Key Features
- Mutual Release: Allows both parties to release one another from future obligations.
- Property Condition: Dependent on the property’s condition at move-out.
- Upfront Payment: Option for the requesting party to make a payment in exchange for the release.
- Release Date: A fixed date when the tenant must vacate the property.
Common Uses
- Job Relocation: This occurs when the tenant’s employer changes, and they are required to relocate to another jurisdiction.
- Loss of Income: If the tenant has lost their job or income used to pay the monthly rent.
- Military Deployment: If the tenant has been called to active duty or received orders for a permanent change of station or deployment of at least 90 days (50 U.S. Code § 3955).
- Selling the Property: If the landlord wants to sell the property with the option for the new owner to accept the property without a tenant.
Duty to Mitigate
A duty to mitigate requires the landlord to act in good faith to re-rent the property if a tenant breaks the lease. This allows a landlord to recover losses only when the property was not rented.
This is required in most States.
Sample
Video