What Happens if You Decide Not to Move In After Signing Lease

[recklessmax80]

My question involves landlord-tenant law in the State of: NJ

Renting a room in NJ for 2 months. Went looked at the room and said will decide later that evening. In the evening called the lanldord and said want to take the room ready to sign the lease and will pay the security deposit. Met the landlord next morning with only 500$ cash (not the full deposit) since that's what the ATM allowed (didnt have personal checks). Signed a sublease/roommate contract and paid 500$ as security deposit and said i will work with my previous landlord for move-out date and call you in the evening for rest of security deposit

Changed my mind after speaking to previous landlord who offered a better deal to stay on. Informed him that i no longer want the place.Now want my other 500$ security deposit back. The landlord says its not refundable since the room was held by me and he had to relist the room to rent out again. Can he withhold the securoty deposit for me changing my mind same day when it was not paid in full ?

What are my options to recover the money ?

[Mr. Knowitall]

If you signed an agreement that states that your deposit is forfeit if you decide not to move in as agreed, then presumably the landlord is exercising his rights under that document.

If instead, as appears to be the case, you signed a lease committing to rent the room for two months, then absent something to the contrary in the lease you can potentially be held liable for rent for the full two month lease term. Your landlord would have to make a reasonable effort to find a replacement tenant, but if those efforts fail you would be liable for the rent you contracted to pay - and you would owe the agreed rent through the date the new tenant takes occupancy.

You are free to sue your landlord in small claims court - and if you are entitled to a full or partial refund of your deposit based upon his finding a new tenant (and you have not forfeited your deposit by contract) I expect that the court would award you that refund. However, if the landlord is unsuccessful in finding a replacement roommate and rent for the two month period exceeds the amount of your deposit, he might countersue and you might end up owing him money.

As they say, the devil is in the details.