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Free Alabama Mutual Lease
Termination Agreement Template

Last reviewed September 2026

Written by LawLease Editorial

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Alabama Mutual Lease Termination Agreement

This Mutual Lease Termination Agreement is built with Alabama as the governing state. These are the Alabama landlord-tenant rules that most often bear on it, with the statute for each.

Alabama rules at a glance

Alabama rules for a Mutual Lease Termination Agreement
Month-to-month termination30 days’ written notice before the rental dateAla. Code §35-9A-441
Security deposit limit1 month’s rent, plus extra security allowed for pets, alterations, or higher-liability activitiesAla. Code §35-9A-201
Deposit return60 days after the tenancy ends and possession is returned; late = double the depositAla. Code §35-9A-201
Double-deposit penaltyA landlord who misses the 60-day window owes the tenant double the amount of the original deposit — not double the amount withheld (§35-9A-201(f)).

Security deposits in Alabama

Alabama caps the security deposit at one month’s periodic rent (§35-9A-201). Unlike most capped states, the statute expressly lets a landlord collect additional security on top of that ceiling in three situations — so a flat “one month, no exceptions” rule overstates the limit.

  • Carve-outs above the cap — Extra security may be required for pets, for changes the tenant makes to the premises, and for tenant activities that increase the landlord’s liability risk (§35-9A-201).
  • What can be deducted — The deposit may be applied to accrued rent and to damages the landlord suffers because the tenant failed to meet the tenant’s statutory maintenance duties (§35-9A-201(b), §35-9A-301).
  • 60-day return — Within 60 days after the tenancy ends and the tenant delivers possession, the landlord must mail the refund, or an itemized list of amounts withheld with any balance, to the tenant’s forwarding address (or last known address if none was given).
  • Double-deposit penalty — A landlord who misses the 60-day window owes the tenant double the amount of the original deposit — not double the amount withheld (§35-9A-201(f)).
  • Unclaimed refunds — If a refund mailed to the tenant goes unclaimed for 90 days, it becomes the landlord’s property.

Alabama Mutual Lease Termination Agreement FAQs

How much can a landlord charge for a security deposit in Alabama?

No more than one month’s periodic rent. Alabama does allow additional security beyond that cap for pets, for alterations the tenant makes to the premises, and for activities that increase the landlord’s liability risk (Ala. Code §35-9A-201).

How long does a landlord have to return a security deposit in Alabama?

Sixty days after the tenancy ends and the tenant returns possession. The landlord must mail the refund, or an itemized list of deductions with any balance, within that window — missing it makes the landlord liable for double the original deposit (§35-9A-201).

More Alabama landlord documents

Mutual Lease Termination Agreement in other states

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