What is the correct way to terminate our lease early due to job relocation?
Full Question:
Answer:
A security deposit is deemed to be security for any damage to the premises or non-payment of rent, sdepending on the terms stated in the lease. If the contract doesn't specify the security deposit may be applied to the last month's rent, the security deposit does not relieve the tenant of the duty to pay the last month's rent. The security deposit must be returned to the tenant upon vacating the premises, if no damage has been done beyond normal wear and tear and the rent is fully paid. If the lease is terminated early without the consent of the landlord, the landlord may use the security deposit toward unpaid rent owed for the remainder of the lease term, and sue for damages beyond what the security deposit covers.
As a practical matter, a landlord probably can’t do much about a tenant who doesn’t pay the last month’s rent and expects the deposit to cover it, assuming the early termination is with the consent of the landlord and there is no damage or unreasonable wear and tear to the property. Although the landlord could try to evict the tenant for non-payment of the last month’s rent, the odds of getting an eviction judgment before the end of the month are not high. However, the landlord may still seek damages for amounts due beyond the security deposit amount for damages to the property or unpaid rent owed, such as rent owed for the remainder of the lease term when terminated early without the landlord's consent.
The following is an IL statute:
(765 ILCS 710/1) (from Ch. 80, par. 101)
Sec. 1. A lessor of residential real property, containing 5 or more units, who has received a security deposit from a lessee to secure the payment of rent or to compensate for damage to the leased property may not withhold any part of that deposit as compensation for property damage unless he has, within 30 days of the date that the lessee vacated the premises, furnished to the lessee, delivered in person or by mail directed to his last known address, an itemized statement of the damage allegedly caused to the premises and the estimated or actual cost for repairing or replacing each item on that statement, attaching the paid receipts, or copies thereof, for the repair or replacement. If the lessor utilizes his or her own labor to repair any damage caused by the lessee, the lessor may include the reasonable cost of his or her labor to repair such damage. If estimated cost is given, the lessor shall furnish the lessee with paid receipts, or copies thereof, within 30 days from the date the statement showing estimated cost was furnished to the lessee, as required by this Section. If no such statement and receipts, or copies thereof, are furnished to the lessee as required by this Section, the lessor shall return the security deposit in full within 45 days of the date that the lessee vacated the premises.
Upon a finding by a circuit court that a lessor has refused to supply the itemized statement required by this Section, or has supplied such statement in bad faith, and has failed or refused to return the amount of the security deposit due within the time limits provided, the lessor shall be liable for an amount equal to twice the amount of the security deposit due, together with court costs and reasonable attorney's fees.
