Security deposit

[Neil]

Hello fellow REIN members. I was wondering if someone might be able to answer the following question. The tenant downstairs, whose lease has now ended, was responsible for paying the upstairs tenants 40% of the total house utilities. I am unsure as to whether he will be true to his word and send his share ($) of the utilities bill when it arrives. I would like to hold on to the security deposit and use this money to pay his share of the utilities but am unsure if I have the right given that there wasn`t any mention of this possibility on the rental contract.

Any advice would be most appreciated.

Thank you,

Neil B.

 

[GarthChapman]

Technically no, but you could suggest to him that you will look after the utility bill for him via a hold-back from his Security Deposit (hold back a bit more than the bill should be and then return the difference). If he agrees, put it in writing and you`re good to go. You may even be able to have him call the Utility provider and get an amount on the bill right after the billing period cut-off.

 

[Neil]

QUOTE (GarthChapman @ Aug 2 2008, 10:17 AM) Technically no, but you could suggest to him that you will look after the utility bill for him via a hold-back from his Security Deposit (hold back a bit more than the bill should be and then return the difference). If he agrees, put it in writing and you`re good to go. You may even be able to have him call the Utility provider and get an amount on the bill right after the billing period cut-off.


Thanks for the info Garth. Much appreciated.

Neil