Termination of a lease agreement refers to instances where the tenant or the landlord needs to end a lease arrangement. In many cases, a premature termination of a lease agreement can lead to various losses, and in some cases, it can lead to a lawsuit or legal penalties. However, there are certain types of arrangements wherein a termination can happen lawfully. These include:
- Both parties have agreed to the terms of the termination
- Such termination would not violate any housing or real estate laws
- The type of lease arrangement allows for termination at that time (for instance, some "at-will" tenancies allow for termination at any time and for any reason)
In most cases, lease termination should be preceded by notice from the party that is ending the agreement. This will help avoid confusion and can help the parties relieve potential legal conflicts.
When a landlord requires a tenant to move out according to a lease termination, they are usually required to provide a lease termination notice. This is a written document explaining to the tenant that the lease will be terminated shortly. In most cases, the tenant is given 3 days to move out. This usually happens when the tenant has failed to pay rent. Thus, they can avoid eviction or lease termination by paying the required rent fees.
A valid lease termination notice should be written and should contain information such as:
- Name of the tenant or tenants affected
- The address or description of the rental property that the notice applies to
- Instructions for the tenant (such as "Pay rent" or other instructions)
- Timetable for consequences (such as eviction after 3 days)
- The applicable date
- The landlord’s signature
Also, the lease termination notice needs to be properly transferred or delivered to the tenant. If the tenant never receives the notice, it might cause complications in the process. Legal action based on a termination of a lease agreement can result in a damages award for monetary losses. Many lawsuits of this type often involve breach of contract rules and remedies.
Terminating a lease agreement is often a major decision and shouldn’t be taken lightly. You may need to hire a real estate lawyer if you have any issues regarding a lease agreement or regarding a termination of such agreement. Your attorney can provide you with advice on what to do, and can help you in court if you need to file a lawsuit.