Subchapter I. Rental Application Deposits

a) For purposes of this subchapter:
1. “Application deposit” means a sum of money that is given to the landlord in connection with a rental application and that is refundable to the applicant if the applicant is rejected as a tenant.

2. “Applicant” or “rental applicant” means a person who makes an application to a landlord for rental of a dwelling.
3. “Co-applicant” means a person who makes an application for rental of a dwelling with other applicants and who plans to live in the dwelling with other applicants.
4. “Deposited” means deposited in an account of the landlord or the landlord ‘s agent in a bank or other financial institution.
5. “Landlord” means a prospective landlord to whom a person makes application for rental of a dwelling.
6. “Required date” means the required date for any acceptance of the applicant under Section 92.352.

Added by Acts 1995, 74th Leg., ch. 744, Sec. 5, eff. Jan. 1, 1996. Renumbered from V.T.C.A., Property Code Sec. 92.331 by Acts 1997, 75th Leg., ch. 165, Sec. 31.01(71), eff. Sept. 1, 1997.

a) The applicant is deemed rejected by the landlord if the landlord does not give notice of acceptance of the applicant on or before the seventh day after the:
1. date the applicant submits a completed rental application to the landlord on an application form furnished by the landlord; or
2. date the landlord accepts an application deposit if the landlord does not furnish the applicant an application form.

b) landlord ‘s rejection of one co-applicant shall be deemed as a rejection of all co-applicants.

Added by Acts 1995, 74th Leg., ch. 744, Sec. 5, eff. Jan. 1, 1996. Renumbered from V.T.C.A., Property Code Sec. 92.332 by Acts 1997, 75th Leg., ch. 165, Sec. 31.01(71), eff. Sept. 1, 1997.

a) Except as provided in Subsection (b), a landlord is presumed to have given notice of an applicant ‘s acceptance or rejection if the notice is by:
1. telephone to the applicant, co-applicant, or a person living with the applicant or co-applicant on or before the required date; or
2. United States mail, addressed to the applicant and postmarked on or before the required date.

b) If a rental applicant requests that any acceptance of the applicant or any refund of the applicant ‘s application deposit be mailed to the applicant, the landlord must mail the refund check to the applicant at the address furnished by the applicant.

c) If the date of required notice of acceptance or required refund of an application deposit is a Saturday, Sunday, or state or federal holiday, the required date shall be extended to the end of the next day following the Saturday, Sunday, or holiday

Added by Acts 1995, 74th Leg., ch. 744, Sec. 5, eff. Jan. 1, 1996. Renumbered from V.T.C.A., Property Code Sec. 92.333 by Acts 1997, 75th Leg., ch. 165, Sec. 31.01(71), eff. Sept. 1, 1997.

A landlord who in bad faith fails to refund an application deposit in violation of this subchapter is liable for an amount equal to the sum of $100, three times the amount of the application deposit, and the applicant ‘s reasonable attorney ‘s fees in a suit to recover the deposit.


Added by Acts 1995, 74th Leg., ch. 744, Sec. 5, eff. Jan. 1, 1996. Renumbered from V.T.C.A., Property Code Sec. 92.334 by Acts 1997, 75th Leg., ch. 165, Sec. 31.01(71), eff. Sept. 1, 1997.

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