If a tenant pays “a fee or deposit to secure that the prospective tenant will move into a dwelling unit, after the dwelling unit has been offered to the prospective tenant” the landlord must provide a receipt along with a statement specifying the conditions under which the deposit is refundable. RCW 59.18.253. For a deposit intended to secure performance of lease terms to be enforceable the lease must be in writing and must specify the conditions for the return of the deposit. In addition, for damage deposits the landlord and tenant must sign and date a detailed checklist prior to move-in. RCW 59.18.060 and 59.18.260.

The landlord may neither charge a fee to place a tenant on a waiting list nor designate nonrefundable fees as “deposits”. RCW 59.18.253, RCW 59.18.285.

 

All funds collected as tenants’ deposits must be deposited into a trust account or with an escrow agent. The tenant must be provided a receipt and notice of the name and address of the depository. If the funds are commingled the tenant is granted priority over other creditors. RCW 59.18.270.

Within 14 days of the end of the tenancy the landlord must provide either a refund of any deposit or a written statement for the basis of retention of the deposit. Sending the refund and/or statement through regular mail to the last known address is sufficient. RCW 59.18.280.

Failure to comply with these requirements may have serious legal consequences. These may include paying the tenant’s court costs and attorney’s fees and the landlord being barred from asserting any claim or raising any defense for retaining any of the deposit. RCW 59.18.280, RCW 59.18.253, RCW 4.84.330.