Article 5ZD Breach of tenancy deposit limit: recoverability of excessF1
A tenancy deposit in relation to a private tenancy that has not been paid is irrecoverable to the extent that it exceeds the amount of 1 month’s rent payable under the tenancy (and this is so despite anything in any agreement).
Where, in connection with a private tenancy—
a tenancy deposit has been paid or retained (as defined in paragraph (3)), and
at the time of payment or retention, or at any time thereafter, the deposit exceeds the amount of 1 month’s rent payable under the tenancy,
the excess is recoverable by the person who paid it.
For the purposes of paragraph (2), if—
a tenancy deposit is paid (at any time) in connection with a private tenancy (“the first tenancy”),
a private tenancy is granted of that or another dwelling-house (whether to the tenant of the first tenancy or to another person) or (where the first tenancy is a protected tenancy) a statutory tenancy comes into existence, and
on or after the ending of the first tenancy, some or all of the deposit continues to be held in connection with the new tenancy,
the deposit is retained in connection with the new tenancy.
In this Article “1 month’s rent payable under the tenancy” and “tenancy deposit” have the same meaning as in Article 5ZC.
Annotations
Textual amendments
- F1
Arts. 5ZC, 5ZD and cross-heading inserted (1.4.2023 with effect in accordance with s. 4(5)) by Private Tenancies Act (Northern Ireland) 2022 (c. 20), ss. 4(2), 14(7); S.R. 2023/20, art. 2, Sch.