Chicago's New Composting Rules for Landlords: What You Can and Can't Restrict
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Composting probably isn't high on your compliance radar — but as of Chicago's new organic-waste ordinance (Municipal Code 7-28-715, adopted October 16, 2025), it's a rule with real fines behind it. The short version: you can no longer ban your tenants from composting, and a blanket "no composting" policy can cost you $300 to $600 per offense. Here's what the ordinance actually requires, and the reasonable limits you're still allowed to set.
What Landlords Can No Longer Do
The core rule: no landlord, association, or owner may adopt, maintain, or enforce any covenant, rule, or restriction that prohibits or unreasonably restricts a tenant from doing either of these:
- Collecting organic waste to drop off at a composting facility
- Contracting with a duly licensed private company to collect and process their organic waste
In plain terms, a blanket "no composting" clause in your lease or building rules is now unenforceable — and trying to enforce one can trigger fines.
What You Can Still Require
You are not required to run a composting program yourself, and you can set reasonable requirements to keep things clean and safe. The line the ordinance draws is "reasonable" — you can regulate how tenants compost, not whether they can:
- Require a fully enclosed container with no opening larger than ¼ inch in any direction
- Require odor control and prevention of rodents, insects, and other pests
- Require safe, sanitary handling and reasonable rules on where containers are kept
The Container Standard Is Your Tool
The ordinance's key operational rule is that any organic-waste collection must happen in a fully enclosed container with no opening greater than ¼ inch, managed to control unreasonable odor and pests. That standard works in your favor — it's the legal basis for the reasonable requirements you're allowed to enforce. You can hold a tenant to a proper container and sanitation; you just can't say "no composting at all."
The Penalties
Prohibited restrictions carry fines of roughly $300 to $600 per offense. On top of that, any aggrieved person — including a tenant — can go to court for injunctive or declaratory relief. So a stubborn "no composting" stance risks both city fines and a tenant lawsuit, over something that costs you nothing to allow.
What to Do Now
- Pull any blanket composting or organic-waste ban out of your leases and building rules
- Replace it with reasonable requirements — the enclosed ¼-inch container, odor and pest control, and sanitation
- Don't block tenants from contracting a licensed compost hauler on their own
- Consider a short composting addendum stating those container and sanitation requirements, so expectations are clear
A "no composting" clause is the kind of outdated lease term that's now a liability — the same trap covered in illegal lease clauses in Chicago.
For the full picture, see our rundown of all the 2026 Chicago & Illinois landlord law updates.
Key Takeaways
- Chicago's composting ordinance (Municipal Code 7-28-715, adopted October 16, 2025) is in effect
- Landlords can't prohibit or unreasonably restrict tenants from composting — drop-off collection or hiring a licensed hauler
- You can set reasonable rules: fully enclosed container, no opening over ¼ inch, odor and pest control, sanitation
- Blanket "no composting" bans are unenforceable and risk $300–$600 per-offense fines
- Tenants can seek injunctive or declaratory relief in court
- Action: strip composting bans from leases and rules; swap in reasonable container and sanitation requirements
