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Denied a Promised Apartment Despite Paying a Holding Deposit

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  • 12-28-2016, 05:08 PM
    hsn
    Denied a Promised Apartment Despite Paying a Holding Deposit
    My question involves landlord-tenant law in the State of: California

    I found an apartment which fits my preferences and budget and paid a holding deposit to reserve it. While I was ready to sign the lease, the leasing agent insisted that it is not necessary at that point, as the unit is reserved as I paid the holding deposit.

    They got the holding deposit and application fee and ran a background/credit check after which sent me a welcome mail, receipt and documents with other details. I was suppose to sign and return the receipt doc, which I missed as I thought that might not be important as the application get through.

    After almost a month, couple of days before my moving date they started trying to move me to other apartment unit, sayng that the work is not finished in the unit promised to me. I realized that this is a lie , as they started to advertise the same unit for a much higher rate on their website on the same date promised to me.

    as alternate options, they promised me apartments against my preferences and I was not ready to settle for that. The apartment manager told me that they renovated the promised apartment and that will go for a much higher rent than the one offered to me. They are ready to return my holding deposit and application fee and saying that there are no binding docs as I haven't sign the lease or signed the holding deposit receipt.

    Is it correct that not signing the holding deposit receipt, will leave me legally helpless, even though there are proofs that they took my holding deposit and fees and send me welcome letter, which is a proof for approving the application? I also have proof that the apartment was being advertised on same date, while they were repeatedly telling me that the unit is not ready.
    Please let me know your thoughts and any option availble to deal with this situation.
  • 12-28-2016, 05:21 PM
    jk
    Re: Issue with Possession of Promised Apartment
    Did you sign any sort of contract stating what the rent would be on this particular apartment along with them holding it?
  • 12-28-2016, 07:10 PM
    Mr. Knowitall
    Re: Denied a Promised Apartment Despite Paying a Holding Deposit
    The key here is whether your contract with them requires that you sign and return the receipt document (whatever that may be) in order to finalize the rental agreement, or if your failure to do so allows them to return your holding deposit with no further obligation. That's not something that we can assess without reading the contract(s) you have signed in relation to the holding deposit and rental property.
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