Early Tenancy Termination Question

SteveMelrose

Hey there,

We have just given notice to terminate our shorthold tenancy agreement early. The agreement was a fixed 12 month one and expires later this year.

We got a letter in the post this morning from our landlords stating a couple of odd things,

1. If they aren't able to find new tenants before our early termination date, we will be liable for rent and council tax until they do find new tenants, or our original tenancy agreement expires.
2. We will be liable for any fees incurred with finding new tenants, assuming they are found before our original tenancy agreement expires.

What I'm wanting to check is if this legally correct?

Annoyingly there is no break clause from our point of view as tenants in our agreement (there is a clause for the landlord). Doing some Googling, it does appear that this may make us liable, but I wondered if there are some "fall back" tenants rights, etc?

Any info you can provide would be great!

Thanks

molerat

Is it correct, yes. You entered into a contract and are bound by it. If the landlord agrees to you leaving early, he does not have to, he must try to mitigate his losses but you are responsible for any extra costs he incurs filling the tenancy.

AdrianC

SteveMelrose wrote: »

We have just given notice to terminate our shorthold tenancy agreement early. The agreement was a fixed 12 month one and expires later this year.

We got a letter in the post this morning from our landlords stating a couple of odd things,

1. If they aren't able to find new tenants before our early termination date, we will be liable for rent and council tax until they do find new tenants, or our original tenancy agreement expires.
2. We will be liable for any fees incurred with finding new tenants, assuming they are found before our original tenancy agreement expires.

What I'm wanting to check is if this legally correct?

Yes, it is. You want to surrender your tenancy early - no problem, but you are responsible for the costs and losses to the landlord. He does not have to accept your early surrender, and is doing you a favour by doing so.

Annoyingly there is no break clause from our point of view as tenants in our agreement (there is a clause for the landlord).

You voluntarily signed the tenancy and agreed to that. though, right?

Pixie5740

You cannot give notice to end a fixed term early. All you can do is try and negotiate an early surrender with the landlord. The legal position is that you are liable for the full 12 months. Anything you can negotiate that is less than this is a bonus. The two conditions to end the tenancy early sound perfectly reasonable to me.

antrobus

molerat wrote: »

Is it correct, yes. You entered into a contract and are bound by it. If the landlord agrees to you leaving early, he does not have to, he must try to mitigate his losses but you are responsible for any extra costs he incurs filling the tenancy.

That's about it.

You can't end a fixed-term tenancy early unless your landlord agrees or there's a break clause in your agreement.
https://england.shelter.org.uk/housing_advice/private_renting/how_tenants_can_end_a_fixed_term_tenancy

SteveMelrose

Thanks for the replies. Found the same through Googling. Annoying, but correct.

You voluntarily signed the tenancy and agreed to that. though, right?

We did. Our originally tenancy agreement through the letting agent had a break clause, but for the recent one, the landlord dtiched said letting agent and went direct. The tenancy agreement was different, but we weren't aware of this aspect. C'est la vie.

So to clarify re: #2, are we also legally liable for "fees incurred with finding new tenants"? Our tenancy would naturally expire 2 months after our early termination date. Am I right in assuming we're only liable for the fees if we end up not fulfilling our tenancy agreement payments? In other words, if we end up making all rental payments and council tax payments, thus fulfilling our fixed term, we would not be liable for fees?

Thanks.

AdrianC

SteveMelrose wrote: »

The tenancy agreement was different, but we weren't aware of this aspect.

You didn't read it before you signed it...

So to clarify re: #2, are we also legally liable for "fees incurred with finding new tenants"?

Yes.

Our tenancy would naturally expire 2 months after our early termination date. Am I right in assuming we're only liable for the fees if we end up not fulfilling our tenancy agreement payments? In other words, if we end up making all rental payments and council tax payments, thus fulfilling our fixed term, we would not be liable for fees?

Yes, because you wouldn't be breaching the contract by asking to terminate it early.

mrginge

molerat wrote: »

Is it correct, yes. You entered into a contract and are bound by it. If the landlord agrees to you leaving early, he does not have to, he must try to mitigate his losses but you are responsible for any extra costs he incurs filling the tenancy.

There are no losses to mitigate.

Marvel1

It's correct as that is the whole point of a fixed term, in regards to the break clause only for landlord, again you read it and signed meaning you agree with it.

AdrianC

mrginge wrote: »

There are no losses to mitigate.

There wouldn't be if he didn't agree to accommodate the OP's breach of contract.
There won't be if the OP covers the lost rent and tenant-finding fees.

mrginge

AdrianC wrote: »

There wouldn't be if he didn't agree to accommodate the OP's breach of contract.
There won't be if the OP covers the lost rent and tenant-finding fees.

Indeed. But there is no obligation on the LL to do so.