Utah

Security Deposit Amount

Utah law does not place a statutory limit on the amount a landlord can require as a security deposit. The amount is typically determined by the landlord, based on market conditions and the tenant’s creditworthiness.

Options for Holding

Landlords in Utah are not legally required to hold security deposits in separate accounts or trust funds. They can combine security deposits with their own funds, but must ensure they are returned as required by law.

Notification Requirements

There are no specific notification requirements in Utah law regarding where or how the security deposit is held.

Payment of Interest Earned

Utah law does not require landlords to pay interest on security deposits, regardless of the length of the tenancy or the amount of the deposit.

Timeline for Returning

Landlords in Utah must return the security deposit, along with an itemized list of deductions, within 30 days after the tenant vacates the property or within 15 days of receiving the tenant's new mailing address, whichever is later.

Claims Process

When returning the security deposit, landlords must provide an itemized list of all deductions, along with any remaining balance of the deposit. The list must be sent to the tenant's last known address or the address provided by the tenant and within the timeline above.

If the dispute remains unresolved, you may take the matter to small claims court. In Utah, small claims court can handle disputes involving amounts up to $11,000. Prepare to present your evidence and any documentation related to the dispute.

Lawful deductions from the security deposit in Utah include:

• Unpaid rent or utilities.
• Costs of cleaning the unit, if it was not left in the same condition as when the tenant moved in (normal wear and tear excepted).
• Costs to repair damage beyond normal wear and tear.
• Any other funds owed to the landlord under the lease agreement.

If a landlord fails to return the deposit or an itemized statement of deductions within the specified time, the tenant may sue to recover the deposit, plus a penalty of up to $100. Additionally, the tenant may recover court costs and reasonable attorney’s fees if they win the case.

If the landlord sells the property, they must transfer the security deposit to the new owner, who then becomes responsible for returning it to the tenant.

Utah law does not provide specific guidelines for handling security deposits in cases where the tenant breaks the lease, so the terms outlined in the lease agreement will generally apply.