General Assembly Committee Bill No. 467 January Session, 2011 LCO No. 3617 *03617SB00467HSG* Referred to Committee on Housing Introduced by: (HSG) General Assembly Committee Bill No. 467 January Session, 2011 LCO No. 3617 *03617SB00467HSG* Referred to Committee on Housing Introduced by: (HSG) AN ACT CONCERNING THE RETURN OF SECURITY DEPOSITS BY RESIDENTIAL LANDLORDS. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Subsection (d) of section 47a-21 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2011): (d) (1) Within the time specified in subdivisions (2) and (4) of this subsection, the person who is the landlord at the time a tenancy is terminated, other than a rent receiver, shall pay to the tenant or former tenant: (A) The amount of any security deposit that was deposited by the tenant with the person who was landlord at the time such security deposit was deposited less the value of any damages which any person who was a landlord of such premises at any time during the tenancy of such tenant has suffered as a result of such tenant's failure to comply with such tenant's obligations; and (B) any accrued interest due on such security deposit as required by subsection (i) of this section. If the landlord at the time of termination of a tenancy is a rent receiver, such rent receiver shall return security deposits in accordance with the provisions of subdivision (3) of this subsection. (2) Upon termination of a tenancy, any tenant may notify his landlord in writing of such tenant's forwarding address. Within thirty days after termination of a tenancy, each landlord other than a rent receiver shall deliver to the tenant or former tenant at such forwarding address either (A) the full amount of the security deposit paid by such tenant plus accrued interest as provided in subsection (i) of this section, or (B) the balance of the security deposit paid by such tenant plus accrued interest as provided in subsection (i) of this section after deduction for any damages suffered by such landlord by reason of such tenant's failure to comply with such tenant's obligations, together with a written statement itemizing the nature and amount of such damages and explaining such landlord's reason for withholding all or part of the security deposit. Any such landlord who violates any provision of this subsection shall be liable for twice the amount or value of any security deposit paid by such tenant, except that, (i) if the violation is the failure to deliver the accrued interest, such landlord shall only be liable for twice the amount of such accrued interest, and (ii) if the violation is the failure to provide a written statement under subparagraph (B) of this subdivision, such landlord shall be liable for treble any portion of the security deposit found to be wrongly withheld. (3) (A) Any receiver who is authorized by the court appointing him receiver to return security deposits and to inspect the premises of any tenant shall pay security deposits and interest in accordance with the provisions of subdivisions (1) and (2) of this subsection from the operating income of such receivership to the extent that any such payments exceed the amount in any escrow accounts for such tenants. (B) Any rent receiver shall present any claim by any tenant for return of a security deposit to the court which authorized him to be a rent receiver. Such court shall determine the validity of any such claim and shall direct such rent receiver to pay from the escrow account or from the operating income of such property the amount due such tenant as determined by such court. (4) Any landlord who does not have written notice of his tenant's or former tenant's forwarding address shall deliver any written statement and security deposit due to the tenant, as required by subdivision (2) of this subsection, within the time required by subdivision (2) of this subsection or within fifteen days after receiving written notice of such tenant's forwarding address, whichever is later. Sec. 2. Subsection (g) of section 47a-21 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2011): (g) Any person may bring an action in replevin or for money damages in any court of competent jurisdiction to reclaim any part of his security deposit which may be due. This section does not preclude the landlord or tenant from recovering other damages to which he may be entitled. The landlord shall have the burden of proof in any action brought under this subsection. This act shall take effect as follows and shall amend the following sections: Section 1 October 1, 2011 47a-21(d) Sec. 2 October 1, 2011 47a-21(g) This act shall take effect as follows and shall amend the following sections: Section 1 October 1, 2011 47a-21(d) Sec. 2 October 1, 2011 47a-21(g) Statement of Purpose: To prevent landlords from withholding security deposits in order to realize a wrongful monetary gain. [Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.] Co-Sponsors: SEN. LOONEY, 11th Dist. Co-Sponsors: SEN. LOONEY, 11th Dist. S.B. 467