If you have A class properties and tenants, you can likely get reimbursed for most damage regardless of deposit.

. - if I am bring honest, I see more fees like this:  Description Frequency Basis for Fee When Earned Amount Expense Reimbursement On startup and incidentally thereafter Payment of documented out-of-pocket expenses paid by the Manager or its members on behalf of the Company.

We would normally reimburse the tenant but ask them (multiple times) to please let us know first because we should have the responsibility to address it and find a licensed repair person. 

Is there a chance that I can peruse action against them for reimbursement for the 9 months of having to spend thousands at the laundromat/time?

Here's some of my favs:"WATER BILLS MUST BE PAID IN FULL EACH AND EVERY MONTH BY THE DUE DATE.If the water bill is not paid by the due date, landlord will pay the balance, add a $25 service fee to be paid by tenants, and then give tenants seven days to reimburse landlord for the water bill.""

Did you reimburse the Arch for title 24 service provider or did they create the forms? 

Then the seller executed the 2nd position mortgage which reimbursed my downpayment. 

As far as utilities, in that situation I had the 12-month tenants split the utilities and then I reimbursed them a portion each month since I was running the Airbnb separately.

Ask him for reimbursement. 

You are all on the same side of trying to provide a good guest experience and money should only play a part if it is directly solving their problem (ex they went to Walmart and picked up new sheets so you reimburse them and keep those new sheets)