How do I dispute a security deposit return in Illinois?

Illinois deposit law combines the Security Deposit Return Act (765 ILCS 710) and the Security Deposit Interest Act (765 ILCS 715), plus stronger local ordinances in Chicago and Evanston.

1. Building-Size Trigger

The Security Deposit Return Act applies only to landlords with 5 or more residential units. Smaller landlords are governed solely by the lease and common law.

2. Deadlines

30 days — Landlord must furnish an itemized statement of damages plus paid receipts (or estimates if repairs are not complete).

45 days — Total time within which any refund must be issued.

3. Allowed vs. Prohibited Deductions

Permitted: unpaid rent and actual cost of repairs for tenant-caused damage. Prohibited: ordinary wear and tear, routine cleaning, repainting after long tenancies.

4. 2x Penalty

Failure to provide the itemized statement and receipts within the deadlines makes the landlord liable for two times the deposit amount, plus court costs and reasonable attorney's fees (765 ILCS 710/1(c)).

5. Interest Requirement

Under the Security Deposit Interest Act, landlords with 25+ units must pay interest on deposits held longer than 6 months at a rate set annually by the IL Dept. of Financial and Professional Regulation.

6. Chicago RLTO

Chicago's Residential Landlord and Tenant Ordinance (Muni Code Ch. 5-12) provides stronger protections: 2x deposit + $100/month penalty for commingling, plus attorney's fees.

7. Small Claims & Limitations

File in Illinois small claims (up to $10,000). The statute of limitations is 10 years for written leases (735 ILCS 5/13-206) or 5 years for oral (§ 13-205).

This is legal information, not legal advice.