Louisville, Kentucky Security Deposit Rules (LMC § 151.26)
Louisville Metro's Landlord and Tenant Code recodifies URLTA deposit rules. Landlords must hold deposits in a separate regulated-bank account, disclose the bank and account number, give signed move-in and move-out damage lists with estimated repair costs, and forfeit the right to keep any of the deposit if those steps are skipped. There is no city cap or interest requirement and no fixed day-count to mail a refund.
State law vs Louisville ordinance
| Rule | Kentucky state law | Louisville ordinance |
|---|---|---|
| Deadline |
| Not found in the ordinance text reviewed |
| Cap | No statewide statutory maximum under KRS 383.580. | Not found in the ordinance text reviewed |
| Interest | Separate account required; interest on that account not mandated by KRS 383.580. | Not found in the ordinance text reviewed |
| Penalty | landlord not entitled to retain any portion of the deposit if deposit was not held in the required separate account and initial and final damage listings were not provided. Bad faith required: No. | No landlord may retain any portion of a security deposit if it was not placed in the required separate account and if the initial and final damage listings were not provided. (LMC § 151.26(D)) |
| Itemization | Required | Before taking a deposit, a comprehensive listing of existing damage and estimated repair cost must be presented; the tenant may inspect and must sign or dissent in writing. At move-out the landlord compiles a like listing that the tenant may inspect, sign, or dissent from. District-court challenges are limited to items the tenant dissented from. (LMC § 151.26(B)-(C), (E)) |
| Applies to | Statewide | Residential property in Louisville/Jefferson County Metro for which a security deposit is required prior to occupancy (URLTA as locally adopted). |
Free Kentucky template, built from verified state data
I rented [rental property address] from [lease start date] to [move-out date]. I paid a security deposit of $[amount]. I returned the keys on [date] and gave you my forwarding address in writing on [date]. Under Kentucky law (Ky. Rev. Stat. § 383.580), a landlord must return the deposit or send a written, itemized list of deductions.
Statute says
All landlords of residential property requiring security deposits prior to occupancy shall be required to deposit all tenants' security deposits in an account used only for that purpose, in any bank or other lending institution subject to regulation by the Commonwealth of Kentucky or any agency of the U.S. Government. Prospective tenants shall be informed of the location of the separate account and the account number.
What this means
Louisville Metro's Landlord and Tenant Code recodifies URLTA deposit rules. Landlords must hold deposits in a separate regulated-bank account, disclose the bank and account number, give signed move-in and move-out damage lists with estimated repair costs, and forfeit the right to keep any of the deposit if those steps are skipped. There is no city cap or interest requirement and no fixed day-count to mail a refund.
Source accessed: . Verified by: grok, codex, claude.
County small claims courts
| County | Court and city | Limit | Filing fee | E-filing | Court link |
|---|---|---|---|---|---|
| Jefferson | Jefferson County District Court, Louisville | $2,500 | Statewide filing fee: Confirm current filing and service fees with the circuit court clerk. | Not verified | Official court website Court page check not recorded |
FAQ
What does Louisville add to state deposit law?
Louisville Metro's Landlord and Tenant Code recodifies URLTA deposit rules. Landlords must hold deposits in a separate regulated-bank account, disclose the bank and account number, give signed move-in and move-out damage lists with estimated repair costs, and forfeit the right to keep any of the deposit if those steps are skipped. There is no city cap or interest requirement and no fixed day-count to mail a refund.
What is the ordinance return deadline?
Not found in the ordinance text reviewed
Who does the ordinance cover?
Residential property in Louisville/Jefferson County Metro for which a security deposit is required prior to occupancy (URLTA as locally adopted).