Benz

Dear Forum Members,

I'd like to know about the Legal Clauses regarding 'security deposit' in a rental transaction on behallf of both the Tenant and the Landlord.

Need lawful suggestions please.

Thanks.

Pinnacle

Leave and License Agreement should have a strong clause to secure the Security Deposit given the Licensee ( tenant is a wrong word ) and at the same time allow Licensor/s ( Owner/s ) to set off any unpaid licensee fees, unpaid utilities bills, unpaid for repair/s, maintenance etc.

Security Deposit serve the basic purpose of being a Caution Money in the hands of the Owner/s to secure unpaid license fees if the Licensee defaults in paying it on time.

It is always advisable to have 6 -12 months license fee as deposit to cover the above mentioned eventualities and avoid litigation between owners and licensee.

At the same time, licensee has to be careful in exchanging vacant possesion of the premises only against reciept of Security Deposit ( subject to statutory deductions ). If he hands over the possesion on good faith, without actually getting the deposit, the recovery of the security deposit can be a long haul for him.

In the agreements drafted by me, for my cleints, we put the following clause for the security deposit :



Hope this helps
I can send copies of Leave License Agreement on request
Regards
Ram
Realtor

__________________
Ram

Benz

Thank you for your timely help Mr. Ram.

I have been cheated of half the amount of my Security deposit recently. The landlord citing reasons like repainting the house and repair work.

Is it the outgoing tenants responsibility to pay for the repainting and repair of the normal wear and tear after 2 years of stay?

Please suggest the next course of Action.


I'd request members who faced similar problems to please share their experiences...

Pinnacle

Hi Benz,
Everything depends on the clauses you have put in the agreement
If your agreement has a clause that landlord can deduct money for paintin etc, there is nothin you can do about it

However agreements surely incorporate that normal wear n tear are a part of the normal stay and should not incur dedcution from deposit

mgsram

I am also one of the victims. My landlord is asking me to do repaint after 2.5 years of accommodation. There is a clause with regards to "damage to painting".

What I would like to know is the difference between "damage" and "normal wear and tear". In my case, there is not even a single stains or scratch or paint coming out of the surface. Whatever is there is only due to dust and normal use.

Now would that be construed as damage ?