Find out what happens to landlords in each state who don’t return security deposits on time. Most states have penalties around 2x – 3x the amount of the deposit.
State | Consequences for Late Security Deposit Return |
---|---|
Alabama | 2x deposit |
Alaska | 2x amount due + court costs + attorneys’ fees |
Arizona | 3x amount due |
Arkansas | 2x amount due + court costs + attorneys’ fees |
California | Unintentional: amount of deposit Bad faith: 2x deposit + amount due |
Colorado | 3x amount due + court costs + attorneys’ fees |
Connecticut | 2x deposit + court costs |
Delaware | 2x amount due + court costs |
Florida | Amount due + court costs + attorneys’ fees |
Georgia | Unintentional: amount due Bad faith: 3x amount due + attorneys’ fees |
Hawaii | Unintentional: amount due Bad faith: deposit + 3x amount due + court costs |
Idaho | 3x deposit or attorneys’ fees + court costs |
Illinois | Unintentional: actual damages Bad faith: 2x deposit + amount due + court costs + attorneys’ fees |
Indiana | Deposit + court costs + attorneys’ fees |
Iowa | Deposit + 2x monthly rent + actual damages + attorneys’ fees |
Kansas | 1½x amount due |
Kentucky | Amount due |
Louisiana | Amount due + 2x amount due or $300 (whichever is greater) + court costs + attorneys’ fees |
Maine | 2x amount due + court costs + attorneys’ fees |
Maryland | 4x amount due + attorneys’ fees |
Massachusetts | 3x amount due + 5% interest + court costs + attorneys’ fees |
Michigan | 2x amount due |
Minnesota | Unintentional: 2x amount due Bad faith: 2x amount due + $500 |
Mississippi | $200 + actual damages |
Missouri | 2x amount due |
Montana | 2x amount due + court costs + attorneys’ fees |
Nebraska | Unintentional: Amount due + court costs + attorneys’ fees Bad faith: Amount due + 1 month’s rent or 2x deposit (whichever is less) + court costs + attorneys’ fees |
Nevada | 2x deposit |
New Hampshire | 2x amount due |
New Jersey | 2x amount due + court costs + attorneys’ fees |
New Mexico | Deposit + $250 + court costs + attorneys’ fees |
New York | Unintentional: actual damages Bad faith: 2x deposit + amount due |
North Carolina | Unintentional: amount due + attorneys’ fees Bad faith: full deposit + attorneys’ fees |
North Dakota | 3x amount due + court costs |
Ohio | 2x amount due + attorneys’ fees |
Oklahoma | Amount due + court costs + attorneys’ fees |
Oregon | 2x amount due + court costs + attorneys’ fees |
Pennsylvania | 2x amount due |
Rhode Island | 2x deposit + attorneys’ fees |
South Carolina | 3x amount due + attorneys’ fees |
South Dakota | Deposit + $200 + court costs |
Tennessee | No statute |
Texas | 3x amount due + $100 + attorneys’ fees |
Utah | Deposit + $100 |
Vermont | Unintentional: full deposit Bad faith: 2x deposit + court costs + attorneys’ fees |
Virginia | Amount due + damages + attorneys’ fees |
Washington | Unintentional: deposit + court costs + attorneys’ fees Bad faith: 2x deposit + court costs + attorneys’ fees |
Washington D.C. | 3x deposit + interest + court costs |
West Virginia | 2½x amount due + court costs |
Wisconsin | 2x amount due + court costs + attorneys’ fees |
Wyoming | Deposit + court costs |
In some states, the penalty is more severe if the landlord acted intentionally or in “bad faith.” For example, in California, the maximum penalty is equal to the amount of the deposit if the landlord violated the return period by mistake, but up to twice the amount of the deposit plus the amount due if the act was in bad faith.
What is “Bad Faith” When Landlords Fail to Return the Deposit?
Generally, if a landlord failed to return the security deposit on time, courts make the assumption that they acted in bad faith. However, landlords can prove that they acted in good faith by showing that they made an honest effort to return the security deposit on time.
Below are some examples of situations where the security deposit is not returned on time, but the landlord may be considered to have acted in good faith:
- There was a miscommunication regarding the delivery instructions
- The tenant provided a forwarding address with a typo
- The security deposit was lost in the mail
In court, the burden of proof falls on the landlord to show that they made a diligent effort to return the security deposit to the tenant. Simply not understanding the law doesn’t mean that the landlord acted in good faith.
Other Reasons Tenants Can Sue Concerning Security Deposit Returns
Here are other mistakes landlords can make with security deposits that can lead to legal issues:
- Failing to hold the security deposit in the appropriate financial account
- Failing to provide an itemized statement of deductions
- Failing to provide interest on the security deposit when due
- Requiring a security deposit that exceeds the limit
- Refusing to offer a move-out inspection
- Unreasonable deductions
In many states, the penalty in these situations differs from the failure to return a security deposit. For example, in Washington D.C., the maximum penalty for the failure to provide interest on a security deposit is $5,000 greater than the penalty when the landlord simply fails to return the deposit.