Oregon sets no dollar cap on residential security deposits, but it tightly controls how they are returned. After the tenancy ends and the tenant gives up possession, the landlord has 31 days to refund the deposit with a written, itemized accounting of any deductions. Wrongful withholding exposes the landlord to twice the amount kept.
Under Or. Rev. Stat. § 90.300, a landlord may require a security deposit but the statute imposes no maximum amount. When the tenancy terminates and the tenant delivers possession, the landlord must "return to the tenant the security deposit" and give "a written accounting that states specifically the basis or bases of the claim" no later than 31 days after termination. A landlord may apply the deposit only to the tenant's defaults under the rental agreement, including unpaid rent, and to repairing damage "caused by the tenant, not including ordinary wear and tear." Carpet cleaning and certain cleaning costs are allowed only under the conditions the statute spells out. Normal wear and tear may never be deducted.
If a landlord fails to provide the accounting and refund within 31 days, or withholds part of the deposit in bad faith, Or. Rev. Stat. § 90.300(16) lets the tenant "recover the money due in an amount equal to twice the amount" wrongfully withheld, in addition to any deposit improperly kept.
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