Legal Question in Real Estate Law in California

Time Limit Returning Commercial Security Deposits

How long after a tenant leaves a commercial unit does the landlord have to return part or all of a security deposit (in CA)? Is there a maximum time limit like there is in residential deposits?

Thank you


Asked on 2/05/02, 2:37 pm

1 Answer from Attorneys

Ken Koenen Koenen & Tokunaga, P.C.

Re: Time Limit Returning Commercial Security Deposits

He must return it in 2 weeks from when he gets possession, if the only claim on a protion of it is for unpaid rent, or within 30 days if there is a claim for repairs, etc.

Civil code 1950.7(c) "The landlord may claim of the payment or deposit only those

amounts as are reasonably necessary to remedy tenant defaults in the

payment of rent, to repair damages to the premises caused by the

tenant, or to clean the premises upon termination of the tenancy, if

the payment or deposit is made for any or all of those specific

purposes. Where the claim of the landlord upon the payment or

deposit is only for defaults in the payment of rent, then any

remaining portion of the payment or deposit shall be returned to the

tenant no later than two weeks after the date the landlord receives

possession of the premises. Where the claim of the landlord upon the

payment or deposit includes amounts reasonably necessary to repair

damages to the premises caused by the tenant or to clean the

premises, then any remaining portion of the payment or deposit shall

be returned to the tenant at a time as may be mutually agreed upon by

landlord and tenant, but in no event later than 30 days from the

date the landlord receives possession of the premises."

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Answered on 2/05/02, 2:59 pm


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