[RPPTL LandTen] Question for my residential colleagues

[Frank, Scott A.]

Question for my residential colleagues from this commercial fool.
 
Grantor owns residential rental real estate with a security deposit and
conveys the property to grantee.  However, Grantor freely admits that it
no longer holds the security deposit (spent it) and will not provide for
a credit or other adjustment.  
 
83.49 provides only that the grantor in this situation is released from
liability only to the extent that it conveys the deposit - so they are
not off the hook.  But the statute does not reference what limitation,
if any, the grantee has with respect to liability for the deposit.  Is
the Grantee then liable for the security deposit to the tenant, if the
grantee did not in fact receive the deposit?
 
And would your opinion change if this was a deed in lieu, with the
possibility that the grantee may just foreclose anyway?
 
Your guidance and wisdom is much appreciated.
 
Thanks.
 
Scott A Frank
Attorney at Law
ARNSTEIN & LEHR LLP 
www.arnstein.com <http://www.arnstein.com/> 
 
515 North Flagler Drive 
Sixth Floor 
West Palm Beach, Florida 33401-4323
Phone: 561.833.9800 
Fax: 561.655.5551

433 Plaza Real
Suite 275
Boca Raton, Florida 33401-4323 
Phone: 561.962.4145
Fax: 561.962.4245 
SAFrank at arnstein.com <mailto:SAFrank at arnstein.com> 

Offices in Illinois, Florida, and Wisconsin 
 

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