Texas law spells out the rules and regulations that both landlords and tenants must follow when it comes to breaking a lease. As a landlord, understanding these rules will help you know what to do if your tenant chooses to break the lease.
In this article, you’ll learn when a tenant can and can’t break their lease early.
Outlining a Rental Agreement in Texas
If you’re like most landlords, you probably require your tenants to sign a lease prior to moving in. If you do, which we suggest, it’s crucial you create a foolproof agreement that outlines all important terms.
One such term is making tenants understand the penalties for breaking your lease early. We suggest also spelling out their rights for justifiably breaking the lease.
Another term to include in the rental agreement is the minimum notice requirement. Let your tenant know they have a responsibility to notify you prior to moving out.
The following are the minimum notice requirements to break a lease in the state of Texas:
- A 7 days’ notice where the tenant pays rent on a weekly basis.
- A 30 days’ notice where the tenant pays rent on a monthly basis.
Tenants with a fixed-term lease, however, have no such responsibility as the lease agreement clearly states the start and end dates.
It’s important to note your responsibility to re-rent the unit. Different states have different laws in this regard. In Texas, landlords have a duty to mitigate damages if a tenant moves out before their lease is up.
In other words, you need to make reasonable steps to re-rent the unit after a tenant moves out. You can’t simply wait for the lease to end, then taking the tenant to court claiming all due rent remaining under the lease.
Last but not the least, we suggest stating whether you permit subletting or not. Texas law (Tex. Prop. Code § 91.005) explicitly forbids a tenant from subletting their unit unless granted permission by the landlord.
If you allow it however, make sure to state any rules you might want the tenant to abide by. For example, requiring the sublet to pay a security deposit and reserving the right to accept or reject a sublet.
Unjustified Reasons for Breaking a Lease in Texas
Some reasons generally don’t offer tenants sufficient justification to break their lease legally.
Here are some examples of unjustified reasons:
- The tenant bought a home.
- The tenant got a job transfer or is relocating for a new job.
- The tenant is upsizing or downsizing.
- The tenant is moving in with their new partner.
- The tenant got separated or divorced by their partner.
If a tenant breaks their lease for any of these reasons, they’ll have no legal protection against potential legal or financial ramifications. One ramification a tenant might face is a reletting fee or reletting charge.
Justified Reasons for Breaking a Lease in Texas
Just as there are unjustified reasons for breaking a lease, there are justified reasons as well. The following are specific to the state of Texas.
Early Termination Clause
Some landlords make it easy for their tenants to break their lease early by having an early termination clause in their Texas lease agreement. Typically, tenants only have to abide by two requirements.
That is, paying a penalty fee (typically two months’ rent) and providing notice prior to moving out. This way a landlord has the time and financial resources to replace the tenant quickly and avoid long periods of vacancy in their rental property.
Active Military Duty
Servicemembers who begin active military duty can also break their lease obligations without penalty. This usually occurs when a servicemember is either deployed or has received a permanent change of station.
The Servicemembers Civil Relief Act, however, only offers protection to specific military cadres. These cadres include the:
- Activated National Guard.
- Armed forces.
- Commissioned corps of the National Oceanic and Atmospheric Administration.
- Commissioned corps of the Public Health Service.
The tenant must meet certain requirements prior to moving out, including notifying you of their intentions and providing you with a copy of their deployment letter.
Uninhabitability
As a landlord, it’s essential you provide your tenant with a habitable rental property. For example, ensuring that your property has hot water, is secured against unauthorized entry and has working smoke alarms. If not, a tenant might have justifiable reason to break their lease.
Landlord Harassment
Harassing a tenant is unlawful in the state of Texas. Whether it occurs inadvertently or not, a tenant might be able to use that as legal justification to break their lease early.
One instance of landlord harassment is when you enter your tenant’s rented unit without notifying them beforehand. Though Texas doesn’t have a law on landlord entry, the state’s courts have long held that a landlord cannot enter their tenant’s home unless granted permission. Notifying your tenant 24 hours in advance usually suffices.
Another example of landlord harassment is when a landlord tries to “constructively” evict their tenant. Examples of constructive evictions include:
- Locking your tenant out.
- Removing their belongings from the property.
- Shutting down previously-available utilities.
Domestic Violence
Domestic violence is another reason your tenant can use to break their lease early and without penalty. The same is also true for victims of stalking, sexual assault and sexual abuse.
Before the tenant vacates your property however, they must show you a copy of the protective order and give you 30 days’ advance notice.
Other Justifiable Reasons for Breaking a Lease
A tenant can also terminate their lease early if the following occurs:
- Their utility services get cut off, which the landlord has agreed to pay for in the lease.
- The tenant dies before their lease is up.
- The landlord causes a serious violation of the lease.
- The lease agreement is illegal.
- The landlord fails to provide the required landlord disclosures.
Bottom Line: Breaking a Texas Lease
It’s never ideal when your tenant breaks the lease agreement, which is why we suggest you create a solid lease agreement and understand relevant state law. This way you’ll know the legal reasons to break a lease in Texas as well as reasons that are unjustifiable under law.
Still have questions? Legacy Realty and Management can help. We’re an experienced property management company that services Denton County and the surrounding areas. Get in touch today to learn more!
Disclaimer: This blog should not be used as a substitute for legal advice from a licensed attorney in your state. Laws change and this post might not be updated at the time of your reading. Please contact us for any questions you have in regards to this content or any other aspect of your property management needs.
