Kentucky Security Deposit Demand Letter

In Kentucky a landlord must hold your deposit in a separate account and provide initial and final itemized damage listings. A landlord who ignores those rules forfeits the right to keep any of your deposit. Attorney review available.

Introduction

A security deposit demand letter is a written demand a Kentucky tenant sends a former landlord to recover a security deposit that has not been returned, before filing suit. Kentucky's security-deposit statute, KRS 383.580, requires the landlord to hold all deposits in a separate account and to prepare two comprehensive itemized damage listings, an initial listing before the tenant tenders the deposit or takes occupancy and a final listing at the termination of occupancy, each signed by the landlord and the tenant (KRS 383.580(1)-(3)). The statute sets no single fixed refund day-count; instead, if the tenant leaves owing last month's rent and does not demand return of the deposit, the landlord may apply the deposit to the debt after 30 days (KRS 383.580(6)), and if the tenant leaves owing no rent with a refund due, the landlord must send notice of the refund to the tenant's last known address and may retain the deposit only if the tenant does not respond within 60 days of that notice (KRS 383.580(7)). A landlord is not entitled to retain any portion of the deposit if it was not held in a separate account and the required initial and final listings were not provided (KRS 383.580(4)); the remedy is this forfeiture, not a statutory multiplier. A tenant who disputes the final listing may sue in District Court, limited to the items the tenant specifically dissented from (KRS 383.580(5)). District Court hears small claims up to $2,500 (KRS 24A.230), and the deadline to sue on a written lease executed after July 15, 2014 is ten years (KRS 413.160). KRS 383.580 applies only where the local government has adopted Kentucky's Uniform Residential Landlord and Tenant Act (KRS 383.500). DocDraft builds your Kentucky security deposit demand letter from your facts, with attorney review available before you send it.

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Key Things to Know

  1. 1

    A security deposit demand letter is a written demand a Kentucky tenant sends a former landlord to recover a deposit withheld in violation of the state's deposit rules, before taking the landlord to court.

  2. 2

    A Kentucky landlord must hold all security deposits in a separate account used only for that purpose (KRS 383.580(1)).

  3. 3

    The landlord must prepare two comprehensive itemized damage listings, an initial listing before the tenant tenders the deposit or takes occupancy and a final listing at the termination of occupancy, each signed by the landlord and the tenant (KRS 383.580(2), (3)).

  4. 4

    KRS 383.580 sets no single fixed refund deadline: if the tenant leaves owing last month's rent and does not demand return, the landlord may apply the deposit to the debt after 30 days (subsection (6)); if the tenant leaves owing no rent with a refund due, the landlord must send notice and may retain the deposit only if the tenant does not respond within 60 days (subsection (7)).

  5. 5

    A landlord is not entitled to retain any portion of the deposit if it was not held in a separate account and the required initial and final listings were not provided (KRS 383.580(4)). This forfeiture is the remedy; there is no statutory multiplier.

  6. 6

    A tenant who disputes the final listing may sue in District Court, but recovery is limited to the items the tenant specifically dissented from in writing under KRS 383.580(3), (5).

  7. 7

    District Court hears small claims up to $2,500 (KRS 24A.230); the deadline to sue on a written lease executed after July 15, 2014 is ten years (KRS 413.160). KRS 383.580 applies only where the local government has adopted Kentucky's URLTA (KRS 383.500).

Key decisions before you file

Before you file a Security Deposit Demand Letter in Kentucky, a few decisions shape the document: which option to choose and what each one means. The Security Deposit Demand Letter guide walks through them.

Open the Security Deposit Demand Letter guide

Customize your Security Deposit Demand Letter Template with DocDraft

[YOUR NAME] [YOUR CURRENT ADDRESS] [CITY, KENTUCKY ZIP] [EMAIL] [PHONE]

[DATE]

[LANDLORD / PROPERTY MANAGER NAME] [LANDLORD ADDRESS] [CITY, KENTUCKY ZIP]

Re: Demand for return of security deposit for [RENTAL ADDRESS, UNIT #], Kentucky

Dear [LANDLORD NAME]:

I rented the property at [RENTAL ADDRESS] in Kentucky from [LEASE START DATE] to [MOVE-OUT DATE], and I paid a security deposit of $[DEPOSIT AMOUNT] at the start of the tenancy. My occupancy ended on [DATE], and my current address is shown above.

I demand the return of my security deposit. I am making this written demand expressly because, under Kentucky Revised Statutes Section 383.580(6), a tenant who does not demand return of the deposit can have it applied to a claimed debt after 30 days. I owe no rent, and a refund is due to me. To date I have received [nothing / only $AMOUNT / a damage listing I dispute for the reasons below].

Under KRS 383.580, you were required to hold my deposit in a separate account (subsection (1)) and to prepare both an initial comprehensive damage listing before I took occupancy and a final comprehensive damage listing at the termination of occupancy, each with the estimated cost of repair and each signed by both of us (subsections (2) and (3)). Because [you did not hold the deposit in a separate account / you did not provide the required initial and final damage listings], you are not entitled to retain any portion of my deposit under KRS 383.580(4). To the extent you provided a final listing, I specifically dissent from these items: [list disputed charges], and I sign this statement of dissent below.

I am owed $[AMOUNT STILL DUE]. I demand that you return this amount to me at the address above by [DEADLINE DATE, for example 14 days from this letter].

If I do not receive full payment by that date, I intend to file in Kentucky District Court, including its Small Claims Division, which hears claims up to $2,500 (KRS 24A.230). Under KRS 383.580(5), my claim may include the items I have specifically dissented from above. The deadline to sue on a written lease executed after July 15, 2014 is ten years (KRS 413.160).

Please send payment to the address above. I am keeping a copy of this letter and proof of its delivery.

Sincerely,


[YOUR NAME]

Note: This is a Kentucky security deposit demand letter drawn from KRS 383.580, which applies where the local government has adopted Kentucky's Uniform Residential Landlord and Tenant Act. Kentucky uses 30-day and 60-day mechanics, two signed damage listings, and forfeiture of the right to retain for noncompliance rather than a penalty multiplier. For the generic template and other states, see the Security Deposit Demand Letter hub.

Kentucky Requirements for Security Deposit Demand Letter

No Fixed Deadline: 30-Day and 60-Day Mechanics

KRS 383.580 sets no single fixed refund deadline. If the tenant leaves owing last month's rent and does not demand return, the landlord may apply the deposit to the debt after 30 days (KRS 383.580(6)); if the tenant leaves owing no rent with a refund due, the landlord must send notice and may retain the deposit only if the tenant does not respond within 60 days (KRS 383.580(7)). Your demand letter starts the clock in your favor.

Separate-Account Requirement

A Kentucky landlord must deposit all tenants' security deposits in an account used only for that purpose, in a bank or lending institution subject to regulation (KRS 383.580(1)). Failure to hold the deposit in a separate account is one of the conditions that forfeits the landlord's right to retain it.

Two Comprehensive Damage Listings

A Kentucky landlord must prepare an initial comprehensive listing of existing damage before the tenant tenders the deposit or takes occupancy, and a final comprehensive listing at the termination of occupancy, each with the estimated cost of repair and each signed by the landlord and the tenant (KRS 383.580(2), (3)).

Tenant's Right to Dissent to the Final Listing

If a Kentucky tenant disagrees with the final damage listing, the tenant must state in writing the specific items dissented from and sign that statement of dissent (KRS 383.580(3)). A tenant who fails to sign or specifically dissent may be unable to recover those amounts later, so identify disputed charges clearly in your demand letter.

Forfeiture of the Right to Retain

A Kentucky landlord is not entitled to retain any portion of a security deposit if the deposit was not held in a separate account as required and the initial and final damage listings were not provided (KRS 383.580(4)). Kentucky's remedy is this forfeiture, not a statutory multiplier; point out any such failure in your demand letter.

District Court Dispute Limited to Dissented Items

A Kentucky tenant who disputes the accuracy of the final damage listing may bring an action in District Court, but the claim is limited to the items the tenant specifically dissented from under KRS 383.580(3), (5). Stating your dissented items in writing preserves them for a later claim.

Demand Return in Writing and Send With Proof of Delivery

Expressly demand return of the deposit in writing: a Kentucky tenant who owes last month's rent and does not demand return risks the landlord applying the deposit to the debt after 30 days (KRS 383.580(6)). Send the demand using a trackable method such as certified mail with return receipt, and keep a copy and the delivery record.

Small Claims Limit and Deadline to Sue

If the demand is ignored, a Kentucky deposit claim can be brought in the Small Claims Division of District Court, with a limit of $2,500, exclusive of interest and costs (KRS 24A.230). The deadline to sue on a written lease executed after July 15, 2014 is ten years (KRS 413.160).

Frequently Asked Questions

It is a written demand a Kentucky tenant sends a former landlord to recover a security deposit the landlord has not returned, before filing suit. Under KRS 383.580, the letter is also how a departing tenant formally demands return of the deposit, which is legally significant: a tenant who owes last month's rent and does not demand return risks the landlord applying the deposit to the debt after 30 days (KRS 383.580(6)). The letter states the amount owed, disputes any improper charges, and asks for payment by a set date.

A Kentucky security deposit demand letter is an informal written request that costs nothing to send and asks the landlord to pay before any case is filed. Small claims are heard in the Small Claims Division of District Court, with a limit of $2,500 (KRS 24A.230). Under KRS 383.580(5), a tenant who disputes the final damage listing may sue in District Court, but only for the items the tenant specifically dissented from, so the demand letter is a good place to state those disputed items clearly.

KRS 383.580 does not set a single fixed refund deadline for Kentucky. If the tenant leaves owing last month's rent and does not demand return of the deposit, the landlord may apply it to the debt after 30 days (KRS 383.580(6)). If the tenant leaves owing no rent with a refund due, the landlord must send notice of the refund to the tenant's last known address and may keep the deposit only if the tenant does not respond within 60 days of that notice (KRS 383.580(7)). Sending a written demand preserves your claim.

Kentucky does not impose a statutory multiplier such as double or triple the deposit. Instead, under KRS 383.580(4), a landlord is not entitled to retain any portion of a security deposit if the deposit was not held in a separate account and the required initial and final damage listings were not provided. That forfeiture of the right to retain is the statutory remedy, so a demand letter that points out a missing separate account or missing damage listings can support a claim for the full deposit.

A Kentucky landlord may charge the deposit only for damage to the unit that is documented in the required comprehensive damage listings, with the estimated dollar cost of repair, prepared at the start and at the termination of occupancy (KRS 383.580(2), (3)). Where a tenant leaves without paying last month's rent, the landlord may apply the deposit to the debt owing after 30 days (KRS 383.580(6)). Charges not documented in the signed listings can be disputed in your demand letter.

Yes, and it requires two. Under KRS 383.580(2) and (3), a Kentucky landlord must prepare an initial comprehensive listing of existing damage before the tenant tenders the deposit or takes occupancy, and a final comprehensive listing at the termination of occupancy, each with the estimated cost of repair and each signed by the landlord and the tenant. A tenant who disagrees must state in writing the specific items dissented from and sign that statement. A landlord who fails to provide these listings forfeits the right to retain the deposit (KRS 383.580(4)).

A Kentucky deposit claim can be brought in the Small Claims Division of District Court, which has a jurisdictional limit of $2,500, exclusive of interest and costs (KRS 24A.230); larger claims proceed in District Court generally. Under KRS 383.580(5), a tenant who disputes the final damage listing may recover only the items the tenant specifically dissented from in writing. The deadline to sue on a written lease executed after July 15, 2014 is ten years (KRS 413.160).

A Kentucky demand letter should identify you and the landlord, give the rental address and the dates of the tenancy, state the deposit amount, and expressly demand return of the deposit so the landlord cannot apply it to a claimed debt without your demand (KRS 383.580(6)). It should note any missing separate account or missing initial or final damage listing, which triggers forfeiture of the right to retain under KRS 383.580(4), list the specific charges you dissent from, state the amount owed, and demand payment by a specific date.