Legal Question in Real Estate Law in Massachusetts

Re: rental security deposit

The bank may not be responsible for the security deposit but the landlord and his buyer are both responsible for the security deposit plus interest.

The issue will be the statute of limitations. I suggest you file a complaint against the original landlord and his buyer in small claims court.

If you can show the bank took the secuirty deposit account when it foreclosed, then you can get it from them.

Good Luck.

Re: rental security deposit

The broker is giving you incorrect information! When the house was sold in 2005, the landlord was under an obligation to transfer the deposit to the new owner. If the landlord did not transfer the deposit, he/she remains legally responsible for the deposit and owes you three times the deposit along with any legal fees. If the landlord did transfer the deposit when the house was sold, the new owner had an obligation to place those funds in a deposit account that was beyond the reach of the owner's creditors (including his/her lender). Once again the failure to do that would result in liability of three times the amount of the deposit, together with your legal fees. Please feel free to contact me if you wish to discuss this further.

Re: rental security deposit

Any analysis will be largely dependent on specific facts of your situation.

Certainly, owner #2 was legally responsible for maintaining your security deposit, and would be liable for any mishandling of the same.

I would argue that the bank, as subsequent owner #3, had a legal obligation to handle your security deposit according to the Massachusetts Security Deposit Law.

Please feel free to give me a call if you would like to discuss this further.

Re: rental security deposit

Both the original landlord and his buyer are responsible to have put your security deposit in an interest bearing account secure from their creditors and their failure to do so would entitle you to bring a consumer protection action against either or both who failed to so seeking to collect triple damages and your attorney's fees. Retain an attorney.