Lease Breaking

[Jeremy Dugal]

Hello. I have some tenants under a 1 year lease who decided to up and leave today essentially breaking the lease. They were four months into their lease at $750/mos. These are college students. I politely sent them a text reminding them that a lease is a legal contract, that I would be trying to find a new tenant asap but that they would be responsible for the rent until I was able to do so. I also stated I would likely pursue legal action if they did not pay. Of course she sent a text back asking who I thought I was threatening and her uncle is a lawyer and all that other good stuff. My question is if it is even worth it financially to pursue the unpaid portion of the lease if I am unable to re-rent for a while or will I likely just be bogged down with legal fees making it all a wash. And why even have a lease if this is the case. Should I just let it go even the I'm burning up inside about her response. Has anyone had this experience and how did it turn out?

[Account Closed]

YES, it is ABSOLUTELY worth taking them to court! Every state is a little different, so please check local laws. It is very easy to take somebody to small claims court. If it's an obvious lease break, you will win without question. The legal fees will only be around $100, and will be added to what the tenant owes you! Small claims court is meant for smaller issues like this and is very informal.

Even if you don't manage to collect money, this person will have a judgement on their record, they won't be able to buy or rent anything from anybody that checks their credit, and any future landlords will be warned. Each state is different but you can collect roughly 9% interest on your judgement for at least 10 years. Maybe they have no assets to garnish now but they could ten years from now!

Often, when they get a letter in the mail that says they have to show up for court, that is enough to make them pay what they owe.

I'm sure you already know to ignore the uncle/cousin/brother lawyer. Don't they all have one of those? Lawyers aren't allowed in small claims court.