As the new year rolls around, many tenants are looking to move out of town, or buy a house, and are asking if they can end their lease early. What does the law say about this? RCW 59.18.310 basically says they will owe you rent through the end of the lease term or until you, the landlord, can find a new tenant; whichever comes first. It also says you are obligated to look for a new tenant with all the same effort you normally would for a typical vacancy. Once you get a new tenant, your current tenant is off the hook. It’s important to refund prorated days’ rent to avoid receiving double rent from two different tenants. However, you can charge reasonable expenses that you would not have incurred had they fulfilled the terms of the lease, such as an increase in marketing and turnover costs.
WHAT ABOUT “LEASE BREAK” FEES?
Sometimes landlords include a “lease break” clause in their lease that might include a fixed penalty without holding the tenant liable for paying rent through the end of the term. While this may seem like a good deal to many tenants, and most will not dispute paying a reasonable lease break fee, there may be some who would rather take their chances with the law and bet that you will rent it out quickly. This option is their right under the law, so RHAWA’s lease does not include a lease break fee clause in our leasing forms. However, we do provide a form called the Early Termination Agreement that can be used to document a mutually agreed upon deal to end the lease early. If the tenant does not want to take their chances with the provisions under RCW 59.18.310, you can agree to an alternative arrangement and document it with this form.
ADDITIONAL CONSIDERATIONS
- City of Seattle: CB 120090 allows a tenant to rescind a mutual termination agreement for any reason within 10 days by providing a written notice to the landlord. A tenant may also provide written notice to rescind a mutual termination agreement after more than 10 days if the tenant did not consult an attorney or tenant advocate prior to signing the agreement.
- Tenants with disabilities have special protections. See Support Center Article Reasonable Accommodations for Disabilities.
- Tenants who are victims of domestic violence have special protections. See Support Center Article, Domestic Violence Tenant Protections.
- Tenants who are members of the United States armed forces have special protections related to ending tenancies to accommodate changes in orders. See Support Center Article, Armed Forces Tenant Protections.
REIMBURSEMENT FOR COSTS OF EARLY TERMINATION
Barring any of the above exceptions, the housing provider may bill the tenant (or withhold from deposit) for unpaid rent for the number of days of vacancy loss, plus any costs incurred to re-rent – which can include utilities, advertising, and agency fees. If the tenant refuses to pay, RCW 59.18.160 states that the landlord may bring an action in an appropriate court when a tenant fails to pay in a reasonable time. Keep in mind that tenants moving out of state cannot be served for small claims court.
COMMUNICATE TERMS CLEARLY
Write a letter regarding the details of move out and transfer of possession (accepting the keys, etc.), while clarifying it is not a waiver of the strict terms of the lease. Do not rely on verbal communication, which is easy to misinterpret.
MAIL THE DEPOSIT WITHIN 30 DAYS
The deposit statement and any refund must be mailed to the tenant within 30 days of their move-out as required under RCW 59.18.280 (see HB 1074 2023). See Support Center Article, Send Deposit Accounting and Refund at Move Out for more information.
This article was written and edited by RHAWA representatives and is intended for the use of RHAWA members only. Copyrighted members-only materials may not be further disseminated. Formal legal advice and review are recommended prior to the selection and use of this information. RHAWA does not represent your selection or execution of this information as appropriate for your specific circumstance. The material contained and represented herein, although obtained from reliable sources, is not considered legal advice or to be used as a substitution for legal counsel.