N.C. Gen. Stat. § 42-50
Deposits from the tenant
Redline — June 1, 2021 → current.View current text →
Current — April 1, 2022
As of June 1, 2021
Security deposits from the tenant in residential dwelling units shall be deposited in a trust account with a licensed and federally insured depository institution or a trust institution authorized to do business in this State, or the landlord may, at the landlord's option, furnish a bond from an insurance company licensed to do business in North Carolina. The security deposits from the tenant may be held in a trust account outside of the State of North Carolina only if the landlord provides the tenant with an adequate bond in the amount of the deposits. The landlord or the landlord's agent shall notify the tenant within 30 days after the beginning of the lease term of the name and address of the bank or institution where the tenant's deposit is currently located or the name of the insurance company providing the bond.
Security deposits from the tenant in residential dwelling units shall be deposited in a trust account with a licensed and federally insured depository institution or a trust institution authorized to do business in this State, or the landlord may, at the landlord’s option, furnish a bond from an insurance company licensed to do business in North Carolina. The security deposits from the tenant may be held in a trust account outside of the State of North Carolina only if the landlord provides the tenant with an adequate bond in the amount of the deposits. The landlord or the landlord’s agent shall notify the tenant within 30 days after the beginning of the lease term of the name and address of the bank or institution where the tenant’s deposit is currently located or the name of the insurance company providing the bond.
History
(1977, c. 914, s. 1; 2015-93, s. 2; 2017-25, s. 2(a).)
Effect of Amendments. - Session Laws 2015-93, s. 2, effective June 19, 2015, substituted "federally insured depository institution lawfully doing business in this State" for "insured bank or savings institution located in the State of North Carolina " in the first sentence of the section.
Session Laws 2017-25, s. 2(a), effective June 2, 2017, substituted "or a trust institution authorized to do business in this State" for "lawfully doing business in this State" in the first sentence; substituted "the landlord's option" for "his option" twice; substituted "the tenant's deposit" for "his deposit"; and made a related change.
Legal Periodicals. - For a survey of 1977 law on property, see 56 N.C.L. Rev. 1111 (1978).
For comment on landlords' eviction remedies in the light of Spinks v. Taylor, 303 N.C. 256, 278 S.E.2d 501 (1981), and the 1981 Act to clarify landlord eviction remedies in residential tenancies, see 60 N.C.L. Rev. 885 (1982).
For article, "Who Is a Tenant? The Correct Definition of the Status in North Carolina," see 21 N.C. Cent. L.J. 79 (1995).
Official source: North Carolina General Assembly. Reproduced from public-domain North Carolina statutes; confirm against the official source for the current text. Not legal advice.