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  #1  
Old 09-10-2002, 04:08 PM
PoorLittleMan
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Angry

Pre-Lease Deposit Held, Please Assist


What is the name of your state? il

I applied to a Chicago apt. and sent along a deposity to hold the apartment. Upon arrival I was told the apartment was not available (although I had received verbal confirmation that it was mine and the specific apartment number was written on my application).
They refuse to return my deposit. For some background info, I have not:
1) received a written receipt for my deposit
2) ever been offered a lease or written acceptance
3) a written list or notice of why my deposit is being held

Can anyone provide some advice/help/insight, etc.?

I read about a very similar situation in the frequent Q/A that said there is no recourse. I find that hard to believe. If that were true than any building owner could accept all the deposits he or she wants for already rented apartments and just pocket the money. Isn't there some kind of "unjust enrichment", "breach of contract", etc. law, or can the "security deposit return act" help me out?
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Old 09-10-2002, 11:59 PM
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Join Date: Apr 2002
Location: snowland
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You did use something other than cash didnt you ? like a check or Money order ? if it was by check has the check cleared If so and you have a copy of the check it will help you make claim . Perhaps you need see a clerk of the courts and file a claim in small claims court asking for the money to be returned to you since You never were able to rent from them . If this seems to wierd or uncomfortable for you then by all means consult a attorney .
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Old 09-11-2002, 02:12 PM
PoorLittleMan
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Thanks. That is pretty much my plan (small claims). I used a cashier's check and have requested a copy to identify who to make the claim against in small claims court.

I'm just looking for info on laws I might site, previous people's experience, and anything else that might assist me. For example, is it a breach of contract, unjust enrichment, racketeering?

I did speak with an attorney and he told me it was a small amount to get a lawyer for, so I'm on the do-it-yourself-justice path.
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  #4  
Old 09-12-2002, 05:25 PM
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Join Date: Aug 2002
Location: Washington
Posts: 3,486
Try breach of contract, unjust enrichment, and fraud. There's no IL law that says application fees are refundable unless the LL clearly discloses to T in writing that the fee is non-refundable before T sends money. However, many states have such laws, and IL contract law should be construed to reach the same result. Take copies of a few other state's laws. This is called "persuasive " authority. It's not binding on an IL court at all, but it helps persuade the court that the thinking behind your argument is legally sound. Washington has such a law: RCW 59.18.260 & 285.

Breach of Contract: A contract is formed by Offer, Acceptance, and Consideration. Sending the check was an offer to rent that specific apartment if they wished to enter into a lease with you. They accepted your offer by cashing the check. The check was the consideration. A contract was formed at that tiime. They then breached the contract by renting the apartment to someone else. You should be entitled to damages: the money you lost ["contract price"] (cashier's check + bank fee for cashier's check) and costs of finding a new apartment ["costs of cover" and "promissory estoppel"] (your rent is $15/month higher than you would have paid them and you resaonably relied on their assertion that you had an apartment when yo moved to Chicago, then had to stay in a hotel while you looked for a place, pay application fees to other LLs, pay for storage and 2 moves, etc.) and costs of the suit (filing fee, service fee, xerox fees to bring copies of the check, the application you sent with the check, and any laws you think might help you).

Unjust Enrichment: They have two people's money and only one person has an apartment.

Fraud: They told you the apartment was available and that you could have it if you sent the application and check. They never told you that the check was non-refundable if they decided not to rent to you. This was a material omission of fact that they hoped would induce you to send them money so they could keep it without renting you an apartment.

Visit a local law school clinic for help in framing your arguments and finding citations to IL laws & cases. You can also contact the Chicago Tenant's Association. Finally, be sure to check the Chicago ordinances. Chicago provides much more protection for tenants than the IL code does. You can find a book on Chicago LT law at your library or bookstore. Buy it.
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This post does not constitute legal advice, nor does it create an attorney-client relationship. Postings are based only on the information provided and you should consult an attorney in your area before relying on information contained in this post.
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