Monday, April 27, 2015

If a tenant terminates a 1 year lease agreement due to relocation, is the tenant obligated to find a new tenant and continue to pay rent unt...

Question

If a tenant terminates a 1 year lease agreement due to relocation, is the tenant obligated to find a new tenant and continue to pay rent until then? And should this be stipulated in the lease agreement or is it a common rule and practice?



Answer

The landlord is obligated to take all commercially reasonable steps to find a new tenant. The terminating tenant is liable for rent until a new tenant is found as long as the landlord does, in fact, take all commercially reasonable steps to find a new tenant, as well as being liable for the direct costs of finding a new tenant, such as advertising fees. This is a matter of law, regardless of anything being in the lease.



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