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TOPIC: Re:Early Termination of Rental Agreement - Help Needed
#6698
Tony Man (General User)
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Early Termination of Rental Agreement - Help Needed 1 Year, 11 Months ago Karma: 0  
Hi All,

I signed a 12 month rental agreement in January, but unfortunately due to personal circumstances I may need to move back to the UK in May. I mentioned it to the agent (as the landlord lives in Europe and the agent is his representative), and he said that I may need to pay the whole years rent, or we may be able to negotiate only paying maybe 3 months, but that will include 2 months deposit, so I'll be paying 5 months in total.

I will try my best to find someone to take over the agreement for the remaining period, but if I don't succeed, then I cannot afford to pay the extra 3 months rent, but I don't mind forfeiting the deposit. What will happen if I decide to pack my bags and leave? Can the landlord take legal action against me if I am in the UK?

I will appreciate any help, thanks in advance.

T
 
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#6702
Roger Hor (General User)
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Re:Early Termination of Rental Agreement - Help Needed 1 Year, 11 Months ago Karma: 0  
You have to check whether there is any 'escape clause' in the Tenancy Agreement you have signed. Escape Clause meaning whether the Tenancy Agreement allows any break or termination before the agreed period of rental.

And is there any clause that specify payment of the full tenancy period eventhough either party may decide to give notice of premature-termination.

I believe it works both ways. You have to ask yourself what would you do as a Tenant if the Owner decide to terminate the Tenancy prematurely? And also, what would you do as an Owner if your Tenant decide to terminate the Tenancy prematurely? Try seeing it at two different angle.

In any case, I believe you need to work very closely with your agent to help negotiate with the owner for a more generous decision.

Finally, at the end of this matter, please don't forget to THANK the agent.

Roger Hor
 
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#6711
KK Chin (Negotiator)
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Re:Early Termination of Rental Agreement - Help Needed 1 Year, 11 Months ago Karma: 7  
Check your tenancy agreement on the part of "defaults" or "early determination". See thoroughly the contents of your tenancy agreement and what damages/loss that the Landlord is entitle to remedy.

Usually landlords will only forfeit your rental deposit of 2 months. The landlord is better off looking for a new tenant as he has no loss for the month of Jan (advance rental), Feb (rental deposit) and March (rental deposit). He will only need to worry looking for a tenant for April.

Why did the agent ask for 5 months or 12 months remedy? This amounth is not determined by him nor the landlord. Shouldn't this be determined by the court under any laws or rules of equity against the tenant for any loss or damages incurred by the landlord by reason of premature determination?
 
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#6717
Raymond Chu (General User)
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Re:Early Termination of Rental Agreement - Help Needed 1 Year, 11 Months ago Karma: 5  
The tenancy period is fixed for one year. This means the tenant is obliged to fulfill the obligations to rent the premise for a full 12 months, which is a condition of the tenancy agreement. A stamped tenancy agreement is conclusive on its terms and conditions.

Technically, in the event the tenant is unable to complete the full 12 months tenancy, then, the landlord can commence legal proceedings for breach of contract.

In the event of the breach of contract which can occur by way of frustration of contract namely, by radically changing the nature of the contract upon the tenant's termination of the tenancy agreement before its full 12 months, the event of frustration can render the contract voidable.

Therefore, the landlord can either accept the breach or seek legal action.

From the viewpoints given here, seems you have the compassion and understanding and hopefully, your landlord may be persuaded to accept your reasons to allow you to stop this tenancy. That means you can give notice (at least 2 months notice) to your landlord to stop the tenancy. No further misunderstanding later.

The deposit paid is only meant to be deducted for any missing, defects in the fixtures and fittings or any unpaid bill ie. water and electricity bill and Indah Water sewages bill. The deposit is not supposed to be forfeited if early notification and acceptance by the landlord is evident.

There are some cases where tenants not only refused to pay rental for months but deliberately caused much dismay to the landlord before leaving. Some local situation even have stories behind.

Contact you landlord directly, to find a direct answer.
 
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#6719
KK Chin (Negotiator)
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Re:Early Termination of Rental Agreement - Help Needed 1 Year, 11 Months ago Karma: 7  
Well said Raymond. Very insightful. You have given me another perspective.
 
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#17737
LIEW CHLOE (General User)
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Re:Early Termination of Rental Agreement - Help Needed 1 Year, 9 Months ago Karma: 0  
Dear Mr. Raymond Chu,

Can I get get some guideline from you that I signed a TA from 1/12/09 to 30/11/10. But the owner let us to moved in earlier on 21/11/09 for settle down everything. On the 26/11/09, my car get lost within the compound of the residential. Then I scared of the incident happened, so I did discuss with the owner to terminate the contract before the agreement start on Dec'09. He did allow, just the only things was he won't refund all the security deposit to me.

So it forced me to stayed on. Once stayed on, I'm faced lots of problem to get an access card for parking and entry to those premises. I did informed landlord on it, he pretend to settle with the management office by face to face. He just only instruct me to try to talked to the mgmt office. It takes about 1 months only can proceed & in the same time, the owner did not honest to me that he did required RM150 for the parking deposit. But I get the info from mgmt office that the payment was penalty to the owner as the owner get lost of the access card. Then the owner didn't told me the truth before. So its acceptable by me lastly as a refundable deposit.

So in end of Dec'09, I realised that the electricity bill not received by us. I did called him and ask him to check for me any problem on it as I'm the tenant and I have no authorised to check on it. So he just reply me everything ok, but finally he delay till beginning of Feb'10. I again to email & pre-alert him that I'm still not received any electricity bill. At that moment, he just push all the things to the property agent and ask me check with his agent and try to due with the agent if anything happened. I'm confused on it how come he as a landlord and he can act as pretend to involve on it. Then 1 of the day in Feb'10, when I was after work with my family members and we realised that our electricity being terminated due to overdue from Aug'2009 and the meter being removed from the cable connection.

We're facing 2 days no electricity provided hence I did have 2 kids just only 3 & 5 Years old and he advise me to take candle for temporary for a 'Romantic Candle Night' and ensure to said that should not a problem for me & my kiddies and it force me still continue to stay in because of the security deposit paid. Some more the owner can act as he did requested from me to email him the notification of termination letter even though I'm facing of no electricity. In that time, I ask him to respond on his mis-carriage mistaken and he just told me he made loss from the former tenant for few months rental fees outstanding and also the utility outstanding. I was clearly to talk with him that his loss was not going causes by me and he suppose cannot push all the loss pointed to me.

Finally we did carried out this 'reponsibility issue' until 15th May 2010, I decided to moved out from this unit since the owner did perform his responsibility well. So I did email him a notification of pre-matured termination of TA. He confirmed that received my email via phone conversation but he did not response to me whether he'll refund all the security deposit to me or not. From his agreement, it just have 1 option ie. : the only [option of renew, all the deposit will forfeited if terminated].

Can anybody help me to give me any guidance on this matter? Thanks for info.
 
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#17768
Raymond Chu (General User)
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Re:Early Termination of Rental Agreement - Help Needed 1 Year, 8 Months ago Karma: 5  
My reply will be as stated above.

If the problem of no electricity (basic amenities are implied conditions under the National Land Code) persists without the landlord bothered to rectify, then, this becomes a frustration event that can lead the contract be voidable.

Usually a notice of termination sent to the landlord will be sufficient.

Your rental deposit is to be deducted of all arrears of bills not settled since you moved into this tenanted apartment, not before.

As for the stolen vehicle, a police report should have benn lodged.
 
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#20029
Jürgen (General User)
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Re:Early Termination of Rental Agreement - Help Needed 1 Month, 2 Weeks ago Karma: 0  
How can one escape this contract? Want to terminate the contract now after 1 week but to make sure the landlord does not pursue for 12 month rental.

"Should the tenant desire to determine the term hereby granted the Tenant may only do so after a period of twelve (12) months. The Tenant may then give two (2) months notice in advance, in respect of such termination or two (2) months rent in lieu thereof. In the event that the Tenant terminated the Tenancy within the first twelve (12) months thereof, the security deposit will be forfeited automatically."
 
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#20031
Raymond Chu (General User)
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Re:Early Termination of Rental Agreement - Help Needed 1 Month, 2 Weeks ago Karma: 5  
Well, if one wishes to do so, then, perhaps, it would advisable to check with your agent.

If the tenancy agreement is already stamped, then, to challenge the admissibility of the stamped
agreement, one should be prepared to answer what makes the prospective tenant to sign in the first place.

If the choice is that the tenant is eager to take a 12 mths tenancy, then, unlikely there is any ground to renege on the agreement.

On the other hand, if the choice is not open to the tenant,( which seems highly unlikely to deny knowledge and anticipation), then, such a situation may be deemed to be known as anticipatory breach of contract.

If so, then, the landlord may seek to enforce his rights under the contract and claim damages for the tenant's anticipatory breach of contract. No right of rescission is open to the tenant since it is reasonably foreseeable that the tenant would have foreknowledge of such a consequence in the event the tenant decides later to terminate the tenancy agreement.
 
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