Legal Question in Real Estate Law in California

My tenant just sent an email to us giving us 30 day notice to move out. We had a 3-year lease and they are breaking it one year early. Our lease has a one month penaulty for breaking the lease early. But the tenants are not paying the last month rent. We have a one month security deposit with us. Our lease clearly states that they can not use security deposit in lieu of last month rent.

What can we do at this point?


Asked on 6/02/10, 4:00 pm

2 Answers from Attorneys
Mark Storm Law Office of Mark Storm 916-739-8552

Tell them they can't move without violating the lease. If that doesn't keep them in, then start looking for a new tenant. Deduct all back rent from the security deposit. Once you find a new tenant, then pursue this former tenant for any rent deficiency during the vacancy period and any legitimate damage not paid by the security deposit.

Read more
Answered on 6/02/10, 7:29 pm
Anthony Roach Law Office of Anthony A. Roach

If there is anything the law hates more than a forfeiture, it is a penalty. If they break the lease, they are in breach of contract. Contract damages are generally konwn as expectation damages. There is law that states that if you sue them for the penalty, you are in trouble. The proper language is "liquidated damages," which will be upheld if it is a reasonable estimate of the damages you suffered as a result of them breaking their lease. This is fine if it only takes a month for you to get a new renter. It can backfire on you, if it takes you longer, because now you are held to the 1 month rent term of the contract.

Read more
Answered on 6/02/10, 8:16 pm


Related Questions & Answers

More Real Estate and Real Property questions and answers in California