SECURITY DEPOSIT ITEMIZATION AND RETURN LETTER
(Arizona Residential Tenancies — Ariz. Rev. Stat. § 33-1321)
[// GUIDANCE: This template is drafted to satisfy Arizona’s statutory requirements for the return and itemization of a residential security deposit. Customize bracketed fields and delete any bracketed guidance before issuing the letter.]
TABLE OF CONTENTS
- DOCUMENT HEADER
- DEFINITIONS
- OPERATIVE PROVISIONS
- REPRESENTATIONS & WARRANTIES
- COVENANTS & RESTRICTIONS
- DEFAULT & REMEDIES
- RISK ALLOCATION
- DISPUTE RESOLUTION
- GENERAL PROVISIONS
- EXECUTION BLOCK
1. DOCUMENT HEADER
1.1 Title. Security Deposit Itemization and Return Letter (the “Letter”).
1.2 Parties.
(a) “Landlord”: [LANDLORD LEGAL NAME], a [STATE] [ENTITY TYPE], mailing address [ADDRESS].
(b) “Tenant”: [TENANT FULL LEGAL NAME], last-known address [ADDRESS].
1.3 Premises. [STREET ADDRESS, UNIT, CITY, AZ ZIP] (the “Premises”).
1.4 Lease. Residential Lease dated [LEASE DATE] between Landlord and Tenant (the “Lease”).
1.5 Effective Date. [DATE LETTER IS ISSUED] (the “Effective Date”).
1.6 Governing Law. Arizona law, including Ariz. Rev. Stat. § 33-1321 (the “Act”).
2. DEFINITIONS
For purposes of this Letter, capitalized terms have the meanings set forth below:
“Business Day” A day other than Saturday, Sunday, or legal holiday in the State of Arizona.
“Itemization” The written statement of deductions from the Security Deposit required by § 33-1321(D).
“Move-Out Date” [DATE TENANT DELIVERED POSSESSION].
“Return Deadline” Fourteen (14) Business Days after the later of (i) the Move-Out Date and (ii) Tenant’s demand for return of the Security Deposit, calculated in accordance with § 33-1321(D).
“Security Deposit” All funds paid by Tenant to Landlord that qualify as a security deposit under the Act, initially totaling $[AMOUNT RECEIVED].
3. OPERATIVE PROVISIONS
3.1 Acknowledgment of Deposit. Landlord received the Security Deposit in the amount of $[AMOUNT RECEIVED] on [DATE].
3.2 Compliance Statement. Pursuant to § 33-1321(D), Landlord hereby tenders this Itemization within the Return Deadline.
3.3 Itemization of Deductions.
| # | Allowable Deduction Category | Description | Amount ($) |
|---|---|---|---|
| 1 | Unpaid Rent | [MONTH/YEAR] | [AMT] |
| 2 | Repair of Damage | [e.g., Hole in drywall, broken blinds] | [AMT] |
| 3 | Cleaning | [e.g., Carpet shampoo per vendor invoice] | [AMT] |
| 4 | Late Fees/Other Charges | [Specify] | [AMT] |
| Total Deductions | $[TOTAL DEDUCTIONS] |
[// GUIDANCE: Attach third-party invoices, photographs, or other substantiation for each deduction to strengthen evidentiary position.]
3.4 Balance Calculation.
Security Deposit Received: $ [AMOUNT RECEIVED]
Less Total Deductions: -$ [TOTAL DEDUCTIONS]
Balance Due to Tenant: $ [BALANCE]
3.5 Remittance. Landlord encloses [check no./electronic transfer confirmation] in the amount of $[BALANCE], constituting full payment of the refundable portion of the Security Deposit.
3.6 Preservation of Claims. By cashing or accepting the enclosed payment, Tenant does not waive any statutory rights under § 33-1321(E) to dispute the deductions listed herein. Likewise, Landlord reserves all rights to pursue additional amounts legally recoverable under the Lease or applicable law that exceed the Security Deposit.
4. REPRESENTATIONS & WARRANTIES
4.1 Authority. Landlord represents that the undersigned is duly authorized to issue this Letter and to disburse funds on Landlord’s behalf.
4.2 Accuracy. Landlord represents, to the best of its knowledge after reasonable investigation, that the foregoing Itemization is complete and accurate in all material respects.
4.3 Survival. The representations in this Section 4 survive Tenant’s receipt of the Balance.
5. COVENANTS & RESTRICTIONS
5.1 Documentation Cooperation. Landlord will, upon written request within sixty (60) days after the Effective Date, provide Tenant access to non-privileged documentation supporting each deduction.
5.2 Forwarding Address. Tenant covenants to keep Landlord informed of any change to Tenant’s mailing address until [DATE] for purposes of future correspondence related to the Lease.
6. DEFAULT & REMEDIES
6.1 Disputed Amounts. If Tenant contends that any deduction is improper, Tenant must deliver written notice of dispute to Landlord within fifteen (15) Business Days after receipt of this Letter (“Dispute Notice”).
6.2 Negotiation Period. Upon receipt of a timely Dispute Notice, the parties shall confer in good faith for a period of ten (10) Business Days to resolve the dispute.
6.3 Statutory Remedies. If the parties do not resolve the dispute, Tenant may pursue remedies provided under § 33-1321(E), including potential recovery of “twice the amount wrongfully withheld.”
6.4 Attorneys’ Fees. The prevailing party in any action arising out of or relating to this Letter shall be entitled to reasonable attorneys’ fees and costs as allowed by law and the Lease.
7. RISK ALLOCATION
7.1 Liability Cap. Landlord’s monetary liability for claims relating to the Security Deposit shall not exceed amounts and statutory penalties expressly provided under the Act and the Lease.
7.2 No Indemnification. This Letter creates no indemnification obligations.
8. DISPUTE RESOLUTION
8.1 Governing Law. This Letter is governed by the laws of the State of Arizona, without regard to conflict-of-law principles.
8.2 Forum Selection. Any action arising out of this Letter shall be filed exclusively in the [APPLICABLE COUNTY] division of the Arizona trial court having jurisdiction over housing matters.
8.3 Arbitration. Arbitration is expressly excluded.
8.4 Jury Trial. Nothing herein constitutes a waiver of the constitutional right to a trial by jury.
8.5 Equitable Relief. The parties retain all rights to seek money damages; injunctive relief is not contemplated by this Letter.
9. GENERAL PROVISIONS
9.1 Entire Agreement. This Letter contains the entire security-deposit itemization agreement between the parties and supersedes all prior oral or written statements on the subject.
9.2 Amendments. Any amendment to this Letter must be in writing and signed by both parties.
9.3 Severability. If any provision of this Letter is held unenforceable, the remaining provisions shall remain in full force to the maximum extent permitted by law.
9.4 Counterparts; Electronic Signatures. This Letter may be executed in counterparts (including PDF or electronic signatures), each of which is deemed an original.
10. EXECUTION BLOCK
IN WITNESS WHEREOF, the undersigned executes this Security Deposit Itemization and Return Letter as of the Effective Date.
| LANDLORD | TENANT (Acknowledgment of Receipt — Optional) |
|---|---|
| _____ | _____ |
| Name: [NAME] | Name: [NAME] |
| Title: [TITLE, if entity] | Date: [DATE] |
| Date: [DATE] |
[// GUIDANCE: Notarization is not required for a standard security-deposit letter under Arizona law, but may be used for evidentiary purposes at the drafter’s discretion.]
This Letter is intended to comply fully with Ariz. Rev. Stat. § 33-1321 and should be reviewed for factual accuracy and completeness before issuance.