The law in plain English
Return deadline
Under N.C. Gen. Stat. Sections 42-50 to 42-56, the deposit response usually has to be sent within 60 days of the move-out timeline described by the state rule.
Required notice
North Carolina generally requires an accounting within 30 days, but a final accounting and refund can extend to 60 days if the damage amount cannot yet be fully determined.
This dispute type
Once the North Carolina deadline passes, the dispute stops being only about the deductions and becomes a deadline-compliance problem too. A landlord may still argue damage existed, but N.C. Gen. Stat. §§ 42-50 to 42-56 sets the clock for returning the balance and explaining any amount withheld.
Penalty leverage
If the withholding was wrongful or in bad faith, the exposure allowed under the statute is: Willful noncompliance: landlord forfeits the right to retain any portion; bad faith may add up to double the amount wrongfully withheld, plus attorney's fees