There are federal and provincial laws that provide reasons tenants can break a lease early without penalty. In other situations, it may be in a landlord’s best interest to let a tenant out of their lease early even if the tenant is not technically allowed to under the law.
Circumstances that Allow Tenants to Terminate Early
Although tenants have significant rights in the situations outlined below, they still have certain legal obligations, such as providing proper notice, to terminate a lease early without any financial impact.
- Military deployment (must provide proper notice)
- Domestic violence (only allowed in some provinces)
- Job transfer (only allowed in some provinces)
- Landlord’s failure to provide a safe and habitable rental unit
- Landlord entering the property unlawfully
Circumstances that Do Not Allow Tenants to Terminate Early
Although there are no laws that let tenants break a lease early for the reasons listed below, if a tenant is in bad shape financially or physically, it may be in your best interest to allow them to break the lease and move on to a new renter, rather than wasting time trying to evict them.
Know that landlords have a duty to mitigate damages by making an honest effort to find a new renter, even if a tenant breaks the lease without any legally permissible reason. Regardless of the specific circumstances, you’re dealing with, speaking with a Provider Lawyer can help you sort through your options and create a strategy designed to minimize the financial damage, reduce stress and avoid litigation.