Keeping in mind that I am not a lawyer in any state, and, therefore, can only interpret laws for entertainment purposes... And, seeing that no lawyer has chimed in, I’d like to offer some “entertainment:”
I previously provided a link to the pertinent law, which I believe to be current. Subsection D of that law should address your original stated concern:
“D. On termination of the tenancy, property or money held by the landlord as prepaid rent and security may be applied to the payment of all rent, and subject to a landlord's duty to mitigate, all charges as specified in the signed lease agreement, or as provided in this chapter, including the amount of damages which the landlord has suffered by reason of the tenant's noncompliance with section 33-1341. Within fourteen days, excluding Saturdays, Sundays or other legal holidays, after termination of the tenancy and delivery of possession and demand by the tenant the landlord shall provide the tenant an itemized list of all deductions together with the amount due and payable to the tenant, if any. Unless other arrangements are made in writing by the tenant, the landlord shall mail the itemized list and any amount due, by first class mail, to the tenant's last known place of residence. If the tenant does not dispute the deductions or the amount due and payable to the tenant within sixty days after the itemized list and amount due are mailed as prescribed by this subsection, the amount due to the tenant as set forth in the itemized list with any amount due is deemed valid and final and any further claims of the tenant are waived.”
To further address your specific concern, there is a particular element in the quoted section of the law that requires an action from the tenant. I am “ ^-ing^ “ that element in the quote below:
“Within fourteen (business) days… after termination of the tenancy and delivery of possession ^and demand by the tenant^ the landlord shall provide the tenant an itemized list of all deductions together with the amount due and payable to the tenant, if any.”
(I did not find a definition for “demand” in the law; though, such definition may exist in another section/chapter that may be applicable “globally.” Not having found it, I am presuming that the “demand” here may mean verbal or written - but I don’t know for a fact.)
Note: You did not state how you regained possession after “The tenant broke the lease and moved out…” (And more on this - unrelated to your question - point at the end of this dissertation.) Did the tenant just leave and not even return the keys? Or did they tell you they would be moving out on/about a particular date - before the expiration of the lease - asked to be present at their move-out inspection, and also asked (“demanded”) for their deposit back? But what if they only asked for their SD back verbally? - the law does not appear to state in what manner the tenant has to make that demand.
So, reading the applicable law in whole, element by element (as all laws should be read,) I take from this law that, unless the tenant makes a demand - even verbally (for which there may be no witness/evidence) - only then is the “14-day” clock even triggered. But what is to prevent a tenant from later claiming that they had made a timely - verbal - demand for their security deposit?… So I’m glad you sent the letter, because, if the tenant should make that claim:
“Unless other arrangements are made in writing by the tenant, the landlord shall mail the itemized list and any amount due, by first class mail, to the tenant's last known place of residence.” (I am assuming, from your post, that the tenant made no other arrangements - in writing - as to where to *send/deliver* the itemized list and any amount due.)
Note that the law is mum on forwarding or not forwarding the first class letter that you shall mail. But should that mean that you are free to interpret what the legislators may have intended (but forgot?) to give you options for? In my opinion, this does not mean that you should take any active step to request of the USPS that your letter not be forwarded - assuming the USPS may have a new address, which you wouldn’t know about at the time of sending the letter.
Why could that matter? Imagine if you did instruct the USPS to not forward your letter, and the tenant would present this action to the judge as, “See, she definitely did not want me to get that letter!” (And you expressed this reasonable concern above. And I believe the other commenter, in whose jurisdiction their advice may work, assumes that you could be the only party with a claim here. Unfortunately, I believe the tenant may file a claim of their own, for up to double/triple the deposit. I can tell you are aware of that possibility.)
While you would still have complied with the letter of the law, depending on what the judge/commissioner had for breakfast, they may agree with the tenant’s sentiment if you took the “liberty” of writing “do not forward” on a first class letter, that may look like an unfair action in your favor. Of course, you could also make the seemingly-reasonable counter-argument that you would have to have proof that you sent the letter, and how could you get that proof if the letter were to be forwarded (to an address not provided to you by the tenant) instead of being returned to you for you to use as evidence later that the last known address was a dead-end? But logic also begs that you still would not have proof of sending the letter if your first class (read: not certified) letter WAS forwarded to another address, where the tenant may have actually received it, but lied in court that they never got it anywhere. How would you still prove in that case that you sent it - to any address?
I hope that this “role play” makes sense for anyone else - the point is not to assume something that is not actually in the law, because it may show you acting in bad faith if properly spun by the other side, despite your reasonable desire to want to have evidence. (There are other ways to obtain/develop that evidence - such as using certified mail or my “practical advice” below.)
In your case, because your friend found the letter inside the mailbox of the last known address, you now have specific evidence of having mailed the letter “…by first class mail, to the tenant's last known place of residence” - “Unless other arrangements (had been) made in writing by the tenant…”
Again, in my (non-lawyer) opinion, you’ve complied with the letter of the law as to your concern - “Unless other arrangements (had been) made in writing by the tenant…”
[Practical advice: Where I self-manage, in my “Notices” section of the lease, besides my physical address, phone numbers, etc for notices to me, I provide two email addresses for myself, and state in that part that email is my preferred method of communication. I separately end that paragraph with: “Landlord encourages the use of email for all non-emergency communications or as a follow-up to emergency phone call(s)/message(s).” (This language does not obligate the tenant to communicate with me only by email - only states what method of communication I prefer, for non-emergencies.) And I make sure to already have established email communication with each tenant at/before the start of the lease, and use that same email address (of the two provided in the lease) with the tenant during our relationship.
Real life example: I had one leave “in the dark of night” after my local agent posted an eviction notice on the door. She left no forwarding address. So, everything the law required of me in such a case at that time I did - and each required step I took, I documented by email to the tenant, with attachments, where appropriate, without delay. I wouldn’t wait for a letter I sent to first be returned to me. I’d also email the letter’s contents to the tenant without delay: “On X date, approximate time, I personally deposited a letter with a copy of the attached contents (please see attachment for reference) in it into a USPS mailbox located at… It was a stamped, with a “USA Forever” stamp, and sealed, letter addressed to your first and last name at the following address, which was the last address you have provided to me for yourself, and is the only address I am currently aware of for you… Furthermore, you appear to be in non-compliance with ORC 5321.16(B) (this was Ohio,) which states, in part: “… The tenant shall provide the landlord in writing with a forwarding address or new address to which the written notice and amount due from the landlord may be sent. If the tenant fails to provide the landlord with the forwarding or new address as required, the tenant shall not be entitled to damages or attorneys fees under division (C) of this section.” (I do not know whether AZ has similar, but this wouldn’t matter in your case, as it only applies to what the tenant may petition the court for.) If the letter was later returned to me, I’d take pics of its exterior, and email those to the tenant at that time - so the tenant was fully aware of everything without delay, and in apparent good faith from me.
Overkill? Maybe to some. I am used to documenting events for forensic purposes, and have experienced judges with poor dietary habits…
This is an example of going above and beyond vs interpreting (vague?) laws in a way that may later be presented to only benefit you. Good luck spinning my actions into bad faith or non-compliance… But perhaps more importantly, think “contemporaneous evidence” in your Sent folder that you could point to - and, if ruled admissible, refer to to refresh your own memory, even on the stand, potentially years later - in court, if needed. (And having such evidence - with the tenant’s knowledge of its existence - would likely make it unneeded.)
Obviously, none of this is a legal requirement, but we all should share our best practices here - I was not born the perfect (looking) person I am today. It took a lot of Botox injections first.]
If you’d like something to worry about for your circumstances - because all you have provided to us is: “The tenant broke the lease and moved out…” - consider this AZ law: https://www.azleg.gov/ars/33/01370.htm
An advice that probably does not need to be stated here, but still: Depending on the facts of your circumstances, I wouldn’t comment on whether you complied with this law, which I also assume is currently in force - this is a public forum, and you shouldn’t volunteer potentially-damaging information to the other side.
And, again: None of the above is legal advice, as I am not a lawyer.
