Legal Question in Real Estate Law in California

Return of Security Deposit for Commercial Space

We rented an office space in Los

Angeles. In the lease we were

required to ''keep and maintain in

good repair'' the air conditioning

units. Within a week of our moving

in, the 25 year old air conditioning

unit completely broke down. The

landlord replaced the unit for

$6,000, but when we moved out,

they kept our entire deposit. We

weren't informed until about 2

months after we moved out.

Can they do this?

Also, are there any requirements on

commercial landlords requiring them

to inform their former tenants about

keeping their deposits?

Thanks.


Asked on 2/05/07, 6:27 pm

1 Answer from Attorneys
Grant Puleo Procopio, Cory, Hargreaves & Savitch

Re: Return of Security Deposit for Commercial Space

California Civil Code Section 1950.7(c)(3) (which controls commercial leases) requires a landlord to return any remaining portion of a security deposit to the tenant no �later than 30 days from the date landlord receives possession of the Premises�. If a landlord claims that the deposit was used to repair any �extraordinary wear and tear� of the premises, an accounting of the costs of such repair must be sent to tenant within the same 30-day period. There are civil penalties for failure to follow these Code provisions (unless the Lease between two commercial parties modifies such provisions).

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Answered on 2/05/07, 6:37 pm


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