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  1. #1
    Join Date
    Nov 2007
    Posts
    1

    Default Property Refunding Deposit Where I Never Moved In or Signed a Lease

    I applied for an apartment a few weeks ago, and was told I was approved later that day. I told the leasing agent that I would be going on vacation for two weeks, and she told me to contact them when I got home about setting up a time to move in and sign a lease. I got home last night, and I found out today at work that I am being relocated to a different state.

    I called the apartment today to let them know that I would not be coming in to sign a lease due to moving out of state, and they told me that I would have to forfeit my deposit since they held the unit a month for me - which isn't true since I never went in to do an application until 10/20. The unit was not available until 11/1, and at the time of doing the app, I had to pay a $40 app fee, $150 non-refundable "administrative fee," and a $300 security deposit. I told the lady on the phone that the unit has only been available for five days, at which point she corrected herself on the "one month" comment. I told her that I understand the app fee and "admin fee" being withheld, but how can they keep the $300 when I never signed a lease or was told about forfeiting my deposit if I didn't move in? She basically said that's the way it works and there's nothing I can do about it (which I've never heard of before.)

    I'm obviously not going to be moving in, and while I'd like to get $450 of my $490 back, I'd be satisfied with even just getting the $300 "refundable deposit" back. Is it legal in MN for a property to refuse refund of your deposit if you have never signed a lease, agreed on a move-in date, or even moved in? Any point in the right direction would help. Thank you.

  2. #2
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: Property Refunding Deposit Where I Never Moved In or Signed a Lease

    You apparently signed a contract which made clear that at least the $150 "non-refundable administrative fee" was not refundable. The $40 application fee? I'm not sure how that differs from the "administrative fee", or how it is characterized in the application contract.

    If you wish, sue them in small claims court for a refund of the money you believe they should return, and see how the judge rules.

  3. #3
    Join Date
    Apr 2007
    Location
    Bakersfield, CA
    Posts
    15

    Default Re: Property Refunding Deposit Where I Never Moved In or Signed a Lease

    As Mr. K. suggests, you may need a Small Claims Judge to make this decision.

    Read the contract you signed carefully, and look at the provisions you agreed to when you signed.

    I was just able to collect for a client on an almost identical case, and the only thing not refundable was the "application" fee for the credit check.

    Unless you signed a contract in which you agreed to forfeit your deposits, and whatever else they charged, you should be able to get it refunded.

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