Legal Question in Real Estate Law in California
Tenant dispute with landlord over refund of security deposit
I have recently ended my one year lease with my lanlord. Originally, there were 2 parties that signed the lease. One month into the lease the second party moves out of the country, leaving the first party with the burden of paying $1100 a months rent. I, the first party, came through with the year's lease. I gave my thirty days notice, left the house in impeccable condition, and ,now, it's time for the landlord to pay back the deposit. He will only pay the full deposit with both parties names' on one check. Or, he will just give me $900 and call it even. The original deposit is $2000. Am I entitled to the full $2000 considering the fact that I upheld my end of the lease?
1 Answer from Attorneys
Re: Tenant dispute with landlord over refund of security deposit
After some research in both the statutes and case law, I did not come up with a clear answer. My intuition tells me that if the landlord accepted the deposit from the two of you, he is entitled to issue a two-party check as your refund. You have a valid claim against the former roommate for his/her share of the rent, or at least some of it, but I don't think the landlord is legally obligated to take cognizance of this. Your conduct as a model tenant entitles the two of you to the full $2,000 refund, but doesn't increase your share above 50% as far as the landlord is concerned.
You could try to get the landlord to give you the entire $2,000 in exchange for your promise to indemnify the landlord against any future claim from the co-tenant. I assume such a claim is unlikely.
You must not succumb to the temptation to accept the two-party check and add the co-tenant's name along with your own endorsement. That is a felony and very probably the landlord would notice and report you.
You might ask your bank its policy on accepting two-party checks with only one endorsement. If you explain the circumstances there is some possibility it will accept the check.
I assume negotiating with the ex-roommate is not a realistic possibility (i.e. pointing out that he/she is liable to you for 1/2 the rent and you will release her/him if he/she will endorse the check).
If all else fails, you can file a suit in small claims naming both the landlord and the former roommate as defendants. The former roommate must be properly served, but 99% for sure will default by failing to appear. The judge can then enter a judgment declaring that you are the party entitled to the full $2,000 and the landlord will probably pay you without further ado. Get and read a small claims self-help book and/or talk to the county small claims adviser about how to write up your claims and serve the parties.
Perhaps some other LawGuru attorney will weigh in with a specific rule of law about two-party check refunds to co-tenants. I don't know of any.
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