LATE FEE ADDENDUM

To Residential Lease Agreement – State of New Mexico

[// GUIDANCE: This template is drafted for use with a New Mexico residential lease subject to the Uniform Owner-Resident Relations Act, NMSA 1978, §§ 47-8-1 et seq. (“UORRA”). Customize all bracketed items before execution. Obtain local counsel review if property is located on tribal land or in a municipality with additional ordinances.]

TABLE OF CONTENTS

I. Document Header
II. Definitions
III. Operative Provisions
IV. Representations & Warranties
V. Covenants & Restrictions
VI. Default & Remedies
VII. Risk Allocation
VIII. Dispute Resolution
IX. General Provisions
X. Execution Block & Resident Initials

I. DOCUMENT HEADER

1. Title; Parties.
   This Late Fee Addendum (the “Addendum”) is made as of [EFFECTIVE DATE] by and between [FULL LEGAL NAME OF OWNER/LANDLORD] (“Landlord”) and [FULL LEGAL NAME(S) OF TENANT(S)] (individually and collectively, “Resident”).

2. Recitals.
   A. Landlord and Resident are parties to that certain Residential Lease Agreement dated [LEASE DATE] (the “Lease”) for the premises known as [PROPERTY ADDRESS] (the “Premises”).
   B. The parties desire to supplement the Lease to set forth their agreement regarding late payment of Rent, in compliance with the UORRA and other applicable law.
   C. In consideration of the mutual promises herein and other good and valuable consideration, the receipt and sufficiency of which are acknowledged, the parties agree as follows.

3. Incorporation & Priority.
   This Addendum is incorporated into and forms part of the Lease. If any provision of this Addendum conflicts with the Lease, this Addendum shall control with respect to Late Fees.

II. DEFINITIONS

For purposes of this Addendum, capitalized terms not defined below have the meanings given in the Lease.

“Act” means the New Mexico Uniform Owner-Resident Relations Act, NMSA 1978, §§ 47-8-1 et seq., as amended.

“Base Rent” means the periodic rent due under the Lease, currently $[AMOUNT] per [MONTH].

“Due Date” means the first calendar day of each rental period, unless another date is specified in the Lease.

“Grace Period” means the period ending at 11:59 p.m. on the [GRACE_PERIOD_DAYS=3]^th calendar day following the Due Date.

“Late Fee” has the meaning set forth in Section III.2.

“Notice of Late Fee” means written notice delivered in accordance with Section III.4.

[// GUIDANCE: Add, delete, or modify definitions to align with your master lease.]

III. OPERATIVE PROVISIONS

1. Authorization.
   This Addendum constitutes the written rental-agreement provision authorizing late charges within the meaning of NMSA 1978, § 47-8-15(D). Resident’s initials in Section X evidence acceptance of this provision.

2. Late Fee Amount & Statutory Cap.
   If any portion of Base Rent remains unpaid after expiration of the Grace Period, Landlord may assess a one-time Late Fee in an amount not to exceed ten percent (10 %) of the unpaid Base Rent for that rental period, as expressly permitted by NMSA 1978, § 47-8-15(D) (“Statutory Cap”). Partial payments shall not increase the Statutory Cap, and Late Fees shall not compound or accrue interest.

3. Single Assessment per Delinquency.
   A separate Late Fee may be assessed for each rental period in which Base Rent is delinquent, but no more than one Late Fee shall be assessed for the same delinquent payment.

4. Notice of Late Fee.
   Landlord shall deliver a Notice of Late Fee stating the amount, basis, and date of assessment. Delivery shall be made by any method allowed under the Act (see NMSA 1978, § 47-8-13) or as otherwise agreed in the Lease.

5. Application of Payments.
   Unless prohibited by law, payments received shall be applied in the following order: (a) outstanding court costs and attorney fees; (b) accrued Late Fees; and (c) outstanding Rent.

6. Non-Waiver.
   Landlord’s acceptance of Rent or Late Fees after default, or Landlord’s failure to assess a Late Fee, shall not be deemed a waiver of any rights or remedies for existing or future defaults.

7. Conflict With Law.
   Any provision of this Addendum deemed contrary to the Act or other applicable law shall be deemed modified to conform thereto without affecting the validity of the remaining provisions.

IV. REPRESENTATIONS & WARRANTIES

1. Landlord Representations.
   a. Landlord is the lawful owner or authorized agent of the Premises and has authority to enter into this Addendum.
   b. The Late Fee terms comply with the Act and any municipal ordinances known to Landlord as of the Effective Date.

2. Resident Representations.
   a. Resident has read, understands, and voluntarily agrees to the Late Fee provisions herein.
   b. Resident acknowledges that Rent must be paid on or before the Due Date, subject only to the Grace Period.

3. Survival.
   The representations and warranties in this Addendum survive its execution and the termination of the Lease to the extent necessary to enforce accrued obligations.

V. COVENANTS & RESTRICTIONS

1. Resident Covenants.
   a. Timely Payment: Resident shall pay Base Rent on or before the Due Date each rental period.
   b. Late Fee Payment: Resident shall pay any assessed Late Fee within [CURE_PERIOD_DAYS=3] calendar days after receipt of the Notice of Late Fee.

2. Landlord Covenants.
   a. Statutory Compliance: Landlord shall not charge Late Fees in excess of the Statutory Cap or before expiration of the Grace Period.
   b. Records: Landlord shall maintain accurate books reflecting all Late Fees assessed and paid.

VI. DEFAULT & REMEDIES

1. Events of Default.
   a. Non-Payment of Base Rent beyond the Grace Period.
   b. Failure to pay any assessed Late Fee within the time stated in Section V.1(b).

2. Notice & Cure.
   Landlord shall give any notice required by the Act prior to commencing remedies, including the three-day notice to pay Rent or vacate under NMSA 1978, § 47-8-33.

3. Remedies.
   Upon Resident’s uncured default, Landlord may pursue all rights under the Lease and the Act, including but not limited to:
   • Summary possession (eviction);
   • Money judgment for unpaid Rent, Late Fees, costs, and reasonable attorney fees;
   • Such other relief as a court of competent jurisdiction may order.

4. Attorney Fees & Costs.
   The prevailing party in any action to enforce this Addendum shall be entitled to recover reasonable attorney fees and costs as permitted by the Act.

VII. RISK ALLOCATION

[// GUIDANCE: No indemnification is imposed per the project metadata. If your master lease contains indemnity clauses, ensure consistency.]

1. Limitation on Liability.
   Nothing in this Addendum shall expand or diminish any statutory liability caps or defenses available to either party under New Mexico law.

2. Force Majeure.
   Neither party shall be liable for Late Fees or damages occasioned by events of force majeure, except that Resident’s obligation to pay Rent is only excused to the extent provided in the Lease or the Act.

VIII. DISPUTE RESOLUTION

1. Governing Law.
   This Addendum and any dispute arising hereunder shall be governed by the laws of the State of New Mexico, without regard to conflict-of-laws rules.

2. Forum Selection.
   Exclusive jurisdiction and venue shall lie in the [NAME OF COUNTY] state housing court (or other court of competent jurisdiction) sitting in New Mexico.

3. Arbitration.
   Arbitration is expressly excluded.

4. Jury Trial.
   Nothing herein shall constitute a waiver of any constitutional right to trial by jury.

5. Injunctive Relief.
   Nothing herein limits Landlord’s statutory right to seek injunctive or equitable relief, including but not limited to writs of restitution or other eviction remedies.

IX. GENERAL PROVISIONS

1. Amendment & Waiver.
   No amendment or waiver of any provision of this Addendum is effective unless in writing and signed by both parties. A waiver on one occasion is not a waiver of any subsequent breach.

2. Assignment.
   Resident may not assign or delegate any rights or obligations under this Addendum without Landlord’s prior written consent, except as required by 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, the remainder shall remain in full force, and the unenforceable provision shall be modified to the minimum extent necessary to make it enforceable.

5. Integration.
   This Addendum, together with the Lease, constitutes the entire agreement of the parties with respect to Late Fees and supersedes all prior or contemporaneous oral or written agreements on that subject.

6. Counterparts & Electronic Signatures.
   This Addendum may be executed in counterparts, each of which is deemed an original, and all of which together constitute one instrument. Signatures delivered electronically or by facsimile are binding to the same extent as originals, to the fullest extent permitted by law.

X. EXECUTION BLOCK & RESIDENT INITIALS

IN WITNESS WHEREOF, the parties have executed this Addendum effective as of the date first written above.

[// GUIDANCE: Add signature lines for additional residents as needed.]

Resident Acceptance of Late Fee Provision

By initialing below, each Resident expressly acknowledges and agrees to the Late Fee terms contained in this Addendum, as required by NMSA 1978, § 47-8-15(D).

[// GUIDANCE: Attach this Addendum to the Lease and provide a fully executed copy to each party. Retain originals for at least the period prescribed by N.M. stat. or local ordinance.]