Terminate lease. - Landlord Forum thread 323698

Terminate lease. by UpInArms (California) on September 3, 2014 @01:45

2 part question:
There was a fire at the duplex that I own.(Calif.)
Can I immediately break the lease with the tenants, pay them back the pro rated portion of the rent for unoccupied days and fully refunding the deposit?
It is going to take months to rebuild the place, the units were totally destroyed.
One tenant had renters insurance,and was covered. But the other did not purchase any renters insurance, and now wants to sue me for his losses.
What Is my exposure going to be for the tenant with no insurance?

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Re: Terminate lease. by Kim (WV) on September 3, 2014 @02:33	[ Reply ]

I suggest you talk to your attorney. If you aren't responsible for the losses of the tenant who had no insurance, have your attorney write a letter to him/her telling them so. While you're at it, ask the attorney about the lease breaking. I would assume you can, since the duplex is no longer inhabitable (i.e. totally destroyed) but I'm not an attorney and I don't know about the CA LL/T law ins and outs.

Re: Terminate lease. by Anonymous on September 3, 2014 @07:52	[ Reply ]

you have to provide housing to them. you need ask them where they like to move, and then you need to make that place available for them. next I have to move a tenant into the revel in ac because they want sue me in the court of law if I don't

Re: Terminate lease. by Garry (Iowa) on September 3, 2014 @09:13	[ Reply ]

Yes, all leases are considered canceled by/for both parties when a fire or a flood occurs that destroys everything, and makes the property no longer habitable by anyone. The Ts are responsible for the prorated rent up to the day before the fire/flood. And, yes, you must return their full deposit , and the portion of the rent which was paid, but unused, after the fire happened. If you are a really nice LL, you could return all their rent to them for that whole month. Unless YOU were negligent in some way, that could have started the fire, you are not liable for the Ts losses, whether they had insurance or not. That is what the renters insurance is for. The T could try to sue you, but he would have only about a 5% chance of winning. ( this is where you could maybe help yourself out by giving the Ts back their full month of rent ------ all of you have monetary losses, but the Ts have personal and sentimental losses as well. ) To be on the safe side, contact your insurance co. and also an attorney to be sure of your options and obligations.