Question: Can I keep a security deposit if the tenant moves out and does not give me a written 30-day notice?
Answer: Not automatically. You can deduct from the security deposit unpaid rent from the time of the move out until thirty days are up, or until the premises are relet, whichever happens first, provided you use due diligence to relet the premises.
Ted Kimball
Kimball, Tirey & St. John LLP
Question: I took a $300 deposit from a tenant to hold an apartment pending a credit check. The credit check came in and I declined the application. How long do I have to return the money?
Answer: There is no statutory requirement regarding “holding deposits.” If the agreement did not state a time frame, the court would impose a reasonable period of time considering the tenant’s need for the money to rent another premise, so the sooner it is returned, the better.
Question: One of our clients owns an apartment building that we manage. He wants to rent some storage rooms on the property. If he does rent the rooms, would the unlawful detainer process have to be followed if the renter did not pay the rent? Or, do these units have the same rules as storage companies?
Answer: They would have to go through eviction procedures unless they are licensed as mini warehouse storage units.
Kimball, Tirey & St. John LLP is a full service real estate law firm representing residential and commercial property owners and managers. This article is for general information purposes only. Laws may have changed since this article was published. Before acting, be sure to receive legal advice from our office. If you have questions, please contact your local KTS office. For contact information, please visit our website: www.kts-law.com. For past Legal Alerts, Questions & Answers, and Legal Articles, please consult the resource library section of our website.