220 CMR, § 25.04

Current through Register 1538, January 3, 2025
Section 25.04 - Termination of Service to Accounts Affecting Tenants
(1) Identifying Customers. Each company shall devise procedures reasonably designed to identify, before termination of service for non-payment, landlord customers paying for service to a residential building. Such procedures shall be submitted by each company in writing to the Department. The Department may require, by a written notification, such modifications of a company's procedures as it considers reasonably necessary to carry out the purposes of M.G.L. c. 164, § 124D and M.G.L. c. 165, § 11E and 220 CMR 25.05.
(2)Identifying Affected Tenants. Each company shall devise procedures reasonably designed to identify the number and addresses, including apartment numbers, of tenants who may be affected by a planned termination of service to an account, of a customer who has been determined, pursuant to procedures adopted under 220 CMR 25.04(1) to be a landlord customer. Such procedures shall be submitted by each company in writing to the Department. The Department may require, by a written notification, such modifications of a company's procedures as it considers reasonably necessary to carry out the purposes of M.G.L. c. 164, § 124D and M.G.L. c. 165, § 11E.
(3)Termination of Service. No company shall terminate service to any landlord customer for non-payment except in accordance with 220 CMR 25.03(1) and 220 CMR 25.04.
(4)Pre-termination Notice to Landlord Customers. Prior to the termination of service to any landlord customer for nonpayment, the company shall give the landlord customer prior written notice of termination as required by M.G.L. c. 164, § 124D and M.G.L. c. 165, § 11E. Such notice shall contain the following information:
(a) The amount owed the company by the landlord customer for each affected account;
(b) The date on or after which service will be terminated, such date to be not less than 37 days after the date on which notice is first given to the landlord customer;
(c) The date on or after which the company will notify the tenants of the proposed termination of their rights under 220 CMR 25.00, including their rights to withhold rent;
(d) The right of the landlord customer to avoid a termination of service by paying the company the full amount due for the accounts in question prior to the intended date of termination or by paying a portion of the amount due and making an equitable arrangement with the company to pay the balance; and
(e) The right of the landlord customer to invoke the procedures set forth in 220 CMR 25.02(4) and 220 CMR 25.03(1).
(5)Investigation and Appeal for Landlord Customers. The provisions of 220 CMR 25.02(4) shall be applicable to all disputes involving landlord customers.

In any proceeding pursuant to 220 CMR 25.02(4), the Department may require, among other things, that the landlord customer provide the names, addresses, and apartment numbers of each of the tenants who may be affected by a termination of service.

(6)Notice to Tenants. The company shall give a written notice, or notice in such form as is approved by the Department, of the proposed termination for non-payment to each residential unit reasonably likely to be occupied by an affected tenant. Such notice shall not be rendered earlier than seven days following notification to the landlord customer pursuant to 220 CMR 25.04(4). However, if the landlord customer commences a proceeding pursuant to 220 CMR 25.04(5), such notice shall not be rendered until such proceeding has been concluded. In no event shall such notice be served upon the tenants less than 30 days prior to the termination of service to the landlord customer on account of non-payment. Upon affidavit, the Department may, for good cause shown by the company, reduce the minimum time between notification of the landlord customer and notification of the tenants.

The notice may be mailed or otherwise delivered to the address of each affected tenant, and shall contain the following information:

(a) The date on which the notice is rendered;
(b) The date on or after which service will be terminated;
(c) The circumstances under which service to the affected tenant may be continued, specifically referring to the conditions set out in 220 CMR 25.04(7);
(d) The projected bill as described in 220 CMR 25.04(7);
(e) The statutory rights of a tenant:
1. To deduct the amount of any direct payment to the company from any rent payments then or thereafter due;
2. To be protected against any retaliation by the landlord for exercising such statutory right; and
3. To recover money damages from the landlord for any such retaliation.
(f) A telephone number at the company and at the Department which a tenant may call for an explanation of his rights.

The information in 220 CMR 25.04(6)(a) through 25.04(6)(f) shall be posted not less than 30 days prior to termination of service to the landlord by the company in those common areas of the building where it is reasonably likely to be seen by the affected tenants.

(7)Rights of Tenants to Continued Service.
(a) At any time before or after service is terminated on account of non-payment by the landlord customer, tenants may apply to the company to have service continued or resumed. The company shall not terminate service or shall resume service previously terminated if it receives from the tenants an amount equal to a projected bill for the 30 day period commencing on the later of the date of the planned termination or the date service is resumed, whichever is later.
(b) Thereafter, the company shall notify each tenant of the total amount of the projected bill for the second and each succeeding period of 30 days or less. If the tenants fail to make payment of any projected bill before the start of the period for which the bill is projected, the company may commence termination procedures; provided that no such termination may occur until 30 days after each tenant has received written notice of the proposed termination. Such notice shall contain:
1. The date on or after which service will be terminated;
2. The amount due, which shall include the arrearage on any earlier projected bill due from tenants;
3. A telephone number at the company and at the Department which a tenant may call for an explanation of his rights; and
4. The right of a tenant, within seven days of the notice, to invoke the procedure for investigation and hearing set forth in 220 CMR 25.02(4).
(c) Tenants shall be considered customers for purposes of 220 CMR 25.02(4) and 25.02(5) and shall be entitled to dispute any matter relating to a projected bill in accordance with the provisions of 220 CMR 25.02(4).
(d) Notwithstanding anything contained elsewhere in 220 CMR 25.00, prior to any termination for non-payment which would affect tenants, the company shall notify the Department's Consumer Division by telephone of the proposed termination. Upon notice of such proposed termination, or during any hearing pursuant to 220 CMR 25.02(4), the Department may make inquiry of the parties as to the following matters, among others:
1. The amount the tenants have paid to the company in relation to the amount equal to one month's projected bill;
2. The number of vacant units in the building;
3. The extent to which the tenants have control over their source of money for rent payments, including such matters as the lateness of Public Assistance checks, direct rent payments by the Department of Transitional Assistance to the tenants' landlord, or participation by tenants in a leased housing or rental assistance program;
4. Whether the tenants are engaged in rent withholding against their landlord;
5. The amount of payments recently received by the company from the landlord and the size of the past due bill of the landlord;
6. Whether the company has pursued collection remedies, other than threatened termination of service, against the landlord;
7. Weather conditions;
8. The existence of illness of tenants in the affected units;
9. The ages of the persons residing in the affected units;
10. The availability of other housing to the tenants; and
11. The existence of, or potential for, terminations of service by other companies. The Department may consider and give due weight to the above matters in any decision rendered pursuant to 220 CMR 25.02(5).
(8)Payment of Arrearage by the Tenants. For good cause shown upon affidavit of the company, the Department may hold a hearing and thereafter may require the tenants to pay a portion of the arrearage of the landlord customer's account deemed just and reasonable. The Department shall notify the landlord customer, the tenants and the company in writing of the date, time and place of the hearing. Payment of any portion of an arrearage maybe required only if the company proves by substantial evidence that:
(a) The total monthly rent due the landlord from the tenants is greater than the projected bill for the same period of time;
(b) The tenants are not engaged in rent withholding against their landlord for any reason other than for the payment of the projected bill;
(c) There are no claims of other companies against the withheld rent; and
(d) Such a requirement will not impose an undue burden upon the tenants. If more than one company claims the withheld rent, such companies, by mutual agreement, may join together in a single proceeding under 220 CMR 25.04.
(9)Larceny and Unauthorized Use of Gas, Electricity and Water. No company shall terminate service supplied through any meter or meter bypass to a residential building on account of larceny or unauthorized use thereof unless:
(a) The company has attempted to identify and collect from the proper party to be billed; and
(b) The company has given written notice to the tenants. Such notice shall state:
1. The date on which the notice is rendered;
2. The date on or after which service will be terminated, such date to be not less than 30 days after the date of receipt of such notice;
3. That service will continue to a qualified party who agrees to pay for such service; and
4. That service will be continued through a master meter if the conditions established in 220 CMR 25.04(7) for continued service are met.
(10)Termination of Service for Reasons Other than Non-payment. Nothing in 220 CMR 25.00 shall be construed to prevent terminations for reasons of safety, health, cooperation with proper civil authorities or any other proper reasons for which termination power is specifically granted in the General Laws.

Where service to a residential building is terminated on account of public health or safety, the company shall post a notice in a common hallway of the building stating the reason for the termination and the fact that service will be resumed if the danger to public health or safety is removed. The notice shall also include a telephone number at the company and at the Department which a tenant may call for an explanation of the situation and his rights. If any tenant disputes the existence of an unsafe condition, he may apply to the Department for an immediate determination of that issue.

The company shall notify the Department immediately, when feasible, of any termination required by public safety or health and, in any event, within 24 hours of such termination, excluding Saturdays, Sundays and holidays.

220 CMR, § 25.04