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What about security deposits?

After a tenant moves out, a landlord has 21 days in which to either return the tenant's security deposit or give the tenant a written statement of why all or part of the money is being kept.

The tenant should be sure to leave a forwarding address with the landlord when moving out. A landlord can legally withhold money from the security deposit for:

• Unpaid rent;
• Repair of damages to the unit (except ordinary wear and tear) caused by the tenant or guest of the tenant;
• Cost for cleaning the unit in order to return the unit to the same level of cleanliness it was at the start of the tenancy, if the tenant's right to occupy began after January 1, 2003 [California Civil Code § 1950.5(b)(3)].

However, the landlord may only claim those amounts that are reasonably necessary for these purposes, and the landlord may not charge the tenant for damages to the unit or any defective conditions that existed when the tenant moved in or for normal "wear and tear".

Deposits cannot automatically be non-refundable or be used to cover ordinary "wear and tear" that occurred during the tenancy, or for the cumulative effects of ordinary wear and tear occurring during any one or more tenancies. [California Civil Code § 1950.5(e).]

If the landlord does not give the security deposit back to the tenant (or give the written statement why some or all of it is being kept) within 21 days, he or she loses the right to retain any of the security deposit, and must return the full amount to the tenant. The time for return of the security deposit may be longer in certain situations. [See California Civil Code § 1950.5(g).]

If the landlord fails to return the security deposit or makes a bad faith claim to retain the security, the tenant may sue the landlord in small claims court (if the amount in question is $5,000 or less), and the court may award statutory damages of up to twice the amount of the security deposit, in addition to actual damages. [See California Civil Code § 1950.5(l)].

However, if the security deposit does not cover the amount of any unpaid rent or damages caused by the tenant, the landlord may both retain the security deposit (after making the proper written statement) and take legal action to recover additional money that the tenant owes for any damages or unpaid rent.

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Last modified: 03/17/2008

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