Las Vegas, NV 路 Member since 2018 路 1 post 路 0 votes
2 tenants on a rental contract lease expire 3/31/20 and one decided to move out who gets penalized? Are they both still responsible until end of lease agreement....?馃
"Joint and Several Liability" clause. If your lease doesn't have it, then the rent is owed by the one left behind. If it has it, then the issue becomes, how to collect from someone who is a. gone b. owes less than it would cost to collect. If you allow sublet, then the door is always open to having a tenant that is short the rent. If this was my situation, I would be having a serious conversation with the tenant about the future outlook for getting paid in full, on time, monthly. If it's not good (ie: you're the one being penalized), then make your move to negotiate the tenant out or accept that it's going to be month to month stress until the existing lease allows you to replace the occupant(s) with new.
Rental Property Investor 路 Huntsville, AL 路 Member since 2013 路 419 posts 路 323 votes
6y
Typically any well written lease will have the joint and severally clause, so yes they are both responsible for the lease until it ends. The clause also means you can collect from one or the other or both as you see fit and doing so does not relieve one or the other of the obligation.
One thing you don't want to do is return security to the one who is leaving. Security remains with the property and any settlement is between them. At the end of the term any SD settlement will have both their names on the settlement check unless I get a signed release from the one leaving. At no time should you have to track them down to settle the SD.