sec dep dispute MICH Law - Landlord Forum thread 334046

sec dep dispute MICH Law by Anonymous on April 23, 2015 @15:51

asking any MI LL re: MI Law

I'm having sec. deposit refund dispute.
After a year of tenant lease violations, I did not renew. They stayed 39 days past owing back rent. The only way I knew they left is when I found out the gas co. was there repairing an outside leak.

Here's how I prepared for this:
Did prelim walk thru and discussed certain points with tenant so they could correct.
took before/after photos
consulted here on for opinions on specific cleaning and repairs
use the LPA settlement charges guide
sent itemized charges with remaining refund check and sign off of sheet.

after I took out her back rent, leftover late charges, very CONSERVATIVE charges for items to cleaned or replaced I also listed items that were questionable but I did not charge (missing items of ours, wear and tear, old worn out etc.) and there is still a $100 water bill I didn't account for.

Now she wants to dispute security dep refund claiming these are unnecessary charges.

I believe I did all my homework and went by rules I was made aware of. I tried to avoid court. Now I find out, according got to an atty. I consult with, that she can go to court and dispute the charges for cleaning/replacement. and if I don't file same dispute she can claim/get twice the amount.

Has anybody heard of this? I thought that's what sec. deps were for, to recoup costs. These are not random numbers I pulled together. and since I had only 30 days to send refund I will not know exact $ amount, which is usually more, long after she's out of the picture.

any help? and no I'm not a pro like some of you on here but my third time around and also a former tenant. I've never seen it like this where tenants seem to be able to call the shots and landlords are always the "bad guy" for just for protecting their investment.

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Re: sec dep dispute MICH Law by Jackie on April 23, 2015 @16:55	[ Reply ]

not only can the tenant get twice their security deposit back, you will also pay their attorney fees and court cost which might be even more than the security deposit! you need to have documentation of comparable cost, not something you pull out of the air or copied some where, but actual cost of what it takes to repair or clean. It's not tenants nor landlords, but the law. If you do not know your state landlord tenant law, be sure your tenant does.

Re: sec dep dispute MICH Law

Re: sec dep dispute MICH Law by Daniel (CA) on April 23, 2015 @17:46	[ Reply ]

punitive damages are usually only for malicious withholding. If you have documented it all as you mentioned then if you made a reasonable mistake, then chances are against a ruling of punitive damages. But many states allow 2X and 3X of the amount withheld if the withholding was not reasonable. The Main question is what you asked about if you had to file a lawsuit in order to withhold from the SD.- someone from Mich needs to answer. Now regarding if it takes longer to finish and find out the total cost of recovery. In California- you have 21 days to send an SD statement regardless if you have finished . But you can still withhold money and provide an estimate of what you expect the charges to be. but then you have to send any followup final SD statement within 14 days of finalizing the repairs/accounting.

Re: sec dep dispute MICH Law by Garry (Iowa) on April 23, 2015 @18:13	[ Reply ]

First, you said she is just disputing the amounts you deducted from her deposit. You didn't say anything about her already filing in court and you already have a court date set. Until that happens, don't worry too much about it. You returned some of her deposit, so it's not like you are claiming $2,000 in damages against a $1,000 deposit. Second, yours and Jackie's scenarios are "worst case" ones, where a judge is going to hammer the LL, and nail him to the wall. That only happens when the LL's charges are just way, way, way, over the top. Those judges know what is "reasonable" for cleaning and repairing damages. As long as you can prove the damages and cleaning charges, a judge is not going to "hammer" you. That doesn't mean that you may not have to return some money back to the T, but only the judge has control over that. Just get all your docs in order, clean and repair the place, and rent it out again. Then get on with your life.

Trust your attorney by CCRider (CA) on April 24, 2015 @00:10	[ Reply ]

What I think your attorney is saying, is that you should countersue for everything she owes you, including what you did not include when you sent her the itemization letter. The judge isn't going to give her any punitive damages (the twice the rent amount, etc.) unless the judge thinks you acted in bad faith (lied, etc.), which you did not. So, just countersue for everything you believe she actually owes you. And let the judge decide. The judge may come up with a different figure than you did, but it sounds like you did everything according to the law, so I don't see the tenant getting punitive damages. I think you'll be fine. In fact, when you countersue, include that you want your court fees reimbursed by the tenant if you win.

Re: Trust your attorney

Re: sec dep dispute MICH Law by Mikey (MI) on April 24, 2015 @13:15	[ Reply ]

I had similar situation. After my tenant lived for 2 years, I withhold some of the sec deposit. Send very detailed itemized letter of explanation. The tenant came back and said didn't agree with the charges. Well, after 3 times back and forth, we agreed on the dispute. I had quotes from the handyman for repair bill, estimate to replace a cabinet due to water damage, etc. At the end, I gave up on some stuff to just end the communication. She was "advised" by her lawyer... for the amount, I didn't find it worth to goto the court. It ended, but I didn't pursue much either.

Re: sec dep dispute MICH Law by anon on April 25, 2015 @23:56	[ Reply ]

Go to court if she sues you; don't worry about it. Sounds like you are doing the right things. The judge will recognize that.