Tenants divorcing...now what?

Question

I will add the caveat, "I know this is not a forum of lawyers, and this in no way constitutes legal advice.  For legal inquiries, I should consult a lawyer."  There...

I am looking for anecdotal stories about what you might have dealt with in the past with a divorcing couple on a rental agreement.

I have a M2M agreement signed by both parties (and a co-signer - wife's parents).  Husband is leaving and wants off the lease once he is out.

I have several thoughts on how to handle this, and I'd like to hear from those who've encountered a similar situation.

Thank you for the STORIES (not lawyering)!

Roy N. · Answer

Kurt:

Can the wife - with her guarantor - carry the financial obligations of the lease on her own?

If so, execute a change of lease and, to be shining landlord, once he's out, offer to change the locks.

If not, expect (or ask for) notice from both parties and prepare for turn-over.

Wendell De Guzman · Answer

It depends on how your lease is written. In my lease all the tenants are responsible jointly and individually. So if the husband wants out of the lease, he will have to wait until the month is over. He could be out of the house but he is still not out of the lease until the month is over (since you have a M2M). I did this with one of my tenants - the boyfriend left her and when the BF does not pay and the lady can't pay since she relied on the BF for the other half of the lease payment, I had no choice but to get the lady to leave. She was very cooperative and so I didn't have to evict. I could and should have filed an eviction with the BF but decided not to since I had the house rented 2 weeks later.

Konstantin Ginzburg · Answer

What about security deposit? Is husband entitled to his half when he moves out?

Brian Kehoe · Answer

I'm going through the same exact problem except it's the wife who moved out. I signed a new lease with the husband and hd his mother co-sign. We'll see how it goes.

Roy N. · Answer

In a residential lease, would not the type of tenancy typically be defined by legislation?   Here tenants are "jointly and severally" responsible for the obligations of a lease.

Roy N. · Answer

Kurt:

A change lease is an amendment to the current contract (lease) where executing a new lease would replace the present contract.

Smartkeys are fine if you have one or two doors, but they do not work in master-key trees and are a royal pain in the @$$ if you have many doors.

Tim Lindstrom · Answer

I have to agree with @Roy N.,

If the wife can afford the place, and she has been a good tenant, sign a new lease with her.  And definitely change the locks.

Even if she doesn't meet all your other screening criteria on her own; since she's already in there, let her stay, until she proves she isn't a good tenant.  Since this is a M2M lease,  you can evict if it doesn't work out.

Kurt Gardner · Answer

Thx all.

@Dave Toelkes @Konstantin Ginzburg if I were to sustain the current agreement, I would require her to pay him half the deposit back as a term of the amendment to maintain the agreement.  If I give him half out of my pocket, I'd have to re-collect from her.  As @Roy N. pointed out I can use an amendment, and I may.  I feel like the rest of the advice about them qualifying together and she no longer being able to sustain the rent, will nix that option.

Intuition suggests  she is going to go back to her ex and will want to leave anyway, so most likely I will return the deposit to them in its entirety once that path is laid out, and they have vacated.  I am expecting a 30 day notice from her soon.

It is a shame, they are both good people, and they were good tenants.  On a positive note, their rent was below median market value for the property and I was wrestling with raising it.

TADA!  Problem solved!

Thx, again everybody.

Dave Toelkes · Answer

Terminate the old lease and refund the security deposit (with interest if your state requires it) less any justified deductions.  The husband will probably claim half of the security deposit is his anyway, so just clear the books and start fresh with the wife if she wants to stay.  Execute a new lease with the wife as the sole tenant and collect a new security deposit from her.

This is the smoothest way to disentangle the departing spouse even if they are currently on amicable terms.

Tenants divorcing...now what?

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