Bailing on a lease one day after signing: implications?

March 24, 2009 8:31 AM

I desperately want to bail on a lease one day after signing. I let the landlord know and she is freaking out and threatening to sue me if I don't pay first and last. Is there anything I can do to get out of this?

Location is Toronto, Ontario. CA.

Signed a lease for an apartment yesterday in haste, to get out of a very bad domestic situation. (it was the first showing of the apartment)

After talking to my parents, I decided that, even though i'm 27, i will move back home to the 'rents for a while to get back on my feet and save some money (I am a part-time student).

I let the landlord know almost immediately, and now she is freaking out, saying that if I don't pay first and last she will take legal action.

Is anyone familiear with landlord/tenant laws in Ontario, and if so please provide me with some advice.....

posted by Waterbear to law & government (12 comments total)

Call the Landlord and Tenant Board.

Hope you can get out of that lease. I have an apartment I'm going to lease, and I can't imagine treating anyone like that one day after signing. Christ in a bucket, lady, rip the lease up and find someone else. Happy, long-term tenants are an asset you don't acquire through force.
posted by orange swan at 8:43 AM on March 24

Previously (with the correct jurisdiction and everything.)
posted by Johnny Assay at 8:58 AM on March 24

For what it's worth, under general contract laws (no clue if Toronto landlord-tenant law would supersede this in any way, or if the lease has a term modifying this), you would generally only be responsible for the landlord's actual damages, meaning the rent she loses during the actual time the apartment is vacant. And the landlord has a duty to mitigate the breach, meaning if she can rent it out again quickly there might be no actual damages. (I am a lawyer, but this is not legal advice; consult competent counsel.)
posted by raf at 9:23 AM on March 24

I don't think you can bail successfully. Signing a lease prevents the landlord from exactly this case, where a tenant changes their mind.

A gracious landlord who was more worried about their company's image than the money would possibly let you out, but there is no legal requirement for them to do so at all. Cooling off periods do not apply to residential rentals as far as I know.

By signing the lease, the landlord may have canceled other showings of the apartment. Now, because of your actions, the landlord has to do more work to finish the job they thought was completed. Certainly not first and last month's rent worth of work, but if that was the punishment for breaking the lease, and you agreed to the lease, then you agreed to the punishment.

This may have to be a life lesson that you pay first and last month's rent to learn.
posted by Meagan at 9:28 AM on March 24 [1 favorite has favorites]

I do agree with raf that if you find a replacement tenant, the amount of time between it not being occupied and occupied would be significantly smaller and should result in you not paying first and last month's. I second the advice to hire a lawyer.
posted by Meagan at 9:30 AM on March 24

In my state, you have a three day grace period to bail out of any contract involving money, including leases of all kinds, mortgages, etc. You might want to check and see if there is a similar grace period in your location.
posted by anastasiav at 9:40 AM on March 24 [1 favorite has favorites]

Yeah... seconding anastasiav, in the USA there's a three-day grace period to cancel any contract - check out the rules in Canada. But, you better send a letter registered mail to confirm it that you are canceling the lease, otherwise you might lose out in court.
posted by paperzach at 10:32 AM on March 24

Does your school have an ombudsman? Or a law clinic? Maybe they can help.
posted by radioamy at 10:49 AM on March 24

In my state, you have a three day grace period to bail out of any contract involving money, including leases of all kinds, mortgages, etc. You might want to check and see if there is a similar grace period in your location.

The folks in the thread I linked to above seemed to conclude that no such protection exists in Ontario.
posted by Johnny Assay at 10:57 AM on March 24

in the USA there's a three-day grace period to cancel any contract

That's not quite right...some states may have this but it's not a federal law, and most states' versions of the cooldown period are fairly limited. In MA, for example, there is a three day cool down period for purchase contracts but only for buying things that are not being sold in the seller's usual place of business--it applies to door-to-door sales, things like that.
posted by phoenixy at 11:55 AM on March 24

so.. a lot of these comments sound like not great options eh? Though the lawyer guy up there was alright, pretty optimistic for one of them law talkin guys. (ehhhh, no offense raf)

But hey, if she's really gonna make you pay first and last, just go ahead and live there 2mos, it's gotta beat the parent's house, which you can move into soon enough! Evil landlady might actually be amenable to that too.
posted by qbxk at 3:23 PM on March 24

A bit late to the game, but it might be worth a shot: ask if you can either assign the lease or sublet to somebody else.

If the landlord refuses, point blank - and it would be best to get this in writing - you get a free pass on the lease (after filling out some paperwork) because it's your right to be able to do both things. The landlord has a right to vet potential assignees/subletters, but not to refuse outright.

This is the case even if your lease says otherwise -- so, check to see if your lease says otherwise (in which case the landlord is likely to refuse, and thereby give you a free ticket out of there).
posted by astrochimp at 6:30 PM on March 26