Cal. Civ. Code § 38-12-103

Return of security deposit.

In Force
Verified 10/16/2026 · Next check 10/23/2026
effective 10/16/2026ColoradoSecurity Deposits

Operative Text

Cal. Civ. Code § 38-12-103
(1) (a) 
A landlord shall, within thirty days after the termination of a lease or
surrender of a premises, whichever occurs last, return to the tenant the full
security deposit deposited with the landlord by the tenant, unless the lease
agreement specifies a longer period of time, but not to exceed sixty days. A
landlord shall not retain the security deposit to cover normal wear and tear or
for any damage or defective condition that preexisted the tenancy. If a tenant
terminates the lease pursuant to section 38-12-402 (2)(a) and provides the
documentation required pursuant to section 38-12-402 (2)(a.5), the tenant is
not liable for damage to the dwelling unit caused by the responsible party or
during the course of an incident of unlawful sexual behavior, stalking,
domestic violence, or domestic abuse, and any amount of money that the landlord
retains from the security deposit must comply with section 38-12-402 (2)(b). In
the event that actual cause exists for retaining any portion of the security
deposit, the landlord shall provide the tenant with a written statement listing
the exact reasons for the retention of any portion of the security deposit.
When the landlord delivers the statement, the landlord shall also deliver the
difference between any sum deposited and the amount retained, along with any
relevant documentation required by subsection (8) of this section. A landlord
is deemed to have complied with this requirement by sending the statement, any
required payment, and any required documentation to the last-known address of
the tenant or to any email address for the tenant that the landlord has actual
notice of by sending any required payment to the tenant in accordance with
subsection (10) of this section.

(b) 
Except as provided in subsection (3.5)(a)(IV) of this section, a landlord has
actual cause to retain reasonable amounts from the security deposit only for:

(I) 
Nonpayment of rent;

(II) 
Nonpayment of utility charges;

(III) 
Nonpayment of other lawful charges listed in the lease; or

(IV) 
Necessary repair work for damage or defective conditions that exceed normal
wear and tear and did not preexist the tenancy.

(1.5) 
Upon a landlord's or tenant's request, if reasonable and practicable, the
landlord and tenant shall conduct a walk-through inspection, either in person
or via a telecommunication-assisted interactive walk-through, of the dwelling
unit to identify in writing any damage or defective conditions that are beyond
normal wear and tear and that did not preexist the tenancy. The landlord shall
provide a walk-through inspection at a tenant's request, at a time that is
mutually convenient to the parties, before the termination of the lease or the
surrender of the premises, and after the tenant has had the opportunity to
remove furniture.

(2) If
a landlord fails to comply with the requirements of this section or otherwise
wrongfully withholds a security deposit or any portion of a security deposit,
the landlord forfeits the landlord's rights to withhold any portion of the
security deposit under this section.

(2.5) A
landlord is deemed to have wrongfully withheld a security deposit or any
portion of it in violation of this section if the landlord:

(a) 
Fails to timely provide the written statement required by subsection (1) of
this section and all relevant documentation required by subsection (8) of this
section;

(b) 
Provides a written statement that fails to list the exact reasons for the
retention of any portion of the security deposit;

(c) 
Fails to return the difference between any sum deposited and the amount
retained within the time specified in subsection (1) of this section; or

(d) 
Retains a security deposit or any portion of it in bad faith as described in
subsection (3.5) of this section.

(3) (a) 
The wrongful retention of a security deposit in violation of this section
renders a landlord liable for treble the amount of that portion of the security
deposit wrongfully withheld from the tenant, together with reasonable attorney
fees and court costs; except that the tenant shall notify the landlord of the
tenant's demand for the return of the security deposit and intention to file
legal proceedings at least seven days before filing the action.

(b) In
a court action brought by a tenant under this section, the landlord bears the
burden of proving that the landlord's withholding of the security deposit or
any portion of it was not wrongful and that the landlord complied with the
requirements of this section.

(c) A
tenant may bring a court action for treble damages, reasonable attorney fees,
and court costs only if the landlord fails to return the entire security
deposit or any withheld portion to the tenant within seven days after receiving
a demand and notice of the tenant's intention to file legal proceedings as
described in subsection (3)(a) of this section.

(3.5)
(a) A landlord retains a security deposit or any portion of it in bad faith
if the amount retained by the landlord:

(I) 
Unreasonably exceeds the amount of actual damages the landlord incurred;

(II) Is
retained without actual cause existing for the retention of the amount;

(III) 
Is an amount the landlord knew or should have known exceeded the actual damages
the landlord incurred or would incur; or

(IV) Is
retained solely or in part for an unlawful, retaliatory, or discriminatory
purpose.

(b) An
amount retained by a landlord is presumed to unreasonably exceed the amount of
actual damages the landlord incurred if the amount retained is one hundred
twenty-five percent or greater than the actual damages incurred. Nothing in
this subsection (3.5)(b) prevents a court or jury from finding that a lesser
amount retained by a landlord unreasonably exceeds the amount of actual damages
the landlord incurred.

(c) In
a court action brought by a tenant under this section, the landlord bears the
burden of proving the amount of actual damages the landlord incurred.

(d) If
a landlord retains a security deposit or any portion of it in good faith and
otherwise complies with all requirements of this section but is found in a
civil action to have reasonably retained an amount that exceeded the actual
damages the landlord incurred, the landlord shall be liable to the tenant only
for the excess amount retained and court costs.

(4) 
Upon cessation of a landlord's interest in a dwelling unit, whether by sale,
assignment, death, appointment of a receiver, or otherwise, the person in
possession of the tenant's security deposit, including the landlord, the
landlord's agent, or the landlord's executor, shall, within sixty days:

(a) 
Transfer the funds, or any remainder after lawful deductions under subsection
(1) of this section, to the landlord's successor in interest and notify the
tenant by mail of such transfer and of the transferee's name and address; or

(b) 
Return the funds, or any remainder after lawful deductions under subsection (1)
of this section, to the tenant.

(5) 
Upon compliance with subsection (4) of this section, the person in possession
of the security deposit shall be relieved of further liability.

(6) 
Upon receipt of transferred funds under subsection (4)(a) of this section, the
transferee, in relation to such funds, shall be deemed to have all of the
rights and obligations of a landlord holding the funds as a security deposit.

(7) (a) 
Any provision, whether oral or written, in or pertaining to a rental agreement
whereby a provision of this part 1 that is for the benefit of a tenant or
members of the tenant's household is waived or modified is deemed to be against
public policy and void.

(b) A
provision, whether oral or written, in or pertaining to a rental agreement,
which provision assigns a fee or charge to a tenant for repairs, cleaning, or
other necessary work due to normal wear and tear or for any damage or defective
condition that preexists the tenancy, is deemed to be against public policy and
void.

(8) For
a termination of a lease or a surrender of the premises on or after January 1,
2026, if a landlord provides a tenant with a written statement pursuant to
subsection (1) of this section within fourteen days after a written request by
the tenant, the landlord shall provide documentation in the landlord's
possession or control, including photographs, inspection forms or reports,
receipts, invoices, or estimates, that is relevant to the retention of the
tenant's security deposit or any portion of the security deposit.

(9) If
a landlord's payment refunding a tenant's security deposit or any portion of it
as required by this section is returned to the landlord after it is sent to the
tenant's last-known address, the landlord shall hold the payment for at least
one year after receiving it and shall disburse the payment to the tenant within
fifteen calendar days after the tenant's request.

(10) A
landlord may send a payment refunding a tenant's security deposit or any
portion of it as required by this section to the tenant by mailing the payment
to the tenant's last-known address or, with the tenant's consent, by using a
secured electronic transfer of funds.

(11)
(a) A landlord does not have actual cause to retain any amount of a security
deposit to pay for the replacement of carpet throughout a dwelling unit unless
there is substantial and irreparable damage to the carpet that exceeds normal
wear and tear and did not preexist the tenancy. Nothing in this subsection
(11)(a) precludes a landlord from having actual cause to retain any amount of a
security deposit to pay for the replacement of carpet in a portion or portions
of the dwelling unit if there is substantial and irreparable damage to a
portion or portions of the carpet that exceeds normal wear and tear and did not
preexist the tenancy.

(b) A
landlord does not have actual cause to retain any amount of a security deposit
to pay for painting throughout the interior of a dwelling unit unless there is
substantial damage to the paint of the interior walls or ceiling throughout the
entire dwelling unit that exceeds normal wear and tear and did not preexist the
tenancy. Nothing in this subsection (11)(b) precludes a landlord from having
actual cause to retain any amount of a security deposit to pay for the
replacement of paint in a portion or portions of the dwelling unit if there is
substantial damage to a portion or portions of the paint on the interior walls
or ceiling that exceeds normal wear and tear and did not preexist the tenancy.

(c) A
landlord shall not deem carpet to be substantially and irreparably damaged if
the carpet has not been replaced with new carpet within ten years preceding the
termination of the lease or surrender of the premises.

(12) 
Notwithstanding any provision of this section to the contrary, subsections
(1.5) and (11) of this section do not apply to a rental agreement concerning
the occupancy of a mobile home, as defined in section 38-12-201.5 (5), in a
mobile home park, as defined in section 38-12-201.5 (6).
Source: Legislative text reproduced verbatim
Plain English

Colo. Rev. Stat. § 38-12-103 governs how and when landlords must return security deposits in Colorado. A landlord generally must return the full deposit—or the remainder after lawful deductions—within thirty days of lease termination or surrender of the premises, though a lease may extend that window up to sixty days. Deductions are limited to specific categories such as unpaid rent, unpaid utilities, other lawful charges, and damage beyond normal wear and tear that did not preexist the tenancy; charges for normal wear and tear or pre-existing conditions are prohibited. Wrongful withholding can expose a landlord to liability for triple the improperly withheld amount, plus reasonable attorney fees and court costs.

Written by anthropic/claude-sonnet-4.6 · Reviewed on October 16, 2026

Plain English — not legal advice.

For Property Managers

Under Colo. Rev. Stat. § 38-12-103, compliant operators return the deposit—or a documented remainder—within the statutory window and provide a written statement listing exact reasons for any deductions, along with supporting documentation such as photos, receipts, or estimates. Deductions are limited to unpaid rent, utilities, other lease-authorized charges, and damage exceeding normal wear and tear that did not preexist the tenancy; carpet and paint deductions follow specific rules set out in subsections (11)(a)–(c). Conducting a walk-through inspection before move-out, as described in subsection (1.5), helps create a contemporaneous record of unit condition.

General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.

For Tenants

Colo. Rev. Stat. § 38-12-103 gives tenants the right to receive their full deposit back—or a written itemization of deductions with supporting documentation—within the timeframe the statute specifies. If a landlord fails to comply or withholds funds in bad faith, tenants may be entitled to up to three times the wrongfully withheld amount plus attorney fees and court costs, provided the tenant first sends the landlord a written demand and notice of intent to file at least seven days before filing. Tenants can request a walk-through inspection before vacating, and may explore options such as filing a complaint with a local court, raising a violation as a defense, or contacting a tenant-rights organization for general guidance.

General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.

Generated October 16, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.

Effective Timeline

Current
Oct 16, 2026
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References Out

Rules and statutes cited by this regulation

Colo. Rev. Stat. § 38-12-402
Not yet ingested
Colo. Rev. Stat. § 38-12-201.5
Not yet ingested

References In

No inbound references recorded yet for this provision.

Related Rules

§ R 125.2001
Definitions.
§ 5-12-081
Interest rate on security deposits
§ 5-3-5-1
SECURITY DEPOSITS AND PREPAID RENT

Source Information

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