IF A TENANT IS WANTING TO BREAK A LEASE, THERE ARE SOME OPTIONS

 

1.   You can simply say “NO” to the Tenant and the Tenant will owe rent until the home is re-rented or the lease is up.  Whatever occurs first.

 

2.   If the Lease also has a LIQUIDATED DAMAGES/EARLY TERMINATION AGREEMENT in compliance with law, and the Tenant picked Choice #1, the Tenant can break the lease by paying the FEE (not more that 2 months rent) in the LIQUIDATED DAMAGES/EARLY TERMINATION AGREEMENT.  The Tenant will NOT owe any more rent under the lease.

 

3.   If 1 or 2 above does not apply, you and the Tenant can come to an AGREEMENT as to who owes what and who pays what when the Tenant breaks the lease.

 

4.   This AGREEMENT that our office provides will state when the Tenant is vacating, what will occur with the Security Deposit and/or last months rent, will state any other terms and conditions and any sums the Tenant is agreeing to pay.

 

5. You cannot FORCE the Tenant to enter into the AGREEMENT.  It is an AGREEMENT by the parties and is entered into voluntarily.

 

IF A TENANT IS BREAKING A LEASE, YOU CANNOT ANNOUNCE TO THE TENANT THAT THEY MUST PAY ANY SORT OF LIQUIDATED DAMAGES OR FEE UNLESS THEY SIGNED THE LIQUIDATED DAMAGES/EARLY TERMINATION AGREEMENT AND PICKED CHOICE #1.

 

ARGUABLY, YOU CAN AGREE WITH THE TENANT ON AMOUNTS AND FEES TO PAY TO “BUY OUT” OF THE LEASE BUT YOU CANNOT FORCE THE TENANT TO PAY AMOUNTS OR FEES.

 

IT MUST BE CLEAR THAT THE TENANT WHO IS VACATING IS NOT ENTITLED TO ANY RENT BACK THAT YOU MAY COLLECT FROM THE NEW TENANT.  

LIQUIDATED DAMAGES/EARLY TERMINATION FEES ARE REGULATED BY LAW.  

 

IF A TENANT WERE TO ANNOUNCE TO YOU THAT THEY ARE BREAKING THE LEASE, YOU CANNOT TELL THEM THEY MUST PAY A LIQUIDATED DAMAGES/EARLY TERMINATION FEE UNLESS THEY AGREED TO THIS IN THE LIQUIDATED DAMAGES/EARLY TERMINATION AGREEMENT SIGNED WHEN THEY SIGNED THE LEASE.

“Serving the Property Management Professional”

www.evict.com      www.evicttv.com      www.evictforms.com      info@evict.com