Bad faith
Short answer
Bad faith means dishonest or unfair conduct, not a simple mistake. In security deposit disputes, it can involve keeping money without a valid basis or ignoring required steps. The exact effect is state-specific, so generic pages should explain the concept and send readers to state facts.
What it means
Bad faith is a serious phrase. A tenant should use it carefully and tie it to records, not anger. Helpful facts may include a missing explanation, changing reasons for deductions, refusal to share records, or charges that conflict with move-out evidence. A demand letter can say the tenant disputes the withholding and asks for support. It should avoid personal insults or threats, because those can distract from the record. The goal is to show why the withholding looks unsupported or unfair, then preserve the issue for the next step if the landlord does not fix it. Use this term only when facts support it.
When it is not this
- It is not every disagreement about cleaning or repair charges.
- It is not proved just because the landlord was slow or rude.
- It is not a phrase to use as a threat without facts.