Anonymous said...

Shanda Yates for Governor

Anonymous said...

Ms Yates is active lately proposing new legislation. These new edicts are a result of judicial and law enforcement officials failure to enforce what is already on the books. This strategy is one that politicians have used repeatedly to stay in business and move up the ladder. Accountability for breaking the law is what is lacking, write legislation for that and things will get better for everybody.

Anonymous said...

Yea Landlords that collect rent then fail to pay the water bill(s) are thieves. I just have to ask though,

are landlords in Madison and/or Rankin County allowed to not pay their water bills with the water still flowing? Or, if a landlord in Madison and/or Rankin County fails to pay a water bill, is the water turned off?

Anonymous said...

Wish it could be retroactive to get the ones who have been caught.

Anonymous said...

Mrs. Yates, you are amazing! Wish more of your constituents were interested in the well-being of the people that elected them.

Anonymous said...

I am all for holding landlords accountable.
But in Jackson, c'mon.
I will reserve my excitement until this passes and is ever actually enforced.

Ben said...

Did I see Ms. Yates noted in another article as "(I - Whole Foods)" as her constituency? WTF is that? I looked it up and found her district but I've never seen nor heard of a political area named for a retail store like that. Especially when that is just a small segment of who she represents. Or is that just me focusing on insignificant b.s.?


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