An Overview of Lease Agreements in Colorado
Lease agreements serve as the primary document that propels a landlord-tenant relationship forward. It is the outline of responsibilities, rules, and rights that both parties are expected to follow in the course of their relationship. In Colorado, lease agreements, sometimes referred to as rental agreements, can be either written or verbal, but a written lease is strongly encouraged. A written lease agreement is enforceable from the moment the parties sign the document.
In Colorado, many lease agreements are in adherence with the Colorado Apartment Association (the "CAA") forms. Many elements of a CAA lease serve to protect the rights of both the landlord and tenant. As a result, when conflict arises between parties on a CAA written lease, the CAA language will define whether the tenant or landlord is required to follow certain processes on issues such as: making repairs , providing notice before entering a tenant’s unit, collecting rent, late fees, and early termination provisions.
The lease agreement is not a "one-size-fits-all" document and many landlords and tenants will negotiate certain terms or add additional provisions to improve upon the standard form lease. However, it is important that a tenant understand how certain negotiated changes impact their overall rights. For instance, if a tenant decides to negotiate rent as part of the deal because they require a lower monthly payment, they may also be negating some of their rights arising out of the lease. In those cases, the tenant must be fully informed of how any changes they make to a CAA lease impact the rest of the lease as enforced by the CAA. Tenants considering signing a lease that deviates from a CAA lease should consult a real estate attorney in order to understand these changes.
Legal Justifications For Breaking a Lease In Colorado
Common Legal Grounds for Breaking a Lease in Colorado include:
- Is your home a danger to your health or safety? If your home is a serious risk to your health or safety, i.e. a leaky roof, flooding, lack of heat, a toxic substance in the water, or black mold, you may have lease breaking rights. But understand that Colorado law is not favorable to tenants. On its face, the law says that if something needs to be fixed that is dangerous to your health, safety, or is uninhabitable, you are required to give your landlord 14 days to make the proper repairs. In other words, under the Colorado law, it says you have to give your landlord two weeks before breaking your lease. In reality, the law allows you to break your lease, but you cannot simply send an e-mail or text message to your landlord saying you are breaking your lease. You are required to give your landlord legally sufficient notice under the statute.
- Domestic violence. A tenant who is a victim of a domestic violence or an abuse relationship has the right to break his or her lease and not be held liable for rent during the notice period. Under Colorado law, a tenant must provide "reasonable" notice to the landlord.
- Military duty. If you serve in the military and are called up to active duty, you have the legal right to break your lease.
- Landlord Harassment. If your landlord or its agents harass you and do not provide you with quiet and peaceful enjoyment of your apartment, you might have the right to break your lease early. Quid pro quo must be proven, however.
Notification Obligations for Breaking a Lease
The law in Colorado requires that to legally break a lease, the landlord must also violate the lease, which gives the tenant the right to default on the lease. The lease becomes broken automatically if the tenant gives the landlord the opportunity to fix the issue.
For example – the lease says that a large dog is not allowed. If a tenant has a large dog, you would give them 10 days to correct the problem. You must give the tenant 10 days to correct a violation of a lease provision, and then file a lawsuit for forcible entry and detainer (eviction), with the right to obtain possession.
A notice to tenants that they have violated a condition of the rental agreement is required by the following provisions of your Colorado lease: §13-40-107(3). It states that "after service of the notice that a condition of rental agreement has been violated, the tenant has ten days … to remedy the condition described in the notice. If the tenant fails to do so, the landlord … may give the tenant … a notice requiring the tenant to vacate within four days …." See also §13-40-107.5.
The notice must be given in person, by telephone, or by mailing it to their home. It appears that the notice may or might not need to be certified mail. This is unclear from the statute. The bottom line is that you must provide a copy of the notice so that the tenant is informed that a condition in the rental agreement has been violated, unless the rental agreement allows for delivery by e-mail.
If the tenant does not comply, you must wait until the 10 days have passed. Once the period is over, if the tenant has not remedied the problem, you can fill out form DC-21, Notice to Quit for Violations of Rental Agreement.
Leave a copy of this form with the tenant or send it to them via e-mail or regular mail. Give the tenant the same time period as the lease allows them to remedy the violation, or 10 days, whichever is longer.
If they don’t leave by the end of the 10-day period, you can file for forcible entry and detainer.
Possible Repercussions of Lease Termination
The most common penalty associated with breaking a lease is the loss of your underlying security deposit. What’s less common, yet nonetheless likely, is being on the hook for lost rent payments until a new tenant moves in. In other words, while they can’t charge you lost rent between the time you move out, and the time a new tenant moves in, they will be able to charge you lost rent for the entire time a unit is sitting empty because you vacated without notice. Furthermore, they can legally charge you for re-letting their unit, which includes cleaning, advertising, and application costs. Depending on how long you were on the lease, this could add up to a significant sum. To make sure you don’t faultlessly lose your security deposit, call your landlord well in advance of when you need to be out. Give them your expected last day on the lease, and if necessary, ask about being released early. In general, landlords are inclined to work with you if they have enough notice to do so. If you paid a security deposit, the landlord must return it to you and/or provide a written explanation of damages. A Colorado landlord cannot retain any of your security deposit if you break your lease to avoid domestic violence or sexual assault. In such cases, even if you owe rent per the terms of the lease, it is illegal for the landlord to take your security deposit. Breaking a lease without a legal reason may also hurt your credit rating. Your landlord has every right to report unpaid rental balances to the credit bureau of their choice, which means you may have a harder time renting an apartment in the future. That’s not all that could happen. Alternatively, your landlord may decide to sue for damages. If you break your lease 2 months early (Bryce’s lease costs $1,200) the landlord could show up at the small claims court with $2,400 in damages-$1,200 for the lost two months of rent, plus $1,200 in re-letting damages. Other likely costs include outlays for the attorney fees associated with filing the action, lost productivity, or consulting with an attorney before trying to sue in the first place. With all the issues above, particularly if your landlord has decided to sue for damages, you should consult with an attorney before acting.
Comments For Successfully Negotiating Lease Termination
Once you become formally aware that you have a legitimate legal basis to break your lease without being subject to lease break charges or other penalties, the next step is to determine your next course of action. In most cases, this means negotiating a resolution with your landlord to amicably terminate your lease. In many cases, the law will permit you to end your residential lease without penalty. But it is important to be as accommodating as possible as you negotiate any arrangement with your landlord concerning your lease, especially if you want your landlord to return your security deposit in a timely and full manner. With that in mind, below are the top tips for negotiating a satisfactory resolution with your landlord . Communicate clearly with your landlord and keep written records. Be professional at all times and ensure that you keep a copy of everything that you send out and receive, including text messages. Follow up all verbal conversations with an email or standard letter confirming what you discussed (and the agreements you made) in writing. Document everything. Your attorney will need as much documentation as possible to prove your legal right to terminate your lease without penalty. Be reasonable with what you are asking your landlord for. A lot of landlords will extend a courtesy if you give them enough notice. For example, if you can pay a few more months in rent and then terminate your lease, this may enable your landlord to find a new tenant and to avoid financial burden.
Calling Upon An Attorney for Help with Lease Issues
When facing eviction or any lease dispute, knowing your options is crucial to protecting your rights as a tenant. The most effective way to ensure you understand your available legal remedies and how they pertain to your specific situation is to seek the legal counsel of an experienced Colorado landlord-tenant lawyer. Our team at Haller Law has extensive experience in helping tenants successfully terminate their lease agreements, and can help you achieve the best outcome possible in your case. We will inform you of your rights, and fight for you to help ensure those rights are not violated in any way. When you are ready to discuss your legal options, give our team a call and schedule a free consultation.
Conclusion: Breaking a Lease in Colorado
When faced with the prospect of breaking a lease, tenants must first and foremost seek to thoroughly understand their lease agreements . Colorado law provides various justifications for terminating a lease without penalty, so tenants are encouraged to consult competent legal professionals if they believe they have grounds to terminate their lease early.