Security Deposit Disputes: Notable Tenant Decisions in Newfoundland & Labrador

Security deposits are often a source of stress for tenants moving out in Newfoundland and Labrador. Knowing how provincial rules, case decisions, and the dispute process work is key to protecting your rights and your money. In this article, we break down important decisions, official forms, and practical steps for resolving security deposit disputes—so you can move out with confidence.

Understanding Security Deposits in Newfoundland and Labrador

In Newfoundland and Labrador, security deposits (sometimes called damage deposits) are regulated under the Residential Tenancies Act, 2018. Landlords can request a deposit, but it cannot exceed three-quarters of one month’s rent. Deposits must be held in trust for the tenant.

More details about deposit types and tenant tips can be found in Understanding Rental Deposits: What Tenants Need to Know.

Security deposits are meant to cover unpaid rent or damages beyond normal wear and tear, not to serve as a penalty or routine cleaning fee.

Key Legal Precedents: How Deposits Disputes Are Decided

The official board for residential tenancy matters in this province is the Residential Tenancies Tribunal of Newfoundland and Labrador. The Tribunal handles disputes about deposit returns, damage claims, and related issues.

Common Reasons for Disputes

• Landlord claims for damages vs. normal wear and tear
• Disagreements over unpaid rent vs. cleaning fees
• Deposit withholding without proper inspection or documentation

Notable Past Decisions

• Wear and Tear vs. Damage: The Tribunal often sides with tenants when the claim is for ordinary wear—such as minor carpet markings or faded walls. Landlords must prove that damages go beyond normal use.
• Inspection Requirements: In several decisions, tenants successfully argued for deposit refunds where a landlord did not complete or properly document a final inspection. Keeping good records and insisting on a joint inspection can protect your rights. See the Guide to the Initial Rental Property Inspection for Tenants for helpful steps.
• Timeline for Return: The law requires that landlords return the deposit (less any proven deductions) within 15 days after the tenant moves out or after the landlord regains possession. Interest must be paid, if applicable.

Each dispute is unique—decisions depend on the evidence available (photos, inspection reports, receipts, and written agreements).

Official Forms and How to Use Them

When your landlord refuses to return your deposit, you can apply to the Residential Tenancies Tribunal for a decision. The official form to use is:

• Application to Director (Form RTB-01):
  • When to use: If you believe your deposit is being withheld unfairly and informal talks haven’t worked.
  • Where to get it: RTB-01 Application to Director
  • Example: You move out, leave the property clean, and request your deposit back in writing. The landlord delays or refuses. You complete Form RTB-01, submit it to the Tribunal, and a hearing is scheduled where both sides can present evidence.

There’s no fee for this application. Make sure to attach any supporting evidence, such as inspection forms, photos, and your written requests.

Best Practices: Steps to Protect Your Deposit

To avoid disputes later, follow these tips:

• Request a joint move-out inspection and ask for a written report
• Take date-stamped photos before leaving
• Communicate in writing when requesting your deposit back
• Keep copies of the lease and any correspondence

Read How to Get Your Security Deposit Back with Interest When Moving Out for practical moving out essentials.

Always give your forwarding address to your landlord in writing so they know where to send your deposit or any notices.

For more on your rights and landlord obligations, visit Tenant Rights and Landlord Rights in Newfoundland and Labrador.

You can also browse apartments for rent in Canada easily and plan your next home with confidence.

FAQs: Security Deposit Disputes in Newfoundland and Labrador

1. How long does my landlord have to return my security deposit?
   Landlords must return the deposit within 15 days of getting possession, unless they are making a claim with the Tribunal.
2. Can my landlord keep my deposit for cleaning or small repairs?
   No, only damages beyond normal wear and tear or unpaid rent may be deducted. Cleaning and routine maintenance (like painting or minor carpet marks) are not valid reasons to keep your deposit.
3. Do I get interest on my deposit?
   Yes. Landlords are required to pay the tenant interest at the rate set by the Province. Ask for this when you move out.
4. What if my landlord does not respond to my deposit request?
   If there is no response within 15 days, you can apply to the Residential Tenancies Tribunal using Form RTB-01 to request your deposit back.
5. Is it necessary to have a move-out inspection?
   While not legally required, it is strongly recommended. A joint inspection protects both parties and provides evidence should a dispute arise.

Conclusion: Key Takeaways for Tenants

• Security deposits protect landlords, but your rights to get them back are protected by law.
• The Residential Tenancies Tribunal is the authority for disputes—submit Form RTB-01 if needed.
• Document everything and request a joint inspection for smooth returns.

Stay proactive and informed to minimize disputes when moving out.

Need Help? Resources for Tenants

• Residential Tenancies Tribunal of Newfoundland and Labrador: File disputes, access forms, or find information on hearings. Phone: 1-877-829-2608.
• Public Legal Information Association of NL (PLIAN): Tenant information and advocacy.
• Provincial government resource page: https://www.gov.nl.ca/dgsnl/landlord/

---

1. Residential Tenancies Act, 2018 (NL)
2. Residential Tenancies Tribunal of Newfoundland and Labrador
3. RTB-01 Application to Director Form

Categories

Tenant Rights & Responsibilities Rent & Deposits Leases & Agreements Moving In / Out Maintenance & Repairs Evictions Roommates & Shared Housing Discrimination & Accessibility Utilities & Services Affordable Housing & Subsidies Dispute Resolution & LTB Safety & Security Privacy & Entry by Landlord Special Tenancy Situations Tenant Insurance & Liability Post-Eviction Resources Landlord Compliance & Penalties Legal Precedents & Case Summaries Mental Health & Tenancy