Tennessee security deposit law: what tenants and landlords need to know

Tennessee is unusual: its deposit statute (§66-28-301, part of the Uniform Residential Landlord and Tenant Act) only applies in counties with populations over roughly 75,000 — Davidson (Nashville), Shelby (Memphis), Knox, Hamilton, Rutherford, and the other large counties. Outside them, deposits are governed by the lease and general contract law. Know which side of the line your rental sits on.

How much can a landlord charge?

No statutory cap — one month's rent is customary. In URLTA counties, the deposit must be held in a separate account used only for deposits, with the tenant notified of its location.

The damage list — Tennessee's decisive document

At tenancy's end, the landlord inspects and compiles an itemized list of damages and estimated costs. The tenant has the right to inspect the premises to verify it. If both parties sign, the list becomes conclusive evidence of the damage — the strongest evidentiary status any state gives a move-out document. A tenant who disagrees signs a written dissent to specific items instead; refusing to inspect or sign has consequences for later objections.

Return mechanics

Tennessee's statute sets no fast fixed deadline the way New York or Arizona do — the practical framework: the landlord sends the itemization and refund to the tenant's last known address, and if the tenant doesn't respond or claim the deposit within 60 days of notice, the landlord may retain it. Deductions cover unpaid rent and damage beyond normal wear and tear. Tenants: provide a forwarding address in writing and respond promptly — Tennessee's timeline punishes silence more than most states.

Why Tennessee deposit disputes are documentation disputes

Tennessee said it in statute: a signed list is conclusive. Which makes the moment of that inspection the whole case — and words on a list ("stain, bedroom carpet") the whole ambiguity. What you sign, dissent to, or fail to show up for is decided by what you can show.

SealMove is what you show. Every photo and video is cryptographically sealed the instant it's captured, independently timestamped, and locked with Face ID into a tamper-evident archive. At move-out, your walkthrough lines up room-by-room against the sealed baseline — sign the list or dissent from it with proof in hand — and either party can send the other a report to review and acknowledge, no app required.

This page is general legal information, not legal advice. Statutes change; verify current law or consult a Tennessee attorney for your situation. Last reviewed: August 2026.

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QuestionTennessee's answer
Where the law appliesURLTA counties (pop. ~75,000+); elsewhere, the lease governs
Maximum depositNo statutory cap
Where the money sitsSeparate deposits-only account (URLTA counties)
Move-out listItemized damages + costs; tenant may inspect
Signed listConclusive evidence; disagreement via written dissent
Unclaimed depositLandlord may retain after 60 days' non-response
Wear and tearNot deductible
StatuteTenn. Code Ann. §66-28-301

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