Security Deposits

(a)The total amount of a security deposit may not be in excess of one

(1)month’s rent. Landlords may charge an additional reasonable “pet deposit,” not to exceed Five Hundred Dollars ($500.00) per pet. Landlords may not collect more than the first month’s rent and security deposit (including pet deposit if appropriate) at the time of lease commencement.

(b)If the landlord has lawful grounds to retain all or any portion of the security deposit, the landlord must notify the tenant in writing of the reasons for retention. Any costs, such as cleaning or specific repairs, must be itemized and copies of receipts included. If the repairs cannot be accomplished within fourteen

(14)days, estimates for the cleaning or repair services may be substituted.

(1)The notice, and any portion of the security deposit remaining, after deductions, must be given to the tenant within fourteen

(14)days after the termination of the rental agreement.

(2)In order to comply with this fourteen

(14)day requirement, the landlord may mail the material to the tenant on or before the fourteenth

(14th)day.

(3)The landlord shall obtain acceptable proof of mailing from the Post Office.

(4)The landlord may also prove compliance with the fourteen

(14)day requirement by other types of evidence, such as the tenant’s acknowledgement or the testimony of a witness.

(c)The tenant may not use the deposit as payment for the last month’s rent unless the landlord agrees with the tenant in writing to such a use. In any event, the landlord retains the right to have the tenant pay for damages caused by the tenant. CH. 48 GUAM LANDLORD AND TENANT RENTAL ACT OF 2018

(d)Any action by the tenant to recover all or any portion of the security deposit must be commenced within one

(1)year from the date the rental agreement terminated.

(e)Legal action involving security deposit disputes may be undertaken by either party. Where the court determines that the landlord:

(1)wrongfully and willfully retained all or part of the security deposit, it may award the tenant damages equal to three

(3)times the amount of the security deposit, or part thereof, wrongfully and willfully retained, plus the cost of the suit;

(2)wrongfully retained all or part of the security deposit, it shall award the tenant damages equal to the amount of the security deposit or part thereof, wrongfully retained, plus the cost of the suit;

(3)was entitled to retain the security deposit or part thereof, the court shall award the landlord damages in an amount equal to the amount of the security deposit, or part thereof, in dispute, plus the cost of the suit.