Tenant signed one year lease and is Breaking in 6 months
Wholesaler · Dayton, OH · Member since 2013 · 172 posts · 16 votes
Tenant signed one year lease and is Breaking in 6 months
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Investor · Vancouver, WA · Member since 2013 · 3k+ posts · 4k+ votes
9yYour lease should have a break lease clause, so review that with her and talk with her about a move-out plan.
People will move when they want to move, lease or no lease. We don't bother with long-term leases and prefer month-to-month rental agreements. Less headaches.
Make sure you get her intent to move in writing. Whenever a tenant indicates to us their need to move, we review with them our move-out procedures. This includes having them fill out a "Notice to Vacate" form and returning it to us. This is an official notice and includes the date they will return possession of the unit back to us.
As soon as we know their exit date, we can put in motion steps to find another suitable tenant. Some tenants can help by giving you leads.
Make sure you remain professional and polite. Be firm, but fair... with her and with yourself. Know the landlord-tenant laws for your jurisdiction and abide by them.
It's unfortunate when things like this happen, but it's part of the business. You can choose to work with her or against her. If you choose to work with her, the transition is likely to be easier for all parties.
Good luck!
32 Replies
Goin through this now myself (on two fronts nonetheless). 1 tenant we have again filed as he cannot seen to figure out when rent is due (and Im sure he is crashing around in frustration as HE is supposed to dictate the terms of WHEN he will pay to us... one of those hot-head types). This is causing agida with the tenant next door who has a 60 day notice to terminate (only at the end/anniversary of the lease, then an auto-renew for another year)... who "was" planning to renew then suddenly had a change of heart and wants to immediately vacate.
Im all for letting the "change of course" tenant go, however I want her to understand that Ill legally hold her accountable for rent until Ive re-rented the unit (we allow tenants to report to credit agencies as well, this one does), and I fully expect her to pay until such time. I do like the suggestions about getting a written intent - that protects me during showings. As for her reporting, Im not shutting it off, however Ill let her know how it may affect her.
The other knucklehead I just want evicted, and am in court next week (actually one of my managers is) to have his case heard. Him Ill let go without a dime additional so long as he vacates by months end.
My moral is "be adult and work with me", Ill work with you. Sugar will attract far more bees than vinegar... and that's how I want to be known for running my business.We ran into something similar where the tenant found a job in a different city. My PM called their company (with the tenant) and was able to get three months rent. After they left, it took two weeks to fill the unit. Maybe you could try to fill it and let them break the lease all the while they pay rent.
- Eustis, FL · Member since 2017 · 96 posts · 6 votes9y
Originally posted by @Greg H.:
Originally posted by @Brooklyn A.:
Imposing a penalty for breaking the lease is a shotgun clause/unenforceable liquidated damages provision. States' legislation and statutory language preempt the lease agreement. Contract penalties are strictly forbidden in any contract that allows for the petitioner to file for recovery of actual damages.
A motion to vacate an eviction judgment is stupid easy. All they have to do is produce a meritorious defense.
In the 2 states that I have done business(Texas and Nevada) it is permissible to change a releasing/termination fee as well as hold the tenant responsible for rent while procuring a replacement tenant
Then you're awful lucky none of your tenants apprise themselves of contract knowledge. Way too much to post on this subject, and it really takes some reading into the statutes to see how this applies. For example, in FL, the statutes preempt contract language in leases agreements - always providing for the tenant and landlord to sue for actual damages; in other states, its usually right where the security deposit tripe is located in the states' landlord-tenant agreement laws. The fact FL's legislature intends for landlords and tenants to sue for actual damages renders any liquidated damages clause moot.
It doesn't stop lease writers from placing those clauses in their leases and most of the time they get away with it. It boils down to a tenant who files suit and says you can't assess the penalty stated in your contract because the law only permits the recovery of actual damages. You would lose your whole case if the tenant challenges the legal cause of action on a motion to dismiss.
I've seen law cases where the tenants sued the landlord for the existence of such clauses, prevailing when they weren't damaged by them. I'll drop this link for liquidated damages provisions in Florida Leases: Uneforceable Liquidated Damages Provisions in FL Leases
- Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes9y
There's plenty of good advice here. I will only add that this is example of why it is so important to develop policies and procedures in advance. It's not hard to develop a list of problems you may experience (late rent, noise complaints, unauthorized tenants or pets, failure to maintain landscaping, breaking lease early, maintenance requests, etc.)
Develop a list of potential problems, research how to handle them, write down the solution. Research state/local law to ensure the solution will stand up in court. Develop forms and template letters. It will take 1-2 hours to come up with a plan for a problem. Failing to do so could cost you days, weeks, or months of agony down the road.
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