Cancellation of lease question

[kir]

Hi, a tenant had a one year lease and it expired on May 1, 2019 (fix leased expiration date).
However, in early April , a lease extension was signed to resume another year, May 1, 2019 to 2020 (fixed term).
However, on April 24, 2018 the tenant provide proper notification to cancel the renewal, due to a change of heart.

It notice to cancel on April 24, 2018 should be sufficient notice to not enter another fixed year lease right?

So is the renewal no longer effective, or not valid?

Thanks,

K.

 

[Thomas Beyer]

What province is this? If another year lease was signed then it is a valid lease, however if they break it you have to make an effort to release it. How hard will this be?


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[kfort]

Advertise today. Now. When you’re done reading this.

IF you have a fully SIGNED lease agreement extension inform tenant you will do you best and have already listed it on rental sites but that you have a signed and enforceable agreement in place. Let them know you plan to enforce it as the law allows. Use firm but friendly language. Mention consequences such as CoQB judgements that are searchable and may prevent them from obtaining credit in the future.

And next time mention all of these things during screening and lease signing to PREVENT this problem as opposed to solving it.

Edit: sp
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[kir]

It is in Edmonton, AB. So if a renewal was signed, and a few days later, the tenant can't go back and undo it. The effective date of the renewal is may 1, 2019 and notice to change or cancel was two weeks ago).

I'm not sure of the tenancy rules on this one.

 

[kfort]

Renewed lease = legally binding. Be sure whatever form you had them sign is in line with the local Act. From what you’ve described, you can enforce the lease & they’re on the hook for it until you find a new renter. Get it advertised immediately.


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[kir]

thanks, good info.

 

[Martin1968]

How much energy do you want to put into this?. Yes the lease is a binding lease but if they walk then what are you willing to do. Basically with the new lease in place and him or her moving out you can keep the security deposit (based on the signed but broken lease)
You have a month to lease it without any loss and with a bit of luck you can lease it May 1 or any day there after and calculate prorated for May and pocket some extra.
That is of course if the market is favourable to you and your rental accommodation is easy to rent.

 

[kfort]

It’s true, not worth a ton of time. But a strongly worded letter MIGHT get you May rent (if they can afford it).

Get it advertised, press as hard as you see fit to get them to waive their dd and/or pay rent for May / June etc.

Prevention > solution


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[kir]

Actually, I was trying to help out another tenant. He re-signed, but later want's to back out. He provided notice before the annual due date. I thought that was sufficient. However, it's still up to the landlord to grant a cancellation. The tenant was good, paid one year and was a good tenant. However, as you stated, and Service Alberta also stated the same, that the renewal is legally binding...can't really back out even if the move-in date is in the future. It's up to the landlord.

Personally as a landlord, I would grant the cancellation. I would hate to deal with an unhappy tenants and I would never allow a tenant to find another tenant to replace...(might cause even more problems).

 

[Matt Crowley]

@kfort has it right. You have an enforceable contract but it is basically of next to no value. The onus is now squarely on you to show that you are advertising the suite, have viewings, and are doing everything to mitigate your damages. Find out if the tenant has rented another place. Reading between the lines, I expect they just found something cheaper.

However... I would file with RTDRS immediately. The court date will probably be 6 weeks out. By then, the place will be rented and you should charge the tenant for the entire amount of the lost rent plus a releasing fee plus cost of the $75 application. No chance I would let them off the hook for nothing.

It is the LL job to mitigate. Conceivably, if you have to rent the suite for less per month then you can claim for the amount that the signed lease is less than the contracted rate as well. I would explore that option as well.