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Is Your Security Deposit Forfeited if You Move Out Early

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  • 01-09-2016, 01:13 PM
    DentonRenter
    Is Your Security Deposit Forfeited if You Move Out Early
    My question involves landlord-tenant law in the State of: Texas

    I signed a one year lease and moved out one month early. I asked the landlord if it would be OK and he said it was fine. I found him tenants with good credit before the end of the month. Steam cleaned the carpets, etc, and he determined there was no damage. New tenants moved in 8 days before the month I paid was up and signed a new year lease with a new deposit. I requested via certified mail that my security deposit be returned, but he said that it was forfeited due to a clause in the lease that said it was forfeited if any provision of the lease was violated, in this case not staying the final month. He sent me a letter stating the forfeiture for that reason as well and did not list any damage. He had no losses and lead me to believe I would get my deposit back initially. Should I take this to small claims court? I live in Texas.
  • 01-09-2016, 01:31 PM
    jk
    Re: Security Deposit Forfeited
    did you pay the last month of the lease in full?

    did the new tenants pay for that 8 days they were in the unit during your lease period?
  • 01-09-2016, 01:45 PM
    DentonRenter
    Re: Security Deposit Forfeited
    I paid for month 11, but new tenants signed a new lease on the 27th day of the 11th month. My rent was due every 5th, and they informed me that theirs is as well. They paid an extra pro-rated amount too. My rent was $1250 a month, the same as the security deposit in question.
  • 01-09-2016, 01:51 PM
    adjusterjack
    Re: Security Deposit Forfeited
    Quote:

    Quoting DentonRenter
    View Post
    Should I take this to small claims court? I live in Texas.

    Heck yes.

    The Texas Security Deposit law does not allow for forfeitures. Scroll down about half way and carefully read all of Section 92.101 through 92.109:

    http://www.statutes.legis.state.tx.u.../htm/PR.92.htm

    Then scroll back up to Section 92.006 where it says a landlord's duty regarding security deposits cannot be waived.

    I suggest you stay quiet until at least the 30 days after the expiration of your lease and then sue him and go for the triple damages.

    Note that you can nail him for attorney fees, too, if you want to go that route.

    That character is clueless and was a damned fool to put the word "forfeiture" in writing.

    Quote:

    Quoting DentonRenter
    View Post
    I paid for month 11, but new tenants signed a new lease on the 27th day of the 11th month. My rent was due every 5th, and they informed me that theirs is as well. They paid an extra pro-rated amount too. My rent was $1250 a month, the same as the security deposit in question.

    Then you include unjust enrichment as one element of your claim in addition to non-compliance with the statute.

    Civil law doesn't allow your landlord to profit from your breach.
  • 01-09-2016, 01:58 PM
    jk
    Re: Security Deposit Forfeited
    Quote:

    Quoting DentonRenter
    View Post
    I paid for month 11, but new tenants signed a new lease on the 27th day of the 11th month. My rent was due every 5th, and they informed me that theirs is as well. They paid an extra pro-rated amount too. My rent was $1250 a month, the same as the security deposit in question.

    so the landlord was paid by you for the 27-last day of the month AND the new tenant also paid for the 27-last day of the month? Regardless of anything else, he doesn't get to charge rent twice for the same time period.

    regarding the early termination; does your lease say anything to the matter?

    does the lease say anything to the matter of dealing with the expiration of the lease such as requirement to provide notice or anything else?

    Quote:

    Quoting adjusterjack
    View Post

    That character is clueless and was a damned fool to put the word "forfeiture" in writing.

    .

    not necessarily:

    Quote:

    (b) A requirement that a tenant give advance notice of surrender as a condition for refunding the security deposit is effective only if the requirement is underlined or is printed in conspicuous bold print in the lease.
    if there is such notice in the lease and it was not complied with the law allows the landlord to retain the deposit.
  • 01-09-2016, 02:05 PM
    lill
    Re: Security Deposit Forfeited
    Tenant agreed to forfeit the deposit if the lease was violated.

    (a) Except as provided in Subsection (b), a landlord who receives a security deposit or rent prepayment for a dwelling from a tenant who fails to occupy the dwelling according to a lease between the landlord and the tenant may not retain the security deposit or rent prepayment if:
    (1) the tenant secures a replacement tenant satisfactory to the landlord and the replacement tenant occupies the dwelling on or before the commencement date of the lease; or
    (2) the landlord secures a replacement tenant satisfactory to the landlord and the replacement tenant occupies the dwelling on or before the commencement date of the lease.
    (b) If the landlord secures the replacement tenant, the landlord may retain and deduct from the security deposit or rent prepayment either:
    (1) a sum agreed to in the lease as a lease cancellation fee; or
    (2) actual expenses incurred by the landlord in securing the replacement, including a reasonable amount for the time of the landlord in securing the replacement tenant.
    - See more at: http://www.statutes.legis.state.tx.u.../htm/PR.92.htm
  • 01-09-2016, 02:10 PM
    jk
    Re: Security Deposit Forfeited
    Quote:

    Quoting lill
    View Post
    Tenant agreed to forfeit the deposit if the lease was violated.

    (a) Except as provided in Subsection (b), a landlord who receives a security deposit or rent prepayment for a dwelling from a tenant who fails to occupy the dwelling according to a lease between the landlord and the tenant may not retain the security deposit or rent prepayment if:
    (1) the tenant secures a replacement tenant satisfactory to the landlord and the replacement tenant occupies the dwelling on or before the commencement date of the lease; or
    (2) the landlord secures a replacement tenant satisfactory to the landlord and the replacement tenant occupies the dwelling on or before the commencement date of the lease.
    (b) If the landlord secures the replacement tenant, the landlord may retain and deduct from the security deposit or rent prepayment either:
    (1) a sum agreed to in the lease as a lease cancellation fee; or
    (2) actual expenses incurred by the landlord in securing the replacement, including a reasonable amount for the time of the landlord in securing the replacement tenant.
    - See more at: http://www.statutes.legis.state.tx.u.../htm/PR.92.htm

    not unless that was specified in the lease, and as the law requires, it must be underlined or printed in conspicuous bold print

    and realize the section you bolded applies when the landlord finds the replacement only. Not applicable at all in this situation.


    don't even bother with that section. It applies to a situation where the tenant never takes possession of the unit. Not applicable at all.
  • 01-09-2016, 02:29 PM
    DentonRenter
    Re: Security Deposit Forfeited
    As you noted, I provided the tenant. The forfeiture provision was not underlined or in bold.
  • 01-09-2016, 02:35 PM
    jk
    Re: Security Deposit Forfeited
    then I would refer back to adjusterjacks post.
  • 01-10-2016, 07:51 AM
    DentonRenter
    Re: Security Deposit Forfeited
    Thanks for all the responses guys, very helpful!
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