Legal Question in Credit and Debt Law in Michigan

I have property stored in a self-storage unit that is owned by Public Storage. The unit is in Michigan.

Public Storage has raised the rent from $112 per month to $187 per month, and representatives at the national 800 number have lied to me on several occasions. For the current month, I paid the previous rent, and attempted to contact the Public Service district manager for Southeastern Michigan, without success so far.

They are attempting to charge me a late fee of $34.10, and less than three weeks into the month, are threatening to sell my property at auction. Can they do this?

What is the time frame in Michigan for them to legally do this? I have looked at a number of online resources regarding the Michigan Self-Storage Facility Act, but have not been able to determine any time limitations.


Asked on 5/28/15, 9:00 am

1 Answer from Attorneys

Andrew Campbell Andrew L Attorney at Law

Obviously I would have to see the agreement you signed to determine the duties of both parties. The act you reference controls part of this situation but only the agreement you have with the facility will define "default". Assuming a late charge is in the agreement, they can only charge 20% of the monthly fee. So you will have to determine if an increase in rent was contemplated and whether they complied with any contractual requirements necessary to invoke such a clause. If they did then the late fee looks to be just under 20%. A higher fee is allowed if it can be justified. If they are trying to enforce a lien then they have to follow notice procedures and give you at least 14 days to cure any default. Once that time expires they have the authority to move the contents in the rental unit into a different space denying you access pending sale. They then have to advertise the auction in a newspaper or on a website, if any, identified in the agreement, for a couple of weeks. The sale cannot take place until 15 days after the first notice is published. You should proceed with caution. Larger companies tend to have their contracts in compliance with the act but there are surprised now and then. You can step in and redeem by paying the amount due plus reasonable expenses of the sale. The first thing you want to do is to have that contract reviewed to ensure it meets the requirements under the act.

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Answered on 5/28/15, 4:51 pm


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