Need to get out of your lease?

There are only a few situations in which a tenant can terminate a tenancy before the lease expires. In some cases, an application must be made to the Ontario Rental Housing Tribunal (ORHT) to obtain an order entitling the tenant to terminate the rental agreement. The best option for the tenant, if the landlord will agree, is to complete an agreement to terminate the lease. The law relating to agreements to terminate is found in the Tenant Protection Act.

Essentially, these provisions allow a landlord and tenant to end a tenancy as long as both parties agree. Upon the termination of the lease, the tenant will be relieved of any obligations to pay rent for the remainder of the lease period. It will also relieve both parties of any other obligations or duties contained within the original lease.

In order to protect themselves, a tenant who has obtained an agreement to terminate should request the agreement in writing. By doing so, and having both the landlord and the tenant sign the agreement, any future conflicts between the parties can be more easily resolved. Although it is no essential to have any specific form signed and completed, a standard form can be found online through the Ontario Rental Housing Tribunal's website. To locate the form:
Go online to www.orht.gov.on.ca
Click on “Forms and Publications”
Click on “Applications, Forms and Notices”
Click on Form N11, “Agreement to Terminate a Tenancy”

If the tenant wishes to prepare the agreement themselves, there are a number of items which must be included in the agreement. These include:
The names of both the tenant and the landlord.
The address of the rental unit in issue.
The date that the termination of the lease is to be effective.
Phone numbers that each party can be contacted at.
The signatures of both parties and the dates of the signing.

Another option for the tenant is to negotiate with the landlord to pay a sum of money to terminate the lease. Often, this will involve one or two months rent to enable the landlord to locate a new tenant. Although this is more costly then a simple agreement to terminate, it may be less costly for the tenant than fulfilling the obligation of paying the rent for the remainder of the tenancy agreement. However, it is solely up to the landlord whether he or she will agree to such an arrangement.

In conclusion, if a landlord will agree to terminate the tenancy, this is the best solution. However, tenants must be sure to obtain all the required documentation in order for the termination to be enforceable. Being diligent about the agreement to terminate will assist in resolving any future conflicts, should they arise.

This column provides legal information only. If you need legal advice, please contact a lawyer, community legal clinic or the Lawyer Referral Service at 1-900-565-4577.

If you have questions about the Tenant Protection Act, many answers can be found at the Ontario Rental Housing Tribunal website at www.orht.gov.on.ca or you can call Community Legal Services, Faculty of Law, University of Western Ontario at 1-519-661- 3352.