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
1 Answer from Attorneys
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."