Quick Facts | Answer |
Acceptable Deductions | Unpaid rent and late fees
Costs of damage Costs due to early termination |
Return Deadline | 20 days |
Itemized Deductions | Required |
Penalty for Late Return | 2x Amount Due + Court Costs |
For laws on security deposit collections and holdings in Delaware, click here.
Some cities and counties may have regulations which are different than those presented here. Always check local laws.
Security Deposit Deductions in Delaware
In Delaware, the following can be deducted from security deposits:
- Unpaid rent and late fees
- Costs of damage excluding normal wear and tear
- Costs due to early termination of the lease agreement (including renovating and rerenting)
Most states, such as Delaware, do not have a legal limit on how much a landlord can charge for physical damages except that the charges must be reasonable. However, landlords cannot charge for damages that could be corrected by painting and ordinary cleaning.
If the cost of the damages exceeds the amount of the security deposit, landlords are entitled to seek additional damages from the former tenant.
Landlords cannot collect more than 1 months’ rent (as an early termination penalty) if the tenant terminates the lease early because they are:
- Required by their current employer to move more than 30 miles
- Required to move because of death or serious illness
- Approved for subsidized, cooperative, or senior housing
- A victim of domestic abuse, sexual offenses or stalking
- Called to active military duty
- Diseased
What is Considered Normal Wear and Tear in Delaware?
Delaware, unlike many states, has a formal definition for “Normal Wear and Tear.” The law defines it as:
The deterioration in the condition of a property or premises by the ordinary and reasonable use of such property or premises.
Examples of normal wear and tear include:
- Lightly scratched glass
- Faded flooring
- Lightly dirtied grout
- Loose door handles
- Stained bath fixtures
“Damage” is deterioration outside of ordinary and reasonable use, which occurs due to the reckless, or careless, or intentional conduct of tenants or their guests.
Examples include:
- Heavily stained, burned, or torn carpets
- Broken tiles or windows
- Holes in the wall
- Missing fixtures
Can the Landlord Charge for Replacing the Carpet in Delaware?
Landlords can charge for replacing the carpet if it is damaged beyond normal wear and tear and cannot be restored by ordinary cleaning.
A carpet that is slightly discolored or gently worn will be considered normal wear and tear. A carpet with visible stains, major discoloration and rips will be considered excessively damaged.
Can the Landlord Charge for Nail Holes in Delaware?
In Delaware, landlords can charge a tenant for nail holes if they damage the walls in a way that doesn’t demonstrate an ordinary and reasonable level of care.
Tenants have the right to use the walls within their unit in a reasonable way. This includes inserting small nails or thumbtacks to hang posters or pictures.
However, large holes from drilling, multiple nail holes, large nail holes, and holes made for hanging heavier things may be considered damage, and thus chargeable to the tenant.
Can the Landlord Charge a Cleaning Fee in Delaware?
Delaware law allows landlords to charge for damages that cannot be corrected by ordinary cleaning. For example, a landlord might charge for professional cleaning services if the carpets were damaged by smoking and not able to be restored by a vacuum.
Can the Landlord Charge for Painting in Delaware?
Landlords cannot charge for painting. The purpose of a security deposit, according to state law, is only to reimburse the landlord for damage which cannot be corrected by painting and ordinary cleaning.
Security Deposit Returns in Delaware
Landlords must return a security deposit by mail or hand-delivery with a written notice to the tenant’s forwarding address no later than 20 days after the lease term ends.
How Long Do Landlords Have to Return Security Deposits in Delaware?
Delaware landlords have 20 days after the lease term ends to return any unused portion of the security deposit.
Do Landlords Owe Interest on Security Deposits in Delaware?
Unlike in some states, such as New Jersey, landlords in Delaware do not owe interest on security deposits.
How Do Landlords Give Notice / What Information Do They Have to Provide in Delaware?
Written notice must be sent by hand-delivery or first-class, certified, or registered mail to the tenant’s forwarding address (or the address noted in the lease agreement) and must include the amount of the security deposit due, if any, to the tenant, plus an itemized statement of deductions.
If the tenant accepts a partial payment but does not object to the itemized list of damages within 10 days of receipt, it is assumed that they agree with the charges.
If a tenant fails to provide a forwarding address, the landlord must continue to hold the security deposit in a bank account for one year. If the tenant does not claim the security deposit within one year, it becomes the property of the landlord.
Can a Security Deposit Be Used for Last Month’s Rent in Delaware?
Delaware law does not forbid the security deposit from being used for any outstanding rent.
Landlords can include a provision in the lease agreement that the security deposit cannot be used for the last month’s rent until the tenant vacates the rental unit.
Security Deposit Disputes in Delaware
If landlords do not return the security deposit within the 20-day period, tenants can file for damages in court up to twice the amount wrongfully withheld plus court costs.
Tenants can also take legal action against a landlord for:
- Failure to provide an itemized statement when deductions are made
- Failure to hold the security deposit in a financial account
- Failure to disclose the name and location of the financial institution
- Unreasonable deductions
How Can Tenants File a Dispute for a Security Deposit in Delaware?
If a landlord fails to return the security deposit, the tenant can file a dispute in Small Claims Court if the amount of damages is less than $25,000. If the amount is greater, the tenant must file in the Court of Common Pleas.
A small claims case must be filed within three years. An attorney is not required, but permitted. Cases are filed in the Small Claims Court in the county where the defendant lives. Filing fees vary from $35 to $45 depending on the type of case filed.
Sources
- 1 Del. Code tit. 25 § 5514(c)
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The purpose of the security deposit shall be:
(1) To reimburse the landlord for actual damages caused to the premises by the tenant which exceed normal wear and tear, or which cannot be corrected by painting and ordinary cleaning; and/or
(2) To pay the landlord for all rental arrearage due under the rental agreement, including late charges and rental due for premature termination or abandonment of the rental agreement by the tenant; and/or
(3) To reimburse the landlord for all reasonable expenses incurred in renovating and rerenting the premises caused by the premature termination of the rental agreement by the tenants, which includes termination pursuant to § 5314 of this title, providing that reimbursement caused by termination pursuant to § 5314 of this title shall not exceed 1 month’s rent.
Source Link - 2 Del. Code tit. 25 § 5314(b)
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Upon 30 days’ written notice, which 30-day period shall begin on the first day of the month following the day of actual notice, the tenancy may be terminated:
(1) By the tenant, whenever a change in location of the tenant’s employment with the tenant’s present employer requires a change in the location of the tenant’s residence in excess of 30 miles;
(2) By the tenant, whenever the serious illness of the tenant or the death or serious illness of a member of the tenant’s immediate family, residing therein, requires a change in the location of the tenant’s residence on a permanent basis;
(3) By the tenant, when the tenant is accepted for admission to a senior citizens’ housing facility, including subsidized public or private housing, or a group or cooperative living facility or retirement home;
(4) By the tenant, when the tenant is accepted for admission into a rental unit subsidized by a governmental entity or by a private nonprofit corporation, including subsidized private or public housing;
(5) By the tenant who, after the execution of such rental agreement, enters the military service of the United States on active duty;
(6) By a tenant who is the victim of domestic abuse, sexual offenses, stalking, or a tenant who has obtained or is seeking relief from domestic violence or abuse from any court, police agency, or domestic violence program or service; or
(7) By the surviving spouse or personal representative of the estate of the tenant, upon the death of the tenant.
Source Link - 3 Del. Code tit. 25 § 5141(22)
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“Normal wear and tear” shall mean the deterioration in the condition of a property or premises by the ordinary and reasonable use of such property or premises.
Source Link
- 4 Del. Code tit. 25 § 5514(f)
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Within 20 days after the termination or expiration of any rental agreement, the landlord shall provide the tenant with an itemized list of damages to the premises and the estimated costs of repair for each and shall tender payment for the difference between the security deposit and such costs of repair of damage to the premises. Failure to do so shall constitute an acknowledgment by the landlord that no payment for damages is due. Tenant’s acceptance of a payment submitted with an itemized list of damages shall constitute agreement on the damages as specified by the landlord, unless the tenant, within 10 days of the tenant’s receipt of such tender of payment, objects in writing to the amount withheld by the landlord.
Source Link - 5 Del. Code tit. 25 § 5113
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(a) Any notice or service of process required by this Code shall be served either personally upon the tenant or landlord or upon the tenant by leaving a copy thereof at the person’s rental unit or usual place of abode with an adult person residing therein; and upon the landlord by leaving a copy thereof at the landlord’s address as set forth in the lease or as otherwise provided by landlord with an adult person residing therein, or with an agent or other person in the employ of the landlord whose responsibility it is to accept such notice. If the landlord is an artificial entity, pursuant to Supreme Court Rule 57, service of the notice or process may be made by leaving a copy thereof at its office or place of business as set forth in the lease with an agent authorized by appointment or by law to receive service of process.
(b) In lieu of personal service or service by copy of the notice or process required by this Code, a copy of such notice or process may be sent by registered or certified mail or first-class mail as evidenced by a certificate of mailing postage-prepaid, addressed to the tenant at the leased premises, or to the landlord at the landlord’s business address as set forth in the lease or as otherwise provided by landlord, or if the landlord is an artificial entity, pursuant to Supreme Court Rule 57, at its office or place of business. The return receipt of the notice, whether signed, refused or unclaimed, sent by registered or certified mail, or the certificate of mailing if sent by first-class mail, shall be held and considered to be prima facie evidence of the service of the notice or process.
(c) In the alternative, service of notice or process may also be obtained by 1 of the following 2 alternatives:
(1) Posting of the notice on the rental unit, when combined with a return receipt or certificate of mailing; or
(2) Personal service by a special process-server appointed by the Court.
Source Link - 6 Del. Code tit. 25 § 5514(h)
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All communications and notices, including the return of any security deposit under this section, shall be directed to the landlord at the address specified in the rental agreement and to the tenant at an address specified in the rental agreement or to a forwarding address, if provided in writing by the tenant at or prior to the termination of the rental agreement. Failure by the tenant to provide such address shall relieve the landlord of landlord’s responsibility to give notice herein and landlord’s liability for double the amount of the security deposit as provided herein, but the landlord shall continue to be liable to the tenant for any unused portion of the security deposit; provided, that the tenant shall make a claim in writing to the landlord within 1 year from the termination or expiration of the rental agreement.
Source Link - 7 Del. Code tit. 25 § 5514(g)
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(1) Failure to remit the security deposit or the difference between the security deposit and the amount set forth in the list of damages within 20 days from the expiration or termination of the rental agreement shall entitle the tenant to double the amount wrongfully withheld.
(2) Failure by a landlord to disclose the location of the security deposit account within 20 days of a written request by a tenant or failure by the landlord to deposit the security deposit in a federally-insured financial institution with an office that accepts deposits within the State, shall constitute forfeiture of the security deposit by the landlord to the tenant. Failure by the landlord to return the full security deposit to the tenant within 20 days from the effective date of forfeiture shall entitle the tenant to double the amount of the security deposit.
Source Link - 8 Del. Code tit. 10 § 9541
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(a) Whichever party recovers judgment shall recover that party’s costs of suit, to be allowed and collected by force of the judgment, as a part thereof.
(b) If plaintiff, upon claiming a new trial, recovers no more than $5, exclusive of costs, the defendant shall be allowed his or her costs in the new trial.
(c) If the plaintiff is nonsuited, or discontinues or withdraws his or her action, judgment shall be given for the defendant for costs.
Source Link
- 9 Del. Code tit. 10 § 9301
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Unless otherwise specified by law, the Justice of the Peace Court shall have civil jurisdiction over the following:(1) Common-law actions in contract, express or implied, and common-law actions in tort for damage, destruction or taking of personal property (including replevin), for injury to real property, and for trespass on the land. Jurisdiction over such actions shall be limited to actions in which the matter in demand, damage claimed, or the value of the property whose return is sought does not exceed $25,000; provided, however, that the $25,000 limit does not apply to monetary claims, counter-claims, or cross-claims asserted in an action for summary possession as provided in Chapter 57 of Title 25 and arising from or relating to a commercial lease as defined in Part IV of Title 25. A penalty in any contract exceeding that sum shall not exclude it from this jurisdiction if the sum actually due thereon is within it. The interest also due on any cause of action within this jurisdiction may be added, although the judgment, with interest so added, exceeds $25,000.(2) Actions for any penalty or forfeiture incurred under the provisions of any statute, bylaw or ordinance authorized by statute when the matter in demand does not exceed $25,000. The interest also due on any such cause of action may be added, although the judgment, with interest so added, exceeds $25,000.(3) Summary possession actions as provided in Chapter 57 of Title 25.(4) Distress for rent actions as provided in Chapter 63 of Title 25.(5) Truancy actions as provided in Chapter 27 of Title 14. Except as otherwise provided in Chapter 27 of Title 14, the Justice of the Peace Court shall have original exclusive jurisdiction of such actions.(6) Any other civil jurisdiction provided by law.
Source Link - 10 Del. Code tit. 10 § 8106(a)
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No action to recover damages for trespass, no action to regain possession of personal chattels, no action to recover damages for the detention of personal chattels, no action to recover a debt not evidenced by a record or by an instrument under seal, no action based on a detailed statement of the mutual demands in the nature of debit and credit between parties arising out of contractual or fiduciary relations, no action based on a promise, no action based on a statute, and no action to recover damages caused by an injury unaccompanied with force or resulting indirectly from the act of the defendant shall be brought after the expiration of 3 years from the accruing of the cause of such action; subject, however, to the provisions of §§ 8108-8110, 8119 and 8127 of this title.
Source Link