Q: Who gets a keep the security deposit being held in escrow by the broker?
I was not truthful on my rental application. I lied about my last name and DOB. The lease was set to start on 1/1/2019 and due to unforeseen events on both the realtor, myself and the landlord. I didn’t move in on the 1st. The landlord was okay, with me moving in and paying the final money once I recover from the flu. On 1/22/19, the realtor found out I lied after completing a background check that should have been done before I signed the lease and informed the owner. On 1/24/19, I received an email requesting I sign for a cancellation and release of my security deposit due to breach of contract, fraud and failure to perform under the terms of the lease agree. I refused to sign. Can the security deposit be kept and given to the landlord despite the fact that I never moved in or closed on the lease and the lease was rescinded?
A: Generally, yes; that is the point of a security deposit, to protect the landlord in the case of a breach by the tenant.
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