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You can certainly sue the Landlord for full refund since the Landlord has failed to deliver the unit to you as stated in the lease. The Landlord has no legal basis whatsoever for refusing to return your entire deposit to you.
The Lawsuit would be filed at the Courthouse in the County where the property is located as a Small Claim in General Sessions Court. Click on the links below to locate your Courthouse and for general information regarding Small Claims:
Angi BainCity Court Clerk
105 South Main Street
Goodlettsville, TN 37072***-***-****Davidson County
You can also file complaint against the Landlord with Tennessee Division of Consumer Affairs for refusal to return your deposit to you after failing to deliver the premises to you. Click on link below for complaint information: