LEASE TERMINATIONS: Protections Under The Servicemembers

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Transcript LEASE TERMINATIONS: Protections Under The Servicemembers

Presented by:
Chelsey M. Golightly
 The Servicemembers Civil Relief Act (SCRA), 50 App.
U.S.C.A. § 535, provides a wide range of protections for
individuals entering the military, individuals called to active
duty in the military, and deployed servicemembers.
 The SCRA is intended to postpone or suspend certain civil
obligations to enable service members to devote full attention
to duty and to relieve stress for family members.
 The SCRA affords protection to individuals:
 Entering the military,
 Called for active duty, or
 Deployed for service.
 The SCRA applies to:
 Outstanding Credit Card Debt
 Mortgages
 Pending Trials
 Taxes
 Telephone Service Contracts (added in October 2010)
 Motor Vehicle Leases
 Real Estate Leases
 A servicemember and his/her dependents may
terminate a lease for a residential, professional,
business, agricultural, or similar use, so long as:
 The lease was executed by the individual entering
military service, or
 During service, the servicemember executes the lease
and receives orders for a permanent change of station,
deployment, or to support a military operation, for at
least 90 days.
 Written notice of termination to the landlord or his/her
agent
 Oral termination is not sufficient.
 A copy of the military orders that activate duty,
permanently change station, or require deployment
 Notice may be given by:
 Hand delivery,
 Use of a private business carrier, or
 US mail, with sufficient postage and return receipt requested.
 Monthly rentals: the termination becomes effective on
the next rental cycle, 30 days after the notice is received.
 Ex: if the rent is due on the first day of each month, and
notice is mailed on August 1, then the next rental payment is
due and payable on September 1. Thirty days after that date
would be October 1, the effective date of termination.
 All other leases: the termination becomes effective on the
last day of the next month after notice is received.
 Ex: if the lease requires a yearly rental and proper notice of
termination is given on July 20, the effective date of
termination would be August 31.
 The SCRA does NOT extinguish liability from unpaid rental
amounts or charges that accrued prior to the effective date
of termination.
 Any unpaid amounts are to be paid on a prorated basis.
 A landlord may NOT charge an early termination fee,
however, he/she may charge for:
 Unpaid taxes, summonses, or other obligations, including
reasonable charges for wear and tear.
 Conversely, any rent paid in advance shall be refunded no
later than 30 days after the effective date of termination.
 A landlord cannot withhold or attempt to interfere
with personal property once the lease is lawfully
terminated. The landlord:
 Must return the security deposit and
 Cannot withhold personal property as a claim for
accruing rent or unpaid charges.
 A landlord can challenge the termination, but ONLY
before the termination date stated in the notice.
 When terminating a lease for a premises, it MUST be
in writing with a copy of the military orders attached.
 Proper notice MUST be given to the landlord.
 A servicemember remains liable for any unpaid rents
that have accrued prior to the effective termination
date.
 A landlord may NOT charge an early termination fee
and MUST return any rent paid in advance and any
security deposit.