Legal Question in Real Estate Law in Florida

I just left my rental house and my lanlord sent me my security deposit, but did not send any interest with it. I wrote him and he said it was up to him to put it in an interest bearing account or not and he chose not to. I read my lease and it say "security deposits shall be held by lanlord (or landlords's designee) in a seperate account in a Florida financial instituition." We rented his home in Florida, he lives in North Carolina, and the check we received was from an investment company in North Carolina. Is it legal for him to use our money to make money for himself? He also had our last months rent, and held both for a two year lease. I went to Floridas law and I think I read he needed to pay us interest on both the security deposit and the last months rent.


Asked on 6/28/10, 8:43 am

1 Answer from Attorneys
Richard Kaplan

The landlord is correct. He could keep the money in a non-interest bearing account, and if he did, you get no interest. If he put it into an interest bearing account, then you are entitled to it, not the Landlord. So you have to find out if the account the funds were in accrued interest or not. His representation is that it did not accrue interest.

He should have held it in a Florida institution, but if he didn't, well he violated the lease. But the penalty is not he should now pay you interest. It was only you could claim he was in breach of lease. Also, issues do come up if the NC company may qualify as a FL financial institution. I can't tell here.

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Answered on 6/28/10, 3:20 pm


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