If you only remember one point about getting a security deposit back in Tennessee, remember this: The cap is No statewide cap. The return deadline is No fixed statewide statutory return deadline in all counties under the Uniform Residential Landlord and Tenant Act as adopted; landlords must return deposits within a reasonable time with an accounting—many practitioners treat 30 days as the practical window. Interest: No statewide interest requirement. Procedure, examples, and the opinions below hang off Tenn. Code Ann. § 66-28-301. Wrongful withholding can support recovery of the deposit plus damages under adopted URLTA provisions.
Interest and accounting
No statewide interest requirement.
Walking through Tennessee facts
Use this walkthrough to see which Tennessee authority does the work at each step.
A residential tenant moves out of a Tennessee rental and the landlord has not returned the deposit.
- Check the cap that applied when the deposit was collected: No statewide cap.
- Calendar the return deadline: No fixed statewide statutory return deadline in all counties under the Uniform Residential Landlord and Tenant Act as adopted; landlords must return deposits within a reasonable time with an accounting—many practitioners treat 30 days as the practical window
- Interest, if any: No statewide interest requirement.
- If the landlord keeps money without the required accounting: Wrongful withholding can support recovery of the deposit plus damages under adopted URLTA provisions.
Tennessee does not uniformly cap residential deposits statewide. Return and accounting duties follow Tenn. Code § 66-28-301 and local practice. Put the return demand in writing with a forwarding address. General sessions court handles many disputes.
Penalties for wrongful withholding
Wrongful withholding can support recovery of the deposit plus damages under adopted URLTA provisions.
Practical process for tenants and landlords
Tennessee does not uniformly cap residential deposits statewide. Return and accounting duties follow Tenn. Code § 66-28-301 and local practice. Put the return demand in writing with a forwarding address. General sessions court handles many disputes.
Document the unit with dated photos or video at move-in and move-out, keep the lease and any inspection checklist, and send a dated written demand if the deadline passes without a lawful accounting.
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Case law: security deposits in Tennessee
Jeanie L. McCORMIC and Judith Clark v. Lloyd SMITH, Richard Sharpe, Fred Smith, and Keven Peterson
…ed Smith, and Keven Peterson under the “Uniform Residential Landlord and Tenant Act,” T.C.A. § 66-28-101 et seq., and alleged that they were entitled to compensatory damages, punitive damages, and to a reasonable attorney’s fee pursuant to T.C.A. § 66-28-504.1 Both plaintiffs and defendants demanded a jury to try all issues. The jury returned a verdict for plaintiffs for $650 c…
Practitioners open Jeanie L. McCORMIC and Judith Clark v. Lloyd SMITH, Richard Sharpe, Fred Smith, and Keven Peterson when Tennessee security deposits turns on the distinction in this sentence: "Smith, and Keven Peterson under the “Uniform Residential Landlord and Tenant Act,” T.C.A. § 66-28-101 et seq., and alleged that they were entitled to compensatory damages, punitive damages, and to a reasonable attorney’s fee pursuant to T.C.A. § 66-28-504." Do not lift it out of the facts the court was deciding.
David Dykes v. Victor Okorie
David Dykes v. Victor Okorie (2020)
…reement, Tenant will pay to Landlord the sum of $1,250 as a security deposit. Tenant may not, without Landlord’s prior written consent, apply this security deposit to the last month’s rent or to any other sum due under this Agreement. Tenant will: (1) keep the premises clean, sanitary, and in good condition and, upon termination of the tenancy, return the premises to Landlord i…
Tennessee opinions such as David Dykes v. Victor Okorie are cited where security deposits is disputed. The court stated: "Tenant will pay to Landlord the sum of $1,250 as a security deposit. Tenant may not, without Landlord’s prior written consent, apply this security deposit to the last month’s rent or to any other sum due under this Agreement." That is the language to brief; the rest of the decision supplies the procedural posture.
Country Mile, LLC v. Cameron Properties
Country Mile, LLC v. Cameron Properties (2019)
…in the Premises. He also admitted that Landlord cashed the security deposit check, which came from Well North not Country Mile. Cameron, however, claimed that he personally never saw that check. Cameron was asked if he ever gave notice that he did not consider Well North the tenant, and he admitted he had not. Cameron also admitted that he executed Equipment Waivers and Discla…
Country Mile, LLC v. Cameron Properties is worth reading on Tennessee security deposits because the court put the point in its own words: "Premises. He also admitted that Landlord cashed the security deposit check, which came from Well North not Country Mile. Cameron, however, claimed that he personally never saw that check." Use that passage as the starting point, then read the facts that precede it.
One Commerce Square, LLC v. Ausa Life Insurance Company, Inc.
One Commerce Square, LLC v. Ausa Life Insurance Company, Inc. (2004)
…es entered into an “Assignment and Assumption of Leases and Security Deposits” (the “Assignment”). The Assignment reads as follows: AUSA Life Insurance Company, Inc. (“Assignor”), in consideration of the sum of Ten and No/100 Dollars ($10.00) in hand paid and other good and valuable consideration, the receipt of which is hereby acknowledged, hereby assigns, transfers, sets over…
Tennessee opinions such as One Commerce Square, LLC v. Ausa Life Insurance Company, Inc. are cited where security deposits is disputed. The court stated: "Assignment and Assumption of Leases and Security Deposits” (the “Assignment”). The Assignment reads as follows: AUSA Life Insurance Company, Inc. (“Assignor”), in consideration of the sum of Ten and No/100 Dollars ($10." That is the language to brief; the rest of the decision supplies the procedural posture.
Leo Charles Hillman v. Young Street Partners II, LLC
Leo Charles Hillman v. Young Street Partners II, LLC (2022)
…nor’s right, title and interest, in and to those leases and security deposits described on the Rent Roll attached hereto as Exhibit A and made a part hereof by this reference, third party guaranties thereof, if any, and any amendments thereto (collectively, the “Leases”), pertaining to the real property commonly known as 810 Royal Parkway, Nashville, Tennessee 37214 (the “Real…
Practitioners open Leo Charles Hillman v. Young Street Partners II, LLC when Tennessee security deposits turns on the distinction in this sentence: "nor’s right, title and interest, in and to those leases and security deposits described on the Rent Roll attached hereto as Exhibit A and made a part hereof by this reference, third party guaranties thereof, if any, and any amendments thereto (collectively, the “Leases”), pertain" Do not lift it out of the facts the court was deciding.
Tennessee Homes v. Dalton L. Welch
Tennessee Homes v. Dalton L. Welch (2022)
…lord was entitled to a total of $1,870.50, less the $500.00 security deposit. The judgment for $1,870.50 included the following fees: $1,000.00 for the early termination fee; $600.00 for attorney’s fees; $145.50 for court costs; $75.00 for service fees; and $50.00 for damages. Thereafter, Tenants timely appealed the judgment to the circuit court. The circuit court ultimately he…
Tennessee Homes v. Dalton L. Welch is worth reading on Tennessee security deposits because the court put the point in its own words: "The judgment for $1,870.50 included the following fees: $1,000.00 for the early termination fee; $600.00 for attorney’s fees; $145.50 for court costs; $75.00 for service fees; and $50.00 for damages. Thereafter, Tenants timely appealed the judgment to the circuit court." Use that passage as the starting point, then read the facts that precede it.
Hillsboro Plaza v. H.T. Pope Enterprises
Hillsboro Plaza v. H.T. Pope Enterprises (2002)
…end the term of the lease until July 31, 2000. Popes paid a security deposit of $4,000. By the terms of the 1994 lease, the minimum base rental was payable on the first day of each calendar month. By November of 1998, the parties had begun to dispute their rights and obligations under the lease, including the due date and manner of payment of the rent. They accordingly executed…
Practitioners open Hillsboro Plaza v. H.T. Pope Enterprises when Tennessee security deposits turns on the distinction in this sentence: "July 31, 2000. Popes paid a security deposit of $4,000. By the terms of the 1994 lease, the minimum base rental was payable on the first day of each calendar month." Do not lift it out of the facts the court was deciding.
Ambrose Associates v. W. Austin Musselman, Jr.
Ambrose Associates v. W. Austin Musselman, Jr. (2003)
…or the reduced amount of rent, and that Wright retained her security deposit. The Court concluded that Lease Amendment One was a “clear and unambiguous modification of the rental obligations due under the Lease, and Lease Amendment One, as a matter of law, reduced the rent owed by Wright pursuant to the Lease to $2,728.59 per month.” The Court said the parol evidence rule barre…
On security deposits, Ambrose Associates v. W. Austin Musselman, Jr. speaks to the Tennessee dispute in this passage: "Wright retained her security deposit. The Court concluded that Lease Amendment One was a “clear and unambiguous modification of the rental obligations due under the Lease, and Lease Amendment One, as a matter of law, reduced the rent owed by Wright pursuant to the Lease to $2,728." The surrounding opinion shows how the court applied that language to the record.
Key takeaways
- Maximum deposit: No statewide cap
- Return deadline: No fixed statewide statutory return deadline in all counties under the Uniform Residential Landlord and Tenant Act as adopted; landlords must return deposits within a reasonable time with an accounting—many practitioners treat 30 days as the practical window
- Interest: No statewide interest requirement.
- Penalties: Wrongful withholding can support recovery of the deposit plus damages under adopted URLTA provisions.
- Primary authority: Tenn. Code Ann. § 66-28-301.
Deposit limits in Tennessee
No statewide cap
When the deposit must be returned
No fixed statewide statutory return deadline in all counties under the Uniform Residential Landlord and Tenant Act as adopted; landlords must return deposits within a reasonable time with an accounting—many practitioners treat 30 days as the practical window
Frequently asked questions
How much can a landlord charge for a security deposit in Tennessee?
No statewide cap
How long does a landlord have to return my deposit?
No fixed statewide statutory return deadline in all counties under the Uniform Residential Landlord and Tenant Act as adopted; landlords must return deposits within a reasonable time with an accounting—many practitioners treat 30 days as the practical window
What if my landlord keeps the deposit without an itemized list?
Wrongful withholding can support recovery of the deposit plus damages under adopted URLTA provisions.
This guide covers Tennessee residential security-deposit law as of 2026. Commercial leases and local ordinances can differ — verify the statute that applies to your unit.