California Lease Termination: What You Need To Know

Tenants break their leases for all sorts of reasons. The reasons could be justified, such as in the case of landlord harassment, habitability issues or being a domestic violence victim.

In other cases, though, the reasons are not legally justifiable. For example, a tenant moving out to stay with their lover, due to divorce/separation or to be closer to a new place of work.

As a landlord, you need to be aware that a tenant can sometimes move out early without facing any penalties. However, for other reasons, they may be financially liable if they break a lease. If you’re wondering how to get out of a lease in California, this article can help.

We here at Eagle Property Management have made this article to give you an overview of breaking a lease in California.

early termination of lease california

Top Reasons Why Tenants in California Terminate Their Leases Early

Ending a lease before its expiration date can be a difficult decision for tenants in California. There are various reasons why tenants choose to terminate their lease early, and understanding these reasons can help landlords and property managers better serve their tenants.

  • Job Relocation – many tenants have to move out of their rented property due to a job transfer or new employment opportunity. In these cases, the tenant may not have any other option but to terminate the lease early.
  • Personal Reasons – tenants may have to move out due to a family emergency or to take care of a loved one. In some cases, tenants may also want to downsize or upgrade to a bigger property, depending on their personal circumstances.
  • Financial Hardship – in California, tenants who experience a significant change in their financial situation may be able to terminate their lease early under certain circumstances, such as job loss, reduction in work hours, or unexpected medical bills.

By understanding the reasons why tenants terminate their leases early, landlords and property managers can take steps to minimize the negative impact of lease termination on their business. They can also work with tenants to find mutually beneficial solutions that meet their needs while protecting the interests of all parties involved.

Tenant Rights & Responsibilities When Signing a Lease

As a landlord, your lease outlines various rights and responsibilities for both you and your tenant. Your renter has a right to the quiet and peaceful enjoyment of their home. This means that you must provide them with adequate notice prior to accessing the premises.

As a California tenant, they also have a right to a habitable rental property. This means a property that, among other things, is free from infestation, is structurally sound, and has functioning plumbing, heating, and electricity.

Thirdly, the lease agreement prevents landlords from forcefully evicting tenants unless the term ends or they seriously violate the terms of the lease. Common lease violations include nonpayment of rent, repeatedly throwing noisy parties, subletting the property, or keeping a pet when there is a “no animals” policy.

Can a landlord break a lease in California? Yes, but only under certain conditions. If you’re wondering how to break a lease in California, you can only do so if your tenant fails to honor these responsibilities. Then, you may pursue an eviction.

Regardless of the infraction they have committed, you must follow specific procedures to end the tenancy.

It would be illegal for you to engage in direct or indirect tactics to get your tenants out of your property, such as:

  • Interfering with amenities, such as blocking access to their reserved parking space.
  • Ordering or threatening them to leave the premises.
  • Shutting off utilities such as phone service, electricity, gas, water, or heat.
  • Locking them out or removing their belongings from your property.
california terminate lease early

These are known as self-help eviction tactics, and they are illegal in California much like they are elsewhere in the country.  

How to Terminate a Lease Early in California: Valid Reasons

1. There is Harassment.

As a landlord, you need to respect your tenants’ right to privacy. Any form of landlord harassment is illegal in California and can lead to a tenant ending the lease early without being financially responsible.

As per California lease termination laws (Cal. Civ. Code § 1954), you must provide your tenant with a 24 hours’ notice (or 48 for the final move-out inspection) before accessing the property.

Furthermore, you must have a legitimate reason for accessing the property, for example:

  • To make needed repairs.
  • To show the property to prospective tenants or buyers.
  • If given permission by a court of law.
  • To conduct scheduled inspections.
  • In the case of an emergency.
  • If you have reason to believe that the tenant has abandoned the property.

California landlords must also enter only during normal hours, or at any time with the tenant’s permission.

2. Uninhabitable Unit

Landlords must provide properties that meet all local and state housing codes. If you don’t, it could amount to a “constructive eviction.” Living in an uninhabitable property poses a risk to tenants.

Conditions that make a home uninhabitable include:

  • Damaged floor tiles
  • Mold
  • Insufficient security measures
  • Poor ventilation
  • Inconsistent water temperature
  • Exposed asbestos
  • Chipping lead paint

To move out due to any of these conditions, there are specific requirements a tenant must follow (see Green v. Superior Court, 10 Cal.3d 616 (1974) and Cal. Civ. Code § 1942).

breach of lease contract california

3. They are starting active military duty.

If your tenant is an active service member and has received a change of station orders, they have a right to break the lease under the Servicemembers Civil Relief Act of 1944. The following are the “uniformed services” that qualify for this:

  • The National Oceanic and Atmospheric Administration
  • Members of the armed forces
  • The activated National Guard
  • The commissioned corps of the Public Health Service

They must provide you with a written notice the date that rent is due.

4. They have been a victim of domestic violence.

Breaking a lease due to domestic violence in California is legally justified. A tenant can terminate the lease if they or their child have been a victim of domestic violence.

To terminate a lease for this reason, they must meet certain conditions, such as showing proof of a temporary restraining order.

Landlord’s Duty to Find a New Tenant in the State of California

So, what happens if a tenant doesn’t have a justified reason to break your lease agreement? (As mentioned earlier, things like breaking a lease to buy a house in California are not legally justified). If this occurs, yet they still want to move out, they’ll need to pay all the rent due under the remaining lease period.

For example, if your lease is due to end in August and the tenant wants to move in March, then they’ll still be liable for paying for the 4 months that the lease will still be in effect (cal civ code 1951.2).

However, during this period, you still have a responsibility as a landlord to find a replacement tenant.

Disclaimer: This blog isn’t a substitute for legal advice. If you have any questions regarding any part of this content or simply want legal advice, please get in touch with a qualified attorney or property management company.

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