The statute expressly says a qualifying fee collected in lieu of a deposit is not a security deposit.
The landlord must notify the tenant within 30 days after the tenancy concludes of covered costs or fees due.
The landlord generally must wait at least 15 days after giving the tenant the required notice.
The choice must be documented
The statute requires a written agreement with specified disclosures when a tenant elects the fee option. The tenant must also be told that the fee does not limit the tenant’s obligations under the rental agreement.
What to check after move-out
- The signed fee-in-lieu agreement.
- The notice of unpaid rent, fees or repair costs sent after tenancy.
- The itemized amounts and supporting damage/repair documentation.
- Any written objection you made.
- Whether an insurer is seeking reimbursement from you.
Official sources
Use these links to verify the rule directly.