Lexington-Fayette is one of the Kentucky cities that adopted the Uniform Residential Landlord and Tenant Act, so security-deposit rules under KRS Β§383.580 apply: separate account, written inspection, and itemized return within 30 to 60 days.
Kentucky URLTA is partial statewide, but LFUCG opted in via local ordinance, making KRS Β§383.580 enforceable in Fayette County. Landlords must keep deposits in a separately designated account at a Kentucky bank, give the tenant the bank's name and account number, and conduct a written move-in inspection. At move-out, the landlord has 30 days to send an itemized list of damages, and the tenant has 60 days from move-out to claim the refund before the landlord may keep an unclaimed balance. There is no statutory cap on deposit amount.
Failing to itemize within 30 days or commingling the deposit forfeits the landlord's right to withhold any portion, and tenants can sue in Fayette District Court for the full deposit plus reasonable attorney fees.
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See how Lexington's security deposit rules rules stack up against other locations.
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