LATE FEE ADDENDUM

to Residential Lease Agreement – State of Iowa

I. DOCUMENT HEADER

1. Parties.
   This Late Fee Addendum (the “Addendum”) is entered into as of [EFFECTIVE DATE] (the “Effective Date”) by and between [LANDLORD LEGAL NAME], whose address for notice is [LANDLORD ADDRESS] (“Landlord”), and [TENANT LEGAL NAME(S)], whose address for notice is the Leased Premises defined below (“Tenant”).

2. Recitals.
   A. Landlord and Tenant are parties to that certain Residential Lease Agreement dated [ORIGINAL LEASE DATE] (the “Lease”) covering the residential property located at [PREMISES ADDRESS] (the “Leased Premises”).
   B. The parties desire to supplement the Lease to specify the terms under which late fees may be assessed.
   C. In consideration of the mutual covenants herein and other good and valuable consideration, the receipt and sufficiency of which are acknowledged, the parties agree as follows.

3. Jurisdiction.
   This Addendum is governed by and shall be construed in accordance with the Iowa Uniform Residential Landlord and Tenant Act and other applicable Iowa law (collectively, “State Landlord-Tenant Law”).

II. DEFINITIONS

For purposes of this Addendum, the following terms have the meanings set forth below. Defined terms appear in bold throughout for ease of reference.

1. Business Day – Any calendar day other than Saturday, Sunday, or an Iowa state-recognized legal holiday.
2. Due Date – The date Rent is contractually due under the Lease, currently [DUE DATE] of each Rent Period.
3. Grace Period – The statutory three-(3)-calendar-day period immediately following the Due Date during which Landlord shall not impose a Late Fee.
4. Late Fee – A charge imposed pursuant to Section III below when Rent remains unpaid after expiration of the Grace Period.
5. Rent – All payments required to be made by Tenant under the Lease that are designated as rent or additional rent, including Late Fees when assessed.
6. Rent Period – The interval at which Rent is payable under the Lease (e.g., monthly or weekly).
7. Statutory Maximum – The maximum Late Fee permitted under then-current State Landlord-Tenant Law, including but not limited to any dollar caps, per-day limits, and aggregate monthly limits tied to the amount of Rent. [// GUIDANCE: As of this drafting, Iowa law imposes different dollar caps depending on whether Rent is paid weekly or monthly and on the amount of Rent. Verify current statutory thresholds (typically $60/$100 monthly caps and $12/$20 daily caps) before finalizing.]

III. OPERATIVE PROVISIONS

1. Imposition of Late Fee.
   a. If Tenant fails to pay Rent in full on or before the last day of the Grace Period, Landlord may assess a Late Fee in an amount not to exceed the lesser of (i) [DOLLAR AMOUNT] or (ii) the Statutory Maximum.
   b. The Late Fee is deemed additional rent and is immediately due and payable without further notice, except as expressly required by Section III(3) below.

2. Calculation Methods.
   a. Monthly Rent Agreements. If Rent is payable monthly, the Late Fee shall be a flat amount [FLAT FEE] or [PERCENTAGE]% of the unpaid Rent, subject always to the Statutory Maximum.
   b. Weekly or Other Rent Agreements. If Rent is payable at intervals other than monthly, the Late Fee shall be [DAILY FEE] per day that Rent remains unpaid after the Grace Period, up to the Statutory Maximum for the applicable Rent Period.

3. Notice of Assessment.
   Landlord shall provide Tenant written notice (“Late Fee Notice”) specifying:
   (i) the amount of unpaid Rent,
   (ii) the Late Fee imposed,
   (iii) the date assessed, and
   (iv) a statement that non-payment constitutes a Lease default.
   Delivery of the Late Fee Notice shall comply with any notice method required for rent demands under the Lease or State Landlord-Tenant Law.

4. Application of Payments.
   Unless prohibited by law, Landlord may apply Tenant’s payments first to outstanding Late Fees, then to accrued Rent, and finally to current Rent.

5. No Waiver.
   Acceptance of partial Rent or failure to impose a Late Fee promptly shall not be deemed a waiver of Landlord’s right to collect the Late Fee or future Late Fees.

IV. REPRESENTATIONS & WARRANTIES

1. Authority. Each party represents that it has full power and authority to enter into and perform this Addendum and that doing so will not violate any agreement binding on it.
2. Compliance. Each party warrants its present intent to comply with all obligations herein and with State Landlord-Tenant Law.
3. Survival. The representations and warranties in this Section shall survive the termination of the Lease to the extent necessary for enforcement of accrued obligations.

V. COVENANTS & RESTRICTIONS

1. Tenant Covenant to Pay. Tenant covenants to pay all Late Fees assessed under this Addendum strictly in accordance with its terms.
2. Landlord Covenant to Comply with Statutory Limits. Landlord covenants that no Late Fee shall exceed the Statutory Maximum or be assessed before expiration of the Grace Period.
3. Record-Keeping. Landlord shall maintain accurate records of Late Fees and make such records available to Tenant for inspection upon reasonable written request.

VI. DEFAULT & REMEDIES

1. Events of Default. Tenant’s failure to pay any Late Fee when due constitutes an immediate default under the Lease without further cure period, unless State Landlord-Tenant Law mandates an additional cure period.
2. Graduated Remedies. Upon default:
   a. Landlord may issue a notice of non-compliance consistent with any statutory eviction notice requirements;
   b. Late Fees shall accrue interest at the lesser of [INTEREST RATE]% per annum or the maximum rate allowed by law;
   c. Landlord may recover all reasonable attorney fees and court costs to the extent permitted by law.
3. Eviction Remedy Preserved. Nothing in this Addendum limits Landlord’s right to pursue eviction or injunctive relief for non-payment of Rent or Late Fees.

VII. RISK ALLOCATION

1. Indemnification. No indemnification obligations are created by this Addendum.
2. Limitation of Liability. Liability of the parties with respect to Late Fees is limited to the extent, and only to the extent, permitted by State Landlord-Tenant Law.
3. Force Majeure. Neither party shall be liable for failure to perform hereunder (other than payment obligations) due to events beyond its reasonable control, including acts of God, governmental action, or other force-majeure events recognized by Iowa law.

VIII. DISPUTE RESOLUTION

1. Governing Law. This Addendum, and any dispute arising hereunder, shall be governed by State Landlord-Tenant Law.
2. Forum Selection. The parties consent to exclusive jurisdiction and venue in the [COUNTY] County Housing Court, Iowa (or other court of competent jurisdiction handling residential landlord-tenant matters).
3. Arbitration Excluded. The parties expressly opt out of arbitration.
4. Jury Trial. Nothing herein waives any constitutional right to trial by jury.
5. Equitable Relief. The parties reserve all rights to seek temporary, preliminary, and/or permanent injunctive relief, including but not limited to eviction proceedings.

IX. GENERAL PROVISIONS

1. Amendment; Waiver. No amendment or waiver of this Addendum is effective unless in a writing signed by both parties.
2. Assignment. Neither party may assign rights or delegate duties under this Addendum except as allowed under the Lease and State Landlord-Tenant Law.
3. Successors & Assigns. This Addendum binds and benefits the parties and their respective successors and permitted assigns.
4. Severability. If any provision is held unenforceable, it shall be severed and the remainder enforced to the fullest extent permitted by law.
5. Integration. This Addendum and the Lease constitute the entire agreement on the subject of Late Fees; any prior understandings are merged herein.
6. Counterparts; Electronic Signatures. This Addendum may be executed in counterparts, each of which is deemed an original. Signatures exchanged via electronic means (e.g., DocuSign, PDF) are binding.

X. EXECUTION BLOCK

IN WITNESS WHEREOF, the parties have executed this Late Fee Addendum as of the Effective Date.

[Add additional signature lines if multiple tenants or co-landlords]

[// GUIDANCE: Iowa does not require notarization of residential leases; however, if your underlying Lease was notarized, consider notarizing this Addendum for consistency.]

EXHIBIT A

Late Fee Schedule (Illustrative)

[// GUIDANCE: Replace illustrative numbers only after verifying the most recent Iowa Code § 562A.9 or successor statute. If State Landlord-Tenant Law is amended, update this schedule and Section III accordingly.]