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Terminating a Lease

Terminating or Renewing a Lease

A fixed-term rental agreement expires automatically at the end of the term unless the terms of the agreement provide otherwise. At the expiration of the fixed-term rental agreement, the tenant is expected to renew the rental agreement (with the landlord’s consent) or move out if the tenancy is not covered by just cause for eviction protections.

 

If the tenancy is subject to just cause for eviction protections, the tenancy continues on a month-to-month basis at the end of the rental term and will continue until either the tenant gives notice of move-out or the landlord has a valid reason under the law to terminate the tenancy.

 

Most fixed-term rental agreements do not require a tenant to notify their landlord at the expiration of their rental agreement that they do not intend to renew. As a courtesy, however, the tenant may want to consider giving the landlord a 30-day advanced notice that they intend to move out and not renew their rental agreement.

 

If you do not have just cause eviction protections and continue living in the rental unit after the rental agreement expires, the landlord has two options. The landlord can proceed with an eviction proceeding to remove you from the rental unit or treat you as a holdover tenant. If the landlord accepts rent from you after the end of your term, you will automatically become a holdover tenant and can continue legally to occupy the rental unit.

 

Terminating a Lease Early Without Cause

As a college student, you may find yourself in a situation where you need to terminate your lease before it is up. Whether you are graduating early, transferring schools, or simply need to move for personal reasons. If this is the case, there are some different steps you can take to avoid continuing to have to pay rent while you don’t live there.

 

  1. When facing the possibility of having to end a lease early you should speak with your landlord to go over possible alternatives they have in mind. If your lease is nearly up, the landlord may already have prospective new tenants in mind who they would like to replace your lease with.

 

  1. Under California Civil Code Section 1951.2, landlords have a legal obligation to make a reasonable effort to find a replacement tenant. This requirement is easily met by posting a "For Rent" sign or advertisement on websites like Craigslist. As a tenant, you can speed this process along by compiling a list of possible replacement tenants yourself and bringing this to your landlord when you talk to them about ending your lease early.

 

  1. Another thing to note is that a landlord can keep as much of your security deposit as they need to advertise the unit and cover the cost of any lost rent. Also, if the landlord is unable to fill the unit for the same amount of rent you were paying, he can deduct the difference in rent payments from your security deposit as well. On top of this, a landlord can sue you in small claims court for any amount of remaining rent you owe as described in the lease in instances of early termination.

 

Alternative Options When Ending a Lease Early Without Cause

When confronted with the possibility of having to end your lease early there are a few other options you can take to prevent having to pay the full amount of rent for the remainder of your lease. Depending on the terms of your lease these are a few possible options you can take:

 

Assigning Your Lease

An assignment is a transfer of your rights as a tenant to someone else. For the original tenant to be relieved of his/her obligations under the original rental agreement, the landlord, the original tenant, and the new tenant all must agree that the new tenant will be solely responsible to the landlord under the assignment. This agreement is called a novation and must be in writing. Check out the forms and templates page to find a sample Lease assignment document.

 

Subleasing

A sublease is a separate rental agreement between the original tenant and a new tenant who moves in temporarily. With a sublease, the agreement between the original tenant and the landlord remains in full force and effect. The original tenant is still responsible for paying the rent to the landlord, and functions as a landlord to the subtenant. Any sublease agreement between a tenant and a subtenant should be in writing to avoid disputes.

 

Many rental agreements contain a provision that prohibits (prevents) tenants from subleasing or assigning rental units. This kind of provision allows the landlord to control who rents the rental unit. If your rental agreement prohibits subleases or assignments, you must get your landlord’s permission before you sublease or assign the rental unit.

Include a PDF of a sample sublease agreement.

 

Terminating Your Lease Early with Cause

Habitability Violations

In California, tenants have the right to terminate their lease early if their rental unit is uninhabitable due to habitability violations. Habitability violations refer to any condition that makes the unit unsafe, unhealthy, or uninhabitable. These violations may include but are not limited to, mold, pest infestations, inadequate heating or cooling systems, and plumbing or electrical issues. Note that the landlord is not responsible for the repairs of damages caused by the tenant, tenant’s family, guest, or pets.

 

If a tenant wishes to terminate their lease early due to habitability violations, they must follow certain steps. First, the tenant must provide written notice to the landlord of the habitability violations and request that they be remedied within a reasonable period of time (The law usually considers 30 days to be reasonable, but a shorter period may be considered reasonable, depending on the circumstances. For example, if tree roots block the main sewer drain and none of the toilets or drains work, a reasonable period might be as little as one or two days.). The tenant should also inform the landlord that they intend to terminate the lease if the violations are not addressed.

 

If the landlord fails to make the necessary repairs within a reasonable time frame, the tenant may be entitled to terminate the lease and move out of the rental unit. In this case, the tenant should provide written notice to the landlord of their intent to terminate the lease due to the habitability violations. The tenant may also be entitled to a prorated refund of any rent paid for the period during which the unit was uninhabitable.

 

It is important to note that tenants should not terminate their lease without first following the proper procedures and providing notice to the landlord. Terminating a lease early without following the proper procedures could result in legal consequences, including being held responsible for unpaid rent or damages to the rental unit.

 

Special rights of tenants who are victims of domestic violence, sexual assault, stalking, human trafficking, or elder/dependent adult abuse.

You may notify your landlord that you or another household member has been a victim of domestic violence, sexual assault, stalking, human trafficking, or elder/dependent adult abuse and that you intend to move out and terminate your lease early. You can terminate your lease with 14 days’ notice (instead of the normal 30 days’ notice), without penalty, if you provide written notice to your landlord that you intend to move out due to your or a household member being a victim of domestic violence, sexual assault, stalking, human trafficking, or elder/dependent adult abuse.

 

You would still be responsible for payment of the rent for 14 days following your notice unless the landlord can re-rent your unit within that time period. You are required to attach to your notice to the landlord a copy of the restraining order, emergency protective order, or police report, within 180 days of the day such order or report was issued or made, or provide a statement by a qualified third party including a domestic violence advocate, sexual assault advocate, human trafficking advocate, doctor, registered nurse, licensed clinical social worker, or psychologist.

 

Note: This is information accessible to the public and does not constitute legal advice nor counsel. For more information or to discuss this topic in depth, schedule a meeting with the Law Clinic.