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Refund of Security Notice

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What is security deposit?

Security deposit is an amount deposited by tenant with landlord at the time of starting of lease that to be refunded by landlord at the end of lease period or at the time when tenant vacate the property subject to certain terms and conditions mentioned in lease deed and agreed between the parties. The security amount deposited depends on the value of property you are renting or as per procedure followed in particular state and territory.

What to do if landlord refuses to refund security amount?

If your landlord refuses to refund the security money at the time of vacating property or is threatening to retain certain amount, tenant has option to send legal notice to landlord for refunding security amount. Generally issue resolves and get settled once landlord receives legal notice. So it is recommended to send well-drafted and legally sound legal notice drafted by attorney for refunding security amount. If issue doesn’t get resolve, tenant has option to approach local court.

Is there any limit of security deposit is prescribed under law?

No, law has not prescribed any limit that may be charged by landlord as security deposit. It is as per discretion of landlord and he same is informed to tenant by signing an agreement. However, the security amount should be reasonable and generally equivalent to month or two’s rent amount. But it varies from state to state. As in Delhi, an amount equivalent to one or two month’s rent is deposited as security.

When can landlord retain the security deposit?

Landlord can retain whole or part amount of security amount if tenant violates any term of agreement or tenant failed to pay the rent amount or has damaged property or has not paid debts such as electricity bill, water bill etc. In case if tenant fails to give agreed period of prior notice period, landlord can retain the security amount as it may lead to potential loss to landlord owing the time to find another tenant for the property.

What is the procedure to draft and dispatch security refund notice?

  • It is highly recommended to hire a good lawyer to draft security refund notice;
  • Lawyer will draft and incorporate all the important points in legal notice for refunding security money.
  • The draft notice to be shared with client and after confirmation from client side the same would be signed by an Attorney under his seal,
  • The final notice be dispatched by lawyer to opposite party,
  • The courier receipts need to be preserved by party for future reference and tracking the same. Tracking details also submitted with complaint to be filed in court as a proof of delivery of notice.

What are the services Lawyerinc offers for refund of security notice?

Our services:

Our comprehensive range of end-to-end solutions includes following:

  • End to end services for drafting a notice for security refund.
  • We have expertise in drafting such kind of notices.
  • We will get in touch with you through renounced experts in this field.
  • Free consultation for any enquiry that you may have about security refund.
  • Our experts will file a complaint before rent controller in case security amount not refunded by landlord.
  • We shall inform you of the date and time when your physical appearance before authority, if any
  • You will get your Refund of Security Notice without any hassles

*Any fee, stamp duty and miscellaneous charges shall be payable extra.

Do contact us in case of any query related security refund and much more. To avail any of the above-stated services, kindly establish contact by posting a query at our site.

What are various documents required to draft security refund notice?

  • Copy of Lease deed/Rent Agreement
  • Any written or oral communication between parties regarding refund of security
  • Any communication with respect to property vacation notice as generally 30 days prior notice period is required to vacate property.
  • Any communication from landlord side stating or denying to refund security amount
  • Any communication from landlord stating reason of retention of security amount
  • Details of transaction between parties- rent disbursement
  • Any receipt or proof of security deposited with landlord

What is the legal recourse available to tenant after sending legal notice?

The first recourse of tenant should be to send well-drafted legal notice to landlord as most cases get resolved by this only. A prescribed time period of 15 or 30 days is given to landlord to refund the security amount. In case landlord fails to refund or reply to the legal notice, tenant has option to move to Consumer Forum under Section 13 of Consumer Protection Act, 1986. He can also file civil suit for recovery of security amount under Order 37 of Code of Civil Procedure, 1908 before District Court.

Is it mandatory to send legal notice before moving to court for refund of security?

Although, law has not make it obligatory to send legal notice before moving to court for refund of security amount but as a procedure it is recommended to send a legal notice as the notice may be used as an evidence before court that shows that money is owed to landlord. Moreover, legal notice indicates that tenant has given sufficient time to landlord to refund the security amount but despite efforts landlord failed to refund the same.

Frequently Asked Questions

  • 1. My tenancy is going to end and I don’t want to stay any longer. So can I get my security back?

    Yes, landlord is liable to refund the security amount if there is no dispute between the parties and there is no violation of any term mentioned in the lease agreement.

  • 2. If tenant has caused damage to the property can landlord ask him to vacate the property before term?

    Yes, landlord serves a notice to tenant to vacate the property within time limit mentioned in notice. If tenant refuse to do the same, landlord can move court.

  • 3. Can I proceed for complaint directly without serving legal notice to landlord for refund of security amount?

    Although, law has not make it obligatory to send legal notice before moving to court for refund of security amount but as a procedure it is recommended to send a legal notice as the notice may be used as an evidence before court that shows that money is owed to landlord.

  • 4. What if tenant refuses to vacate the property and not even paying rent?

    Landlord can serve a notice of vacation of property or pay the rent, if tenant fails to do the same, landlord can approach local court.

  • 5. Why to get security notice drafted through lawyerinc?

    Lawyerinc is a complete blend of professionals from across the globe. In –house team of lawyers and attorneys, CA, CS. All professional work together in Lawyerinc, providing you end to end solution. It guarantees delivery in the shortest and most reasonable rate in India. It enjoys a global presence.

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