A landlord in California includes a clause in the lease requiring the tenant to pay a non-refundable 'cleaning fee' of $500 upon move-in, separate from the security deposit. Under California Civil Code §1950.5, is this fee lawful?
Correct Answer
C) No, because any payment beyond the first month's rent that functions as security is considered part of the security deposit and subject to the statutory cap
Under California Civil Code §1950.5(b), a security deposit includes any payment, fee, or deposit that is required at the beginning of the tenancy to secure the landlord's interests, regardless of what it is called. A non-refundable 'cleaning fee' functions as a security deposit and is subject to the statutory cap. Additionally, California does not permit non-refundable deposits for residential tenancies.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An assignment of contract transfers one party's rights and obligations under a contract to a third party called the assignee. The original party, known as the assignor, transfers their contractual position to someone who was not originally part of the agreement.
A bilateral contract is an agreement in which both parties exchange promises and are both obligated to perform, while a unilateral contract is one in which only one party makes a promise and the other party is not obligated to act.
A breach of contract occurs when one party fails to perform their obligations under the contract without a legal excuse. The non-breaching party is entitled to legal remedies including damages, specific performance, or contract rescission.
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