SERVICEMEMBERS CIVIL RELIEF ACT Residential Lease Termination (50 U.S.C. App. § 535) The Servicemembers Civil Relief Act (SCRA) permits a Servicemember to terminate a lease agreement under certain circumstances. For residential, professional, business, agricultural, or similar leases, a Servicemember may terminate the lease agreement, without penalty, in the following circumstances: • Upon receipt of military orders for a change of permanent station (i.e., PCS orders); • Upon receipt of military temporary change of station orders to deploy with a military unit or as an individual in support of a military operation for a period of not less than ninety (90) days; or • If the individual enters military service after entering into the lease agreement (e.g., enlists after entering into a lease). To terminate the lease agreement, the Servicemember must deliver to the lessor/landlord written notice of termination and a copy of official military orders or a notification, certification, or verification from the Servicemember’s commanding officer with respect to the Servicemember’s current or future military duty status. Verbal notice is not sufficient. Delivery of the written notice may be accomplished in a number of ways, including hand deliver, private business carrier, or by certified mail with return receipt requested. In all circumstances, the Servicemember should obtain some proof that the lessor/landlord received the written notice and the date upon which receipt occurred. Where the residential lease agreement is a joint lease, the SCRA protects Servicemembers’ dependents. That is, a dependent’s lease obligation terminates along with the Servicemember’s obligation. A lessor/landlord may not hold dependents liable on a joint residential lease. The effective date of termination is determined as follows: • For leases requiring monthly rental payments, the termination becomes effective 30 days after the first date on which the next rental payment is due subsequent to the date when the notice of termination is delivered. For example, if the rent is due on the first day of each month, and notice is mailed on August 3, then the next rental payment is due and payable on September 1. The effective date of termination would be October 1 – 30 days from September 1. • For all other leases, termination becomes effective on the last day of the month following the month in which proper notice is delivered. For example, if the lease requires a yearly rental and proper notice of termination is given on July 20, the effective date of termination would be August 31. • A Servicemember is only required to pay rent for those months before the lease is terminated. If rent has been paid in advance, the lessor/landlord must prorate and refund the unearned portion. If a security deposit was required, the lessor/landlord must return the security deposit to the Servicemember upon termination of the lease without penalty. This means that a lessor/landlord may not assess any early termination fees or penalties against the security deposit; however, if the Servicemember caused damages to the property, those damages may be deducted from the security deposit provided proper notice and itemization. Note: This information relates to residential, professional, business, agricultural, or similar leases only. For questions or concerns related to residential leases, as well as any other type of lease, please seek guidance from your Legal Assistance Office. other type of lease, please seek guidance from your Legal Assistance Office.
Posted on: Thu, 05 Sep 2013 17:04:24 +0000
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