Paying for damage that isn't there is rough. It's even worse when you realize that your landlord is using your security deposit to fix a hole in the wall that you're pretty sure was there before you moved into the apartment. According to Greg Nichols, the supervising attorney for Tulane University's legal assistance program, landlords have very little to lose and everything to gain by keeping their tenants' deposits. Nichols says, "If you're a landlord you figure nine times out of 10 (the tenants) won't bother to file suit against you if you keep their deposit and the one time they do the horrible draconian penalty that must haunt every landlord's dream is a fine of $200."