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Advice re tenant breaking lease

jgtauber

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Jul 31, 2011
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I would like to get some opinions on my tenant (Calgary, AB).



I am currently renting a condo (top floor unit in multi-unit building) to my tenant (man, his wife and 2yr old child) for one year starting Nov 1 2010, ending Oct 31 2011. My tenant informed me last week that he would like to leave the apartment at the end of August. His reasons for leaving are that he has received complaints & harassment from other neighbours about noise (I think his son is a bit rambunctious, certainly the neighbours could be over-sensitive too).



I believe that with our agreement he still owes me rent until the end of the lease term stated in our agreement. As expected, my tenants don't see it that way and they do not think they should pay rent after they leave. To me, the key issue is if the lease is "fixed" or "periodic", because from what I've read the law in Alberta is clear that tenants on fixed term leases must pay the entire term's rent.



The sticky part is that the wording of the lease term is a bit ambiguous regarding whether or not the lease agreement is "fixed" or "periodic". Furthermore, our lease agreement does not have a specific clause stating what is owed if a tenant wants to break the lease:



"2. a) Term: This Agreement shall constitute a periodic tenancy and shall be for a primary term commencing at 12 o'clock noon on the first day of November, 2010 and ending at 12 o'clock noon on the last day of October, 2011 and for extended terms of one month each from month to month thereafter until terminated by either the Landlord or the Tenant in accordance with the provisions in clause 9, Termination".



There was a second term option that we did not fill in:



"2. b) This Agreement shall be for a fixed term commencing at 12 o'clock noon on the first day of _______, 201__ and ending at 12 o'clock noon on the last day of ________, 201__ and no notice shall be required of either the Landlord of Tenant to terminate the tenancy at the end of the fixed term."



My thinking is that since we did specify a start and end date to the primary term of the lease, this primary term is considered "fixed" in the eyes of the law and he owes me the rent. However, as you can see this is a bit weak. My lack of experience may be costing me here, which I'm fine with, I won't make the same mistake again.



I'd like to hear some opinions on this situation and whether or not I am correctly interpreting my position here.
 

markbrad

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Oct 25, 2007
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The way I see it is that yes, there is a fixed term of 1yr, then it goes to periodic after that. That is the exact wording on the lease I use. I also have added at the end of section 8 d) if the tenant breaks the term of the lease they shall forfeit their entire security deposit.

I am not sure how well this would hold water, but I have never been challenged on it yet.

I am finding it is not uncommon for a tenant to break a lease. I just advertise and rent it out again. part of doing this business



Mark
 

MrHamilton

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May 10, 2008
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[quote user=markbrad]I am finding it is not uncommon for a tenant to break a lease. I just advertise and rent it out again. part of doing this business


I agree with Mark. Personally, I would have no interest in pursuing lost rent from this young family. As a rule of thumb, we home service providers are required to provide a safe, quiet, home and if they are being harassed by the other tenants then who can blame them for wanting to move.



A couple things to add:



  • Young kids like to run, especially boys. Keep that into consideration when choosing your next tenant
  • Carpet the floors and/or add area rugs including the hallway. We carpeted the top floor of a triplex to reduce the noise of foot traffic.
    Get the tenant to allow you regular access to show the property so you can rent it out asap and you will only charge them for lost rent.
Hope that helps,

Erwin
 
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