The restitution process for tenants who had money improperly withheld from their security deposit at a property managed by Four Star Realty will start Monday, the Colorado Attorney General’s office announced.
In January 2024, the Attorney General Phil Weiser announced that Four Star Realty – a Boulder-based property management company – had agreed to a settlement and would pay the state nearly $1 million after an investigation found that the company had often charged tenants for damages they did not cause, billed them for unnecessary work and charged fees that were not stipulated in leases.
The Attorney General’s Office will send emails to approximately 19,500 to invite them to file a restitution claim. To be eligible, a tenant must have moved out of a Four Star property between Jan. 1, 2020 and Dec. 31, 2023 and had money wrongfully withheld from a security deposit to pay for normal wear and tear items. Tenants must submit a claim by Sept. 2.
“This case is an important case, because it sent a very clear message,” Weiser told Denver7 Investigates. “If you're selling people something, and if you're in the real estate business and you're giving people a rental property, follow the law. Treat people the right way. Don't deceive people. Don't cut corners.”
During its investigation, the attorney general’s office found that tenants were asked to pay a move-out coordination fee that was not noted in leases. Some were forced to pay for re-keying locks even though Four Star Realty had switched to a key fob system that was easy to change.
This settlement was the first action taken since a 2022 law gave the attorney general power to enforce civil and criminal actions related to housing.
For tenants who need more information, or if they would like to file a claim, they can visit coag.gov/fourstar.
