Tenant suing in Small Claims Court

[Matt Hadley]

California landlord. Tenant is suing in small claims court for full security deposit plus damages. He rented my house. I agreed to end his lease early because I wanted to move back in early. Everything was by email or text. I have withheld his entire deposit.

First, he is stating we didn't tell him of his right to an initial inspection and that's bad faith. I said by email we would do a walk-through on the day he vacated, and we did a walk-through that day before he turned over the keys. The place when I went on the last day was filthy and I told him so. He said to take it out of his deposit.

Second, he is stating we didn't give him an itemized list with receipts within 21 days of vacancy. I did email an itemized list to him on the 16th day but did not send receipts. I hadn't lined everything up so I estimated some costs including repainting and replacing the carpet. He sent a demand letter after 21 days and I set an email back a week later (28 days after vacancy) with estimates for the carpet replacement, which are way more than what I billed him for in my first email. I don't have receipts for the services to clean the house he left so filthy, but I sent my writeups of those services in my second email.

Third, he is stating I didn't prove my carpet or paint had any remaining useful life. I don't have receipts for the carpet, but he ruined it. I had taken good care of it and I wasn't planning to replace it for another six years. And he put stickers on the wall for his kid, so I had to repaint the chips and that's like $400. I don't have receipts but the carpet was fine and it needed to be replaced in full.

Fourth, he is stating I acted in bad faith by doing these three things, plus how i responded to him in my second email. I did state all of the deductions I could have taken in my first email and told him I could have deducted a lot more. And I also said that I might sue for those additional deductions if he sued me, which is my right. He said that's intimidation and that I manufactured the expenses in my second email, just because i didn't mention them in my first itemized list.

So we are going to small-claims court and he wants the entire deposit plus damages. How much should I countersue him for?

[Kyle J.]

@Matt Hadley  It's been said that one of the most common sources of disagreements between landlords and tenants is over security deposit deductions.  This is a good example.

You've outlined a lot of issues in your initial post, but only asked one question (how much to countersue the tenant for).  Unfortunately, based on what you wrote, I think you should be more focused on how to defend yourself in this lawsuit as it appears you did not follow California law on the handling of the tenant's security deposit.

To your first point, California law states the landlord must give the tenant written notice of the tenant’s right to request an initial inspection of the rental unit and to be present during the inspection. This inspection, if requested by the tenant, must be done within two weeks of the end of the tenancy.  The purpose of this inspection is to allow the tenant ample time to perform repairs or do cleaning identified during the inspection.  Obviously, there wouldn't be enough time for the tenant to perform repairs or do cleaning if you only did a walk-through on the day he vacated (and a walk-through is not the same as an initial inspection).

There's a few issues with your second point, but I'll just hit the main one...you sent him notice by email.  California law (Ca Civil Code 1950.5) requires landlords to furnish tenants an itemized list of security deposit deductions no later than 21 days either by personal delivery or by first-class mail (unless the tenant previously agreed to let you provide it to him by email).  If you don't, you lose the right to make any deductions.   (You were also required to send him receipts for deductions over $125.)

To your third point, the maximum "useful life" for carpet in California is 10 years.  (For paint, it's far less.)  After the "useful life" has been exceeded, you can't deduct for it.  Unfortunately, it's not relevant when you "planned to replace it".  

I could go on but I think you get the point.  Before you go to court, or collect or deduct from any more security deposits, I would HIGHLY suggest you read this cover-to-cover: California Landlord-Tenant Handbook: A Guide to Residential Tenants' and Landlords' Rights and Responsibilities.

I've also heard Nolo has some good books, though I haven't personally read those (but I know others on here seem to recommend them often).  Here's one you might consider: Nolo - The California Landlord's Law Book: Rights & Responsibilities.

Good luck and I hope it works out okay for you.