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Security Deposit

I have a situation where I included in my lease that if my tenant smoked within the unity, they would "Forfeit" their ($2,000) security deposit. So as an example, I have to replace the carpet (burned in several places) for $500. and so I'm saying the tenant has forfeited their sec dep (for smoking during the tenancy) and therefore Owes me $500 upon moving out.   The tenant has come back with a letter stating that they have consulted with an attorney who says in the state of Virginia a landlord cannot FORFEIT a sec dep, but only use to apply to ACTUAL damages...which if that is true I must take the $500 carpet OUT of the sec dep and return $1,500. to these tenants.  So my question is, Can a landlord actually forfeit an entire sec. dep. as a penalty for the tenant smoking within the property?
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