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Retaliation Will Cost You: The New Illinois Landlord Retaliation Act, Explained

Retaliation Will Cost You: The New Illinois Landlord Retaliation Act, Explained

Effective January 1, 2025, Illinois replaced the old Retaliatory Eviction Act with a broader, teethier law: the Landlord Retaliation Act (765 ILCS 721). Here’s the no-nonsense version for Springfield owners and managers.

What landlords must know (the essentials)

  • It’s statewide and active now. The Landlord Retaliation Act took effect Jan 1, 2025 and repealed the old Retaliatory Eviction Act. Illinois General Assembly

  • What you can’t do—if a tenant acted in good faith. You may not terminate or refuse to renew, raise rent, decrease services, or bring/threaten a possession suit because a tenant:

    • reported building/health/housing code violations to a government agency or public official;
      complained to or sought help from a community organization about code or illegal practices;

    • requested repairs required by code or the lease;

    • joined a tenants’ union;

    • testified about the property’s condition; or

    • exercised any legal right or remedy (e.g., asserting statutory protections).

  • Rebuttable presumption = the one-year rule. If you take adverse action within one year of the tenant’s protected activity, the law presumes your action is retaliatory unless you prove a legitimate, non-retaliatory reason or that your action started before the tenant’s activity. (Amended again Aug 15, 2025, but the one-year presumption remains.)

  • Penalties are real. Tenants can terminate the rental agreement (with your return of deposit interest and prepaid rent as applicable), seek possession back if you locked them out, and recover up to 2 months’ rent or 2× actual damages, plus attorney’s fees.

What is retaliation vs. what isn’t (quick table)

Situation

Retaliation?

Why Illinois General Assembly

You issue a nonrenewal 30 days after a tenant emails the city about exposed wiring, and your only “reason” is “we’re moving in another direction.”

Likely Yes

Timing + no legitimate, documented cause → 1-year presumption applies. 

You file for possession after 3 months of unpaid rent, with notices and a ledger, and the delinquency pre-dates any complaint.

No

Non-retaliatory basis (nonpayment) + action began before complaint.

You add a $50 “trash fee” building-wide after several units complain to a nonprofit about pests.

Risky

Looks like a service decrease/cost increase targeted at complainers; needs a transparent, building-wide ops/expense rationale.

You deny a lease renewal for documented lease breaches (pets, repeated late pays), with notices on file.

Unlikely

Properly documented legitimate grounds overcome presumption.

Operational checklist (do this now)

  • Separate “protected activity” tracking. Tag and timestamp any code/repair complaints to agencies, officials, media, or community groups that your resident tells you about. The clock matters under the one-year presumption.

  • Require written reason for adverse actions. Internal policy: nonrenewals, rent increases, or service changes must include a documented, neutral business rationale (KPIs, comps, costs). Keep these with the lease file.

  • Standardize rent increases. Publish an annual rubric (inflation, taxes, insurance, market comps) to show it’s not targeted at complainers.

  • Tighten repair workflows. Fast, documented responses reduce complaints to outside agencies (and therefore retaliation exposure).

  • Train staff. Frontline language should acknowledge complaints without defensiveness; escalation goes to a manager who can cite policy and documentation.

What the law doesn’t protect (and how to stay clean)

  • Legit business reasons still stand. The Act explicitly says actions aren’t retaliatory if you prove a legitimate non-retaliatory basis (e.g., nonpayment, serious lease breach, owner move-in) or if the action began before the tenant’s protected activity. But you need records.

  • Old law is gone. Don’t cite 765 ILCS 720 going forward; it was repealed by this Act. If you find it in an old handbook, update it.

A few trustworthy links (keep it simple)

  • Statute text: Landlord Retaliation Act (765 ILCS 721) – sections on prohibited acts, remedies, non-retaliatory actions, and the one-year presumption. Illinois General Assembly

  • Public Act 103-831 (enacting law) – original public-act page for reference.

  • Industry summary (context) – overview noting statewide application and the one-year presumption. Clark Hill

Springfield resource & next steps

  • Want the nuts-and-bolts on timing if a nonpayment case is truly warranted? See our Springfield eviction timeline guide (local process, notices, and realistic dates).

  • Have a sticky situation and need a neutral review before you issue a nonrenewal or rent increase? Contact us and we’ll sanity-check your documentation and timeline.

Bottom line

This is not a “gotcha” law if you run a tight ship. Standardize rent policies, document real business reasons, respond to repairs quickly, and timestamp everything. Do that, and you’ll avoid retaliation pitfalls—and keep your compliance posture bulletproof.

Disclaimer: This article is informational, not legal advice. Consult an Illinois real-estate attorney for case-specific guidance.

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