Cook County (RTLO) Security Deposit - When the Building Transfers Ownership
If a tenant lives in suburban Cook County and the Cook County Residential Tenant Landlord Ordinance (RTLO) applies, the landlord needs to follow certain rules when the tenant pays a security deposit.
What happens to the security deposit when there's a new landlord?
If the landlord sells the building to someone else, the tenant might be worried about getting back their security deposit. But don't worry, the new landlord (called the "successor landlord") is responsible for returning the security deposit when the lease is up.
Within fourteen days of taking over, the new landlord must tell the tenant in writing that they have the tenant's security deposit or prepaid rent. They also have to give the tenant their contact information (name, business address, business telephone number).
The old landlord is held responsible for returning the security deposit back until it is transferred to the new landlord. The old landlord must notify the tenant in writing about the transfer and provide the new landlord's contact information (name, business address, business telephone number) within ten days.
What happens if the landlords didn't transfer the security deposit correctly or didn't notify the tenant?
A tenant may notify the landlord in writing that they they weren't informed about the transfer and contact info and the landlord has two (2) business days to give a receipt. If the landlord does not give a the contact information within two (2) business days, then the tenant may go to court. A tenant may be be entitled to damages (twice the security deposit + attorney's fees). The tenant has two years to sue the landlord for the violation. The 2-year countdown starts on the day that the violation happens.
If a tenant has any questions or concerns about their security deposit, it's best to speak with the landlord or consult with a legal professional.
The above article provides information about legal issues but is not the same as legal advice. Legal advice is when a lawyer applies the law to your specific situation. The information in this article does not replace the advice or representation of a licensed attorney. Law Center for Better Housing cannot guarantee the accuracy or completeness of the information in this article and is not responsible for any consequences that may result from using it. You should consult with a licensed attorney to ensure the information in this article is appropriate for your specific situation. Using the information in this article does not create a relationship between Law Center for Better Housing and you as your attorney.