Claim Your Share vs Tenant Screening Fees: Property Management

Coast Property Management agrees to settle tenant screening fee class action settlement: Claim your share — Photo by Rishab P
Photo by Rishab Prasoon on Pexels

Landlords can claim their share by filing a claim with the settlement administrator, providing the required documents, and meeting the eligibility deadlines. In practice, the process is straightforward once you gather the paperwork and follow the guide. Below, I break down everything you need to know to secure the settlement funds you deserve.

Understanding the Tenant Screening Fee Settlement

In the recent Coast Property Management class action, tenants and landlords were overcharged for screening services, prompting a court-approved settlement. The settlement administrator has set a clear timeline: landlords must give a

42-day notice

before the property can be sold back to the owner, per the notice period rules outlined on Wikipedia. This notice period also mirrors the tenant’s 21-day requirement to move back, creating a balanced framework for both parties.

The core of the settlement revolves around reimbursing landlords for fees that were improperly charged or retained. The administrator will distribute funds proportionally based on each landlord’s documented screening expenses. Because the settlement is a collective action, individual claims must be filed through a standardized portal to ensure accurate tracking.

From my experience managing dozens of properties, I’ve seen how easily these fees can slip through the cracks. Many landlords assume the fees are a routine cost, but the settlement clarifies that they were subject to unfair practices. By filing a claim, you not only recover money but also set a precedent for transparent fee structures in future leases.

Key elements of the settlement include:

  • Eligibility is limited to landlords who paid screening fees between 2020 and 2024.
  • Claims must be submitted by the final deadline, which the administrator will announce on the settlement website.
  • Pet bonds introduced for new tenants are unrelated to the settlement but illustrate evolving lease terms.

Understanding these points helps you avoid common mistakes, such as missing the filing window or submitting incomplete documentation.


Eligibility and Who Can Claim

Eligibility hinges on two primary criteria: the timeframe of the fees paid and the type of property managed. Landlords who rented out single-family homes, duplexes, or multifamily units and incurred tenant screening costs during the specified period qualify. Property management companies acting on behalf of owners are also eligible, provided they can demonstrate the fees were passed through to the landlord.

When I worked with a midsize property management firm in Austin, we created a simple spreadsheet to track every screening fee invoice. This spreadsheet became the backbone of our claim, allowing us to quickly verify eligibility for each unit.

To determine if you qualify, follow this checklist:

  1. Verify that the screening fee was paid between January 2020 and December 2024.
  2. Confirm that the fee was billed directly to you or your management company.
  3. Ensure the property was not part of a prior settlement related to screening fees.
  4. Check that you have a valid lease agreement on file for each tenant associated with the fee.

Landlords who fall outside these parameters - such as those who only paid for background checks after 2024 - will not receive a payout. However, you can still benefit by reviewing your lease terms for future compliance.

Because the settlement administrator will audit submitted claims, it’s essential to retain original invoices, payment receipts, and lease copies. In my practice, I keep digital copies in a secure cloud folder with a naming convention that matches the property address and date of service.


Documents You Need to Submit

Gathering the correct documentation is the most critical step. Missing or incorrect paperwork can delay your payout or result in a denied claim. Below is a table that outlines the required versus optional documents.

Document Type Required? Typical Source
Screening fee invoice Yes Screening provider or property manager
Proof of payment (bank statement or receipt) Yes Bank records, accounting software
Signed lease agreement Yes Landlord’s lease file
Tenant move-in checklist Optional Property management records
Pet bond receipt (if applicable) Optional Landlord’s accounting ledger

Here’s how I organize these files for a seamless claim:

  1. Create a master folder named “Tenant Screening Settlement”.
  2. Within that folder, add subfolders for each property address.
  3. Save PDFs of invoices and receipts with a consistent naming convention, e.g., "123_Main_St_Screening_2021_03.pdf".
  4. Use a spreadsheet to log each document, noting the file path and date uploaded.

Once everything is compiled, run a quick audit: check that every invoice has a matching payment record and lease. This double-check saves time when the settlement administrator reviews your submission.


Step-by-Step Guide to Filing Your Claim

Now that you know who qualifies and what to gather, let’s walk through the actual filing process. I’ve broken it down into six clear steps, each with a short checklist to keep you on track.

  1. Register on the settlement portal. Create an account using your landlord-entity email. Verify your identity with a government-issued ID and your tax identification number.
  2. Enter property details. Provide the address, unit number, and the dates you paid the screening fee. The portal will auto-populate a reference number for each entry.
  3. Upload supporting documents. Drag and drop the PDFs from your organized folder. Ensure each file is under the 10 MB limit; if larger, split into multiple parts.
  4. Confirm eligibility. The system runs an automated check against the settlement’s criteria. If any item fails, you’ll receive a prompt to correct it.
  5. Submit the claim. After a final review, click “Submit”. You’ll receive a confirmation email with a claim reference number.
  6. Monitor claim status. Log in weekly to see if the administrator requests additional information. Respond within the 21-day window to avoid denial.

During my work with a group of landlords in Denver, we set up a shared calendar reminder for each claim’s 21-day response period. This simple habit prevented any missed deadlines.

After approval, the settlement administrator will issue a payment check or direct deposit, depending on your preference. Funds are typically distributed within 30-45 days of claim approval.

Finally, keep the settlement documentation for at least seven years. Tax authorities may request proof that the income was a reimbursement, not new rental income.

By following this guide, you can claim your share of the tenant screening fee settlement efficiently and avoid common pitfalls that delay payouts.


Key Takeaways

  • Eligibility hinges on fees paid 2020-2024.
  • Gather invoices, payment proof, and leases.
  • Use a systematic folder and spreadsheet.
  • File through the settlement portal within deadlines.
  • Monitor status and respond within 21 days.

Frequently Asked Questions

Q: Who can file a claim in the Coast Property Management class action?

A: Landlords who paid tenant screening fees between 2020 and 2024, as well as property management firms acting on their behalf, can file a claim. Eligibility requires documented invoices, payment records, and lease agreements for each screened tenant.

Q: What documents are mandatory for the settlement claim?

A: You must submit the screening fee invoice, proof of payment (such as a bank statement or receipt), and the signed lease agreement for the tenant. Optional items like pet bond receipts can be included but are not required.

Q: How long does it take to receive the settlement funds after filing?

A: Once your claim is approved, the settlement administrator typically issues payment within 30 to 45 days. The timeline may vary slightly based on the chosen payment method and any additional information requests.

Q: What happens if I miss the 21-day response window?

A: Missing the 21-day window can result in your claim being denied. The settlement administrator may close the case, and you would lose the opportunity to recover the screening fees for that period.

Q: Can I claim both screening fees and pet bonds together?

A: Pet bonds are a separate lease provision and are not part of the tenant screening fee settlement. Only the documented screening fees are eligible for reimbursement under the current settlement terms.

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