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Attorney 1
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I rented a shop on a two years lease and due to unforeseen

Customer Question

I rented a shop on a two years lease and due to unforeseen circumstance I need to do a premature termination of the lease. My lease indicate a clause stating that in the event that the tenancy is terminated prematurely by the tenant, the landlord shall forfeit the entire tenancy deposits, notwithstanding it's rights to legal action for any antecedental breach on the part of tenant, The tenant shall be liable to the landlord for all legal expenses on a solicitor and client basis incurred in the event that the landlord has to enforce against the tenant, in respect of any covenant/condition herein.

Would greatly appreciate if you can advise me whether if I terminated the tenancy prematurely and are prepared to forfeit my rental deposit. Can the landlord after forfeiting my rental deposit can still claim from me for any unpaid re talc from the time of my dprematured termination to the actual expiration of the lease agreement. I still have about nine months more to go before the lease expired.

Thanks
Submitted: 2 years ago.
Category: Legal
Expert:  Attorney 1 replied 2 years ago.

Attorney 1 :

Hello, and welcome to JustAnswer! I am preparing your response. Please remain online for a few moments, so you can get your answer right away.

Attorney 1 :

The provision about forfeiting the rental deposit, sounds like it should apply to the tenant, not the landlord. You should double check that provision just to be sure. Regardless, it would have no bearing on the remedies of the landlord for your early termination of the lease. If the lease specifically addresses penalties for early termination, those provisions would govern. If not, you would be responsible for all of the unpaid rent left in the lease for all 9 months, if the landlord is unable to rent the premises to someone else for the same or more money, during the 9 months left that you had on the lease. It will be the landlord's obligation to try, in good faith, to re-rent the premises. If he does not use reasonable efforts to re-rent, you will not be liable for the unpaid rent. If you are sued by the landlord, right away, before he has time to re -rent the premises, the court may hold you liable for the entire remaining amount.

Attorney 1 :

I hope this information helps save you time and money, and is beneficial in your decision-making process.

Attorney 1 :

Best of luck!

If you need more information, just let me know and I will be happy to continue to assist you.

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This communication contains general information, only, and does not constitute the provision of legal advice. Information provided herein is not intended to replace a detailed legal consultation, and does not create an attorney/client relationship.

Customer : I don't get it as there is already a premature lease termination clause in the lease agreement whereby if I terminate the lease premature my two months deposit will be forfeited by the landlord. After the forfeiture I assume that my lease agreement will no longer be valid and I don't see how the landlord can sue me for the unpaid rental till expiry, Can u care to elaborate on this.
Attorney 1 :

Certainly. The purpose of the law of contracts is to see that each party is able to receive what they have contracted for. Esssentially, that each receives the benefit of the bargain. To the extent one party makes a unilateral decision that causes the other to lose money, the courts try to see that the person receives what he expected under the contract. In your case, if you terminate prematurely, and the owner is unable to find another tenant, the place sits vacant and he loses the money that he would have collected had you fullfilled your end of the bargain and remained for the full term. This is the primary purpose behind a lease, rather than a month to month rental. If you are concerned about this potential liability, you should try to get the landlord to sign a recission to the agreement. A recission agreemeent is a written agreement by both parties to terminate the lease with no penalties. If you give the landlord sufficient notice that you would like to move and don't obstruct his ability to rent to a subsequent tenant, he may be willing to recind the lease agreement and let you out without penalty.

Attorney 1 :

Best of luck!

If you need more information, just let me know and I will be happy to continue to assist you.

­­­­­­­­­­­­­­­­­­­­­­­­­­­__________________________________________________________________

If I have answered your question, please remember to click “ACCEPT.”

Clicking the green “ACCEPT” button will not cause you to incur any additional expense, and it is the only way that an expert gets paid for providing assistance, even if you have made a deposit or have a monthly subscription.

I leave Positive feedback for all accepted answers.

Positive feedback helps customers get quick responses to future questions.

If you would like to request my assistance for future questions, please begin the question with "FOR ATTORNEY 1".

____________________________________________________________________

This communication contains general information, only, and does not constitute the provision of legal advice. Information provided herein is not intended to replace a detailed legal consultation, and does not create an attorney/client relationship.

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