Security Deposit - Landlord Forum thread 351719

Security Deposit by Jeff on April 18, 2017 @11:44

In 16 years I have never had a tenant dispute the withholding of security deposit.
I had 2 tenants move out at the end of their lease last June 30th, 2016.
I had to replace the carpet and padding in the living room because their cats had urinated in the carpet and I could not get the smell out.
I sent them an itemized list and the receipts to show the cost to repair and replace all damages and a letter stating why they weren't getting their deposit back. They also owed an additional $139.00 that the deposit didn't cover. I did this within the 30 day time frame.
They sent me back a letter that said they were disputing it.
That all happened last summer right after they moved out. I hadn't heard anything from them since then and wasn't going to push the issue of the $139.00. Now in March 2017 I received a court summons, the one woman is suing me to get the deposit back. This is at least 9 months after they vacated the apartment.
I would also let you know they both signed lease papers stating that if their cats damaged the apartment in anyway they would forfeit their deposit and be liable for any additional charges. There was also a pet addendum paper that stated the same thing and they both signed.
My questions are Is there a time limit that a tenant has to sue for their deposit back ?
And do both tenants on the lease have to sue ?

I have a copy of Tenants and Landlords a Practical Guide and the way I'm reading it there is a 45 day limit from the time a tenant moves out that they must legally serve me with court issued papers and have it filed in the court system. Thanks Jeff

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Re: Security Deposit by P-Bone (NY and OH) on April 18, 2017 @12:28	[ Reply ]

I may not specifically be answering your direct questions, but I do have some concerns. Regardless of what the agreements say, deposits can only be used towards the actual cost of damage. With that said, if the carpet was beyond 7 years old (I forget if it's a 5 or 7 year property per the IRS depreciation), it would be beyond it's useful life and you would not be able to charge anything for replacing it. You would however have been able to charge any attempts to clean it. Just some things to consider.

Re: Security Deposit by Katiekate (New York) on April 18, 2017 @17:44	[ Reply ]

Usually the carpets are written off on a 7 year depreciation. Since they are capital items...the landlord writes off 1/7th of the capital investment each year from taxes. Therefore...the judges consider the landlord as having been completely repaird after 7 years. I do not know what state you are in...but the SOL in small claims court ranges from 2-3 years in every State I have been in. 45 day in barely enough time to even get the deposit reconciliation from you in the mail. Check with the actual state law. And..as was pointed out..you cannot charge for anything other an actual demonstrable damages against the deposit. Be prepared to bring copies of all your receipts to back up your claim of damages. Judge will want to see the original receipt for the carpet and installation, as well as the current receipt for the repair...replacement. You can claim the unused portion of the depreciation... somif the carpet was purchased 3 years ago...the 4 years remain...you can charge 4/7th of the original cost for the destroyed carpet....

Re: Security Deposit by Anonymous on April 18, 2017 @19:10	[ Reply ]

By law (and you didn't post your state), tenants cannot forfeit their security deposit. Tenants cannot sign away their rights either. As others have stated, you must show demonstrable damage and make SD deductions in accordance with your state laws. Going forward, you need to remove this forfeiture of security deposit from your lease and pet clause...it's not going to hold up. Security deposits are the property of the tenant until the landlord has a legal claim against all or some of the funds. For pets, think about additional rent per month or a one time pet fee (not deposit) to handle additional wear and tear. Tenants are still responsible for damage caused by their pets, to be properly itemized and deducted from the security deposit when the tenancy ends.