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Residential Tenancies Act 1999
112When landlord may keep security deposit
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112 When landlord may keep security deposit
(1) Subject to this section, a tenant is entitled to have his or her
security deposit reimbursed at the end of the tenancy agreement.
(2) The landlord must, within 7 business days after the tenant gave up
vacant possession of the premises or has, in the opinion of the
landlord, apparently abandoned the premises, reimburse to the
tenant the amount of the security deposit, other than an amount
that the landlord is entitled to retain, or to continue to hold, under
this section.
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(3) At the end of a tenancy agreement the landlord is entitled to retain
so much of the security deposit paid by the tenant as is necessary
to:
(a) make good damage (other than reasonable wear and tear) to
the premises or to ancillary property that occurred during the
tenancy and that was caused by a tenant or a person for
whose actions a tenant is liable under section 12; or
(b) replace ancillary property lost or destroyed by the tenant or by
a person for whose actions the tenant is liable under
section 12; or
(c) clean the premises or ancillary property left unreasonably dirty
by the tenant or by a person for whose actions the tenant is
liable under section 12; or
(d) replace locks altered, removed or added by the tenant without
the consent of the landlord; or
(e) pay for unpaid rent or for unpaid charges for electricity, gas or
water payable by the tenant under section 118; or
(f) pay an amount required to be paid under section 121; or
(g) pay money ordered by the Tribunal to be paid by a tenant but
not paid.
(4) The landlord is not entitled to retain some or all of the amount of a
security deposit for a purpose referred to in subsection (3)(a), (b)
or (c) unless:
(a) a condition report in relation to the premises was accepted by
the tenant under Part 5; and
(b) if the tenant has given up vacant possession of the premises
or has, in the opinion of the landlord, apparently abandoned
the premises – a condition report has been given to the tenant
under section 110.
(5) Subject to section 113(2), the landlord is not entitled to retain, or to
continue to hold under subsection (6), part or all of a security
deposit unless, within 7 business days after the tenant gave up
vacant possession of the premises or has, in the opinion of the
landlord, apparently abandoned the premises, the landlord has:
(a) given written notice in the prescribed form, if any, of his or her
intention to retain or continue holding so much of the security
deposit as is specified in the notice for the purpose specified
in the notice; and
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(b) attached a copy of a statutory declaration in the prescribed
form, if any, attesting to the truth of the claim that the retention
or continued holding of the security deposit is required for the
purpose specified in the notice; and
(c) attached a copy of a statutory declaration attesting that the
receipts, invoices or other documents attached to the
declaration relate to:
(i) the matters in respect of which part or all of the security
deposit is being withheld from the tenant; or
(ii) the amount of unpaid rent owing under the agreement or
money owing under section 121; and
(d) in the case of damage or unreasonably dirty premises or
ancillary property – attached copies of receipts, invoices or
other documents, including orders of the Tribunal, specifying
the amount required to make good the damage or clean the
premises or ancillary property; and
(e) returned to the tenant the proportion of security not claimed by
the landlord or not to be held under subsection (6).
(6) If, in the opinion of the landlord, the tenant has abandoned the
premises, the landlord may continue to hold on trust for the tenant
as much of the security deposit as is necessary to ensure that the
deposit will be available for payment to the landlord in accordance
with section 122 as compensation for:
(a) loss of the rent that the tenant would have been liable to pay
under the agreement if he or she had not abandoned the
premises; and
(b) loss caused to the landlord in securing new tenants for the
(7) Subject to subsection (9), an amount of a security deposit held by a
landlord under subsection (6) is to be held on trust for the tenant
until:
(a) the Tribunal determines the distribution of the security deposit
under section 122; or
(b) if the Tribunal is satisfied that all losses referred to in
subsection (6) may be calculated in relation to the tenancy to
which the deposit relates – the Tribunal determines the
distribution of the deposit on the application of the tenant
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(8) The landlord is not entitled to claim under section 122 part or all of
the amount of the loss referred to in subsection (6) unless:
(a) the Tribunal receives an application to determine the
distribution of the tenant's deposit; or
(b) the loss is claimed under section 122,
as soon as practicable after the loss can be calculated and in any
case within 3 months from the date on which the tenant apparently
abandoned the premises.
(9) If the landlord ceases under subsection (8) to be entitled to claim
part or all of the amount of the loss referred to in subsection (6), the
tenant is entitled to as much of the security deposit as the landlord
continued to hold on trust for the tenant under subsection (6) and
section 116 applies accordingly.
(10) In this section:
end of a tenancy agreement means, if there is a continuation of
the tenancy to which the tenancy agreement relates, at the end of
the continuation.