Two tenants - can one terminate the lease for both?
Paul HormannPro Member
Investor · Falls Church, VA · Member since 2015 · 38 posts · 11 votesI have a rental with a couple on a month-to-month lease. The couple broke up and the woman moved out and now she wants to terminate the lease, but the guy wants to stay. Can one tenant terminate the lease for both tenants? And would I have to return the security deposit and get a new one from the remaining tenant? The tenant who wants to remain may not qualify on his own...
If one person wants to stay, the lease stays in effect until you sign the existing tenant under a new lease in which he is solely responsible for the rent. If existing tenant wants to stay, they are to settle the debt they have between each other. they need to reimburse the other party for their portion of the deposit. Tell them your not getting involved in how they settle it. Only return a security deposit if they are both out and possession is returned and you've accounted for damages before returning any deposit.
You mention that the tenant that wants to stay might not qualify on his own. Do not agree to take the other tenant off the lease if that is true. Explain to him that they only qualify for the lease if they are jointly responsible for the lease, otherwise he will need to seek alternative housing. Otherwise the other party of the couple will remain responsible for the rent jointly as the existing lease is still valid. That is protection for you so that if he is jobless and has no ability to pay, you can go after both of them. You don't want to write up a new lease for a deadbeat with no ability to pay and expect things to go well.
I'd have a frank conv. with the existing tenant and identify what his real ability to pay the rent based on current income and prior credit history and state that its only a matter of time before he won't be able to pay. Encourage him to move out if things dont look realistic for him so that things can end on a good note instead of you having to evict. Make sure to share that you don't want to mess up his credit and put an eviction on his record so he knows you are working with him.
If one person wants to stay, the lease stays in effect until you sign the existing tenant under a new lease in which he is solely responsible for the rent. If existing tenant wants to stay, they are to settle the debt they have between each other. they need to reimburse the other party for their portion of the deposit. Tell them your not getting involved in how they settle it. Only return a security deposit if they are both out and possession is returned and you've accounted for damages before returning any deposit.
You mention that the tenant that wants to stay might not qualify on his own. Do not agree to take the other tenant off the lease if that is true. Explain to him that they only qualify for the lease if they are jointly responsible for the lease, otherwise he will need to seek alternative housing. Otherwise the other party of the couple will remain responsible for the rent jointly as the existing lease is still valid. That is protection for you so that if he is jobless and has no ability to pay, you can go after both of them. You don't want to write up a new lease for a deadbeat with no ability to pay and expect things to go well.
I'd have a frank conv. with the existing tenant and identify what his real ability to pay the rent based on current income and prior credit history and state that its only a matter of time before he won't be able to pay. Encourage him to move out if things dont look realistic for him so that things can end on a good note instead of you having to evict. Make sure to share that you don't want to mess up his credit and put an eviction on his record so he knows you are working with him.
Great points, @Jeff Bridges thanks! So my only remaining question is can one tenant legally terminate a lease for all the other tenants on the lease, or must they all give consent? My lease says they're jointly and severally liable for rent payment, but doesn't specify about notice to terminate.
You/ they can't terminate a lease if they are both not willing to vacate the premise and return possession to the landlord. While one of the couple has left, the other hasn't therefore they are still bound by the original lease. This is just like a if two co-signers buy a car with financing and one of them decides to no longer drive the car, they are still both jointly responsible for payments until they return the car (repossession) or pay-off the loan. The lease remains valid until you write a lease addendum releasing one of the roommates from obligation or adding a new roommate for example or you write a new lease for just the single roommate. If the Ex would like to be released from the lease and you are not comfortable leasing solely to the other party due to lack of income/ credit, then you have to tell her she has to convince her Ex to return possession and move out and that will relieve their obligation. If you want more than free non-legal advice provided above, you'll need to confer with your attorney.
Your lease is correct. They are both responsible. You could choose to help them and if remaining tenant is per your criteria able to meet the credit requirements then you could permit them to sign a agreement with you to remove tenant off the lease, that want's to leave. It's a 3 part signature both tenant's and you addendum. You don't have to let anyone off the lease if the remaining tenant can't qualify, just be prepared for a empty apartment. Letting one tenant off the lease would have no impact on the security deposit,the deposit stays with the remaining tenant for the duration of the lease. The tenants would have to work the money part between them. The deposit get's returned to whom ever is on lease at time of move-out, Split payment is usually required if it's refund.
I you all agree to remove a person off lease, this would permit remaining tenant to be able to add a roommate, they would qualify as a new applicant if criteria is met.
This is a month to month lease. She can terminate. You can ask a lawyer but if she gives proper notice she can terminate. Now if he doesn't leave she may lose her deposit to you but and you may need to go to court to evict him but you do not have her on the hook indefinitely if he does not vacate. If it was a year lease and she is breaking it that would be different. The term is 30 days, she is not renewing.
If I was her I would give written notice in accordance with the lease and if you took me to court that is what I would show the judge. If they are married might be a little messier. I bet the judge would side with her though. Do check with a lawyer though.
Great point @Colleen F., thanks. I think I have to proceed as though the lease will be ending now no matter what and go through the process for a new tenant with the one that wants to remain.
@Colleen F. @Paul Hormann No, I disagree.
You have a contract with what amounts to one tenant. That happens to include two people. But, terminating that contract is all or nothing regarding the original parties involved. Either the contract is in effect or it isn't.
And that means that you aren't obligated to separate one of the parties to the contract, from the other party, if one wants to continue and the other one doesn't. That's completely between them.
What you need to do, in my opinion, is tell them that they are both jointly and severally liable under the contract. And until both parties vacate, the rent must be paid each month, and both parties are equally responsible to make sure the rent gets paid every month. Which is true.
That you are not required to work out their agreements or disagreements. But, if one of them wants out, they need to convince the other party to move, too.
And, if they make that agreement official, then you could say you are willing to let the remaining party give it a go, as far as paying the rent on time, but you're keeping the original deposit no matter what. And if the remaining party can't pay the rent, they'll get evicted.
At minimum, if they are willing to put in writing that they're letting one of them off the hook, I'd be sure and let them know in writing that you're keeping the deposit and any reimbursement to the departing tenant must be made between themselves, and that the remaining tenant accepts all responsibility regarding any damage or deductions from the deposit money.
If you don't like the one who wants to stay or believe they'll be able to pay the rent, you can always just stick to your guns that it's all or nothing. Either they're both responsible or the they both have to move out.
One part that needs addressing is do you want a vacancy?
If the leaseholders and management can come to a agreement that will release one of the tenants off the lease to permit the other to remain it makes SENSE.. NO turn... No vacancy...doesn't matter if it's a month to month lease, or if the lease is midway into a year commitment.
What you want is your unit occupied, What happens in peoples lives is job changes, relationship changes, and housing plays a big part.
I managed a large complex, we had roommate situations all the time fall apart for residents, divorce, splits, domestic abuse (any kind relationships not just married couples). We were happy to work with the party that wanted to stay, they were already approved. We had a form that we used to sign off a party and remove them from the lease. SIMPLE. Now as I mentioned before the security deposit was mentioned in this form it stayed on the account, and the roommates figured that out between themselves. If the remaining roommate wanted to add a roommate at a later date with approved application now they could.
Yes both parties are responsible for terms of the lease but with a addendum to remove roommate (leaseholder) you are able to keep your unit occupied, You can charge a fee ($50.00) for paperwork to do the addendum but overall it makes sense to keep your apartment occupied.
You are not terminating the contract, you are making an amendment to it the lease contract, it is still enforce, with the addendum change it releases one party. If you choose you can ask to view the apartment for condition before agreeing to do the roommate off the lease. If something is amiss ask them to correct the condition of apartment before you agree to the roommate off lease.
It worked perfect for us, we had high college student population and also were in a very trendy location, people at least asked if they could do this verses just plain both moving out.