Breaking a Lease Early in Montana

Breaking a Lease Early in Montana

Last Updated: September 11, 2023 by Phil Ahn

In Montana, a tenant can end a fixed-term lease early without penalty if one of several conditions are met, such as a privacy violation by the landlord. If none of the conditions are met, the tenant is liable for all remaining rent until a new tenant is found.

1. Active Military Duty

A tenant can break a lease early, without penalty, because of military duty in Montana. Under federal law, active service members who move due to deployment or a permanent change of station can break their lease early . This protection begins on the date in which the tenant enters active duty and ends between 30-90 days after the date of discharge.

’note’

This right cannot be waived. Any lease clause attempting to is unenforceable.

What Qualifies as Military Duty?

To qualify to break a lease early in Montana for military duty, all of the following conditions must be met :

  1. Servicemember Status. A tenant must be an active duty member of the military, Reserve, National Guard (mobilized under federal orders for more than 30 consecutive days), or be a commissioned officer of the Public Health Service or the National Oceanic and Atmospheric Administration.
  2. Deployment. The tenant must receive a permanent change of station (“PCS”) order or deployment orders for a period of at least 90 days.
  3. Prior Signed Lease. A tenant must have signed the lease prior to active military service.

How to Prove or Verify Military Duty

To prove or verify military duty in Montana, a tenant should give the landlord both of the following documents:

  1. A military ID (example) and
  2. Permanent Change of Station (PCS) orders (example) OR a letter from the tenant’s commanding officer (example)

If a landlord doubts the authenticity of a tenant’s request to terminate a lease due to military duty, the landlord may submit a Record Request to obtain a report certifying active duty status of a tenant. However, the landlord must create an account to use the Record Request.

How to Terminate a Lease Due to Military Duty

A tenant must provide the landlord with a written notice and proper documentation to terminate a lease early for military duty. The lease will not terminate immediately. The tenant can terminate the lease within 30 days from when the notice is delivered.

For example, if the notice was delivered on the 23rd of March and the rent is due on the 1st of each month, the earliest the lease can terminate is May 1st. Therefore, rent is still due for the month of April.

2. Early Termination Clause

In Montana, an early termination clause can allow a tenant to break a lease early, without penalty. A tenant could only break the lease if an early termination clause exists in the agreement. In Montana, a landlord is not required to include an early termination clause.

A tenant may be able to terminate a lease early in exchange for paying a penalty through an early termination clause. An early termination clause will allow a tenant to break the lease after 30-60 days of providing notice.

Early Lease Termination Agreement

Not all leases contain an early termination clause. If this is the case, and both the landlord and tenant want to end the lease, they may mutually agree to end the lease. The landlord and tenant would write the terms of the termination agreement, sign it, and begin complying with the agreed upon terms to terminate the lease.

3. Domestic or Sexual Violence

A tenant can break a lease early, without penalty, because of domestic violence in Montana. Under Montana law, tenants who are victims of domestic violence, sexual assault, stalking, or sexual abuse are protected as long as the tenant can provide the landlord with proof of abuse .

’note’

This right cannot be waived. Any lease clause attempting to is unenforceable.

What Qualifies as Domestic Violence?

In Montana, for an act of domestic violence to qualify as grounds for breaking a lease, all must be true:

  1. It is committed against the tenant or child of a tenant by a household member
  2. It is intended to result in harm, injury, or sexual assault OR it reasonably places the victim in fear of imminent harm or assault

How to Prove or Verify Domestic Violence

A tenant can prove or verify domestic violence by providing the landlord with one of the following:

  • Documentation of the stalking, assault, or abuse from a licensed healthcare provider or someone who is otherwise qualified
  • A copy of a court issued:
    • Temporary injunction
    • Temporary ex parte order
    • Protective order or
    • An order of emergency protection

Court documents are not public record and therefore, a landlord cannot request them from the court. However, court documents are signed and stamped by a judge; so a landlord may verify them by looking at a list of current judges in the state.

To further verify if the court documents are legitimate, a landlord may call the court and ask for the clerk to confirm that the order was issued.

A licensed healthcare provider or someone who is otherwise qualified will sign documents related to domestic violence. Although the provider will not talk to the landlord about the contents of the documents, the provider will be able to verify the validity of the documents.

How to Terminate a Lease Due to Domestic Violence

To terminate a lease early for domestic violence in Montana, a tenant must provide the landlord with proper documentation and 30 days’ written notice of termination. The tenant remains liable for any damage done to the rental unit as well as the rent due for the final month.

4. Uninhabitable Living Conditions

In Montana, a tenant can break a lease early, without penalty, due to uninhabitable living conditions if all of the following are true:

  1. Certain health and safety codes are not met
  2. The tenant notifies the landlord about the issue
  3. The landlord fails to make repairs within a reasonable period of time
’note’

This right cannot be waived. Any lease clause attempting to is unenforceable.

What Qualifies as Uninhabitable Living Conditions

In Montana, certain statutes set forth specific instances that qualify as uninhabitable living conditions. To start, a unit must fail to meet certain physical health and safety standards under the implied warranty of habitability that are not as a result of the tenant’s actions or negligence.

Here are a few examples of minimum habitability requirements that a landlord must provide:

  • Clean common areas
  • Safe working order of electrical and plumbing services
  • Adequate supply of running water
  • Maintain appropriate conveniences for removing garbage

Any situation that materially affects the physical health or safety of an ordinary tenant makes that rental unit uninhabitable. For example, if the rental unit contains dangerous mold, it will be considered uninhabitable.

To break a lease for uninhabitable conditions, the landlord must notify the landlord. The notice must be in writing of the condition. Landlords have 14 days to repair the problem.

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How to Prove or Verify Uninhabitable Living Conditions

In Montana, to prove or verify uninhabitable living conditions, a tenant must show all of the following:

  1. Proof of the issue (i.e., a photo)
  2. Proof the tenant gave notice of the issue to the landlord (i.e., certified mail)
  3. Proof the issue remains

Upon receiving notice, the landlord may verify the conditions by inspecting the property. If the tenant intends to make the repair themselves, the tenant must provide the landlord with a copy of the repair bill and receipt for the payment.

How to Terminate a Lease Due to Uninhabitable Living Conditions in Montana

If a tenant wishes to terminate their lease early due to uninhabitable living conditions, they must notify the landlord in writing. The letter should state that they are terminating the lease due to the landlord’s failure to address the conditions, and if possible, include evidence of the violation and a repair request notice.

The tenant is entitled to a prorated refund of rent from the date of termination or the date the tenant moves out, whichever is later.

If the landlord disputes the legitimacy of the uninhabitable conditions, they may file a complaint with the Montana District Court asking a judge to determine whether the unit is truly uninhabitable.

5. Tenant Death

In Montana, a tenant’s estate can terminate a lease early, without penalty, if a tenant dies before the expiration of a lease.

’note’

This right cannot be waived. Any lease clause attempting to is unenforceable.

What Qualifies as a Tenant Death?

According to Montana law, if the tenant who signed the lease was the sole occupant and over 18, their death would be considered a valid reason to terminate the lease. If there are minors living with the deceased tenant, the landlord will make arrangements with their new legal guardian(s).

How to Prove or Verify a Tenant Death

The estate may provide the landlord with the deceased tenant’s death certificate as evidence of tenant death, or the landlord may obtain the tenant’s death certificate from the Montana Department of Health and Human Services upon request.

The personal representative of the deceased tenant’s estate, who may also be referred to as an executor or administrator, should provide the landlord with a copy of the tenant’s will or a court order that identifies the individual and describes their role as the estate’s representative.

How to Terminate a Lease Due to a Tenant Death in Montana

If a representative of the estate wishes to terminate a lease early due to tenant death in Montana, they must provide the landlord with written notice within a reasonable amount of time, remove the tenant’s property from the premises, and sign an inventory of the removed property.

Termination of the lease is not effective immediately. The lease becomes a part of the tenant’s estate, and the manager of the estate will decide whether to continue or terminate the tenancy.

The tenant’s estate will still be responsible for any past due rent and any damages to the premises that are beyond normal wear and tear. Until the lease is officially terminated, the tenant’s estate will still be responsible for rent.

6. Unenforceable or Voidable Lease

In Montana, a tenant can break a lease early without penalty if there are unenforceable clauses or provisions that make the lease voidable . Specifically, a tenant can break a lease early if the lease was signed under duress, if the tenant is a minor, or if the unit is illegal.

’note’

This right cannot be waived. Any lease clause attempting to is unenforceable.

What Qualifies as an Unenforceable or Voidable Lease

In Montana, a lease would be deemed unenforceable or voidable if any of the following are true:

  • A tenant was forced to sign the lease under duress. Duress is a defense to a signing when there is coercion by means of physical force or an unlawful threat that eliminates one’s free will to do what they want.
  • The party signing the lease is a minor. In Montana, a minor is someone under the age of 18. With regards to leases, anyone can sign one, including a minor. But because leases are generally viewed as contracts, and a minor cannot be bound by their contracts, the law will automatically allow the minor to cancel, or “void” the contract. The minor can choose whether to honor the contract or void the obligation.
  • The unit is illegal. An illegal unit is one that is used for residential purposes, but is not registered with the proper authorities as required by law. These are units that don’t comply with legal requirements for housing, such as too-low ceilings, no address, no dedicated gas/electric meter, or improper electrical systems.

How to Prove or Verify an Unenforceable or Voidable Lease

In order to demonstrate  that a lease was signed under duress, a tenant must prove that they are not acting of their own free will when they signed it. Duress can be evidenced by threats of harm or physical violence, but the tenant must also prove that those threats were the reason they signed the lease. After that, the burden of proof shifts to the other party, who must demonstrate that the tenant was not coerced into signing the lease.

To prove or verify that the party signing the lease was a minor, the easiest way will be to prove documentation of a birth certificate showing exactly when the tenant was born. Once confirmed as a minor, they will then be given the choice of whether they want the lease to be void.

To prove or verify that the unit is illegal, a tenant can search public files at the local housing inspection department or agency. A tenant can search these files online by locating the “Certificate of Occupancy” document. Generally, every city or county will have a database where an individual can input the address of the property in question. Simply search “[the county or city name] + certificate of occupancy.”

How to Terminate a Lease Due to an Unenforceable Clause or Void Lease

If a lease is considered void or unenforceable, the lease is immediately terminated and it is as if the lease was never signed. Therefore, the tenant can move out immediately and does not have to pay rent anymore.

Furthermore, because the agreement is viewed as never in existence, any security deposits paid should be returned. The first step is asking the landlord to return the security deposit. However, if the landlord claims they do not owe money, a tenant may have to resort to filing a lawsuit in small claims court.

7. Landlord Harassment or Privacy Violation

In Montana, a tenant can terminate a lease early due to landlord harassment or privacy violations . However, a court must determine whether landlord harassment occurred before a tenant can break the lease.

What Qualifies as Landlord Harassment

In Montana, the following behavior qualifies as landlord harassment:

  • Landlord Entry. Montana requires landlords to provide notice (generally 24 hours) before entering a tenant’s home. Repeatedly entering a tenant’s home without notice qualifies as landlord harassment.
  • Constructive Eviction. A landlord cannot remove exterior windows or doors, turn off utilities or change the locks without prior tenant permission under Montana law. This type of behavior constitutes constructive eviction and qualifies as landlord harassment in Montana.
  • Refusing to Make Necessary Repairs or Maintain the Property. Under the implied warranty of habitability, landlords cannot simply refuse to make repairs or intentionally delay maintenance needs. Doing so opens up the possibility of landlord harassment compensation.
  • Engaging in Discrimination. Under the Fair Housing Act, a landlord may not discriminate against a tenant based on race, religion, national origin, and gender. This type of behavior qualifies as landlord harassment.

How to Prove or Verify Landlord Harassment

A tenant may prove or verify landlord harassment by keeping written records of any harassment or taking photos, if possible. At the hearing, a landlord may be able to counter this with similar evidence.

For example, a tenant may provide a court with pictures of an exterior door with no locks. In turn, the landlord may present evidence that the landlord was required to change the locks and show the court a receipt from a locksmith with an installation date for a new lock.

How to Terminate a Lease Due to Landlord Harassment

To terminate a lease for landlord harassment, a tenant must get court permission. The tenant must file a complaint with the Montana District Court.

Upon receiving the complaint, the District Court will timely review the documents and notify the parties whether the filing is accepted or rejected. The court will set a hearing, where the court will determine if landlord harassment occurred and if the lease should be terminated. The landlord and tenant are bound by the findings of the court.

8. Mental or Physical Disability

In Montana, as with all other states, a tenant can break a lease early, without penalty, because of a mental or physical disability.

Practically speaking, a tenant with a disability could request to terminate the lease if they are no longer able to function in a regular rental unit and need specialized care.

’note’

Not all physical and mental disabilities may meet the requirements for terminating a lease early.

What Qualifies as a Physical or Mental Disability?

Both the Fair Housing Act and the Americans with Disabilities Act (ADA) provide protection to individuals with disabilities, allowing them to request reasonable accommodations. Reasonable accommodations refer to modifications, changes or exceptions made to policies, practices, or services to ensure individuals with disabilities have an equal opportunity to enjoy their living space.

An individual is considered to have a disability if they have a physical or mental impairment that significantly restricts one or more major life activities. The impairment must be documented, which may include hospitalization records and documented time off as a result of the disability.

A physical or mental impairment includes diseases and conditions such as:

  • Epilepsy
  • Autism
  • HIV
  • Diabetes
  • Visual, speech or hearing impairments
  • Multiple sclerosis
  • Muscular dystrophy
  • Heart disease
  • Cerebral palsy

How to Prove or Verify Physical or Mental Disability

When proving or verifying disabilities, there are two methods by which to do so:

  1. The disability is obvious and apparent. If a person’s disability and need for the requested accommodation is obvious and readily apparent, then the landlord may not request any additional information. These would most likely be physical impairments that one could easily identify as being limiting to the tenant.
  2. Request verification of disability. If the disability and the need for the requested accommodation is not so obvious and readily apparent, the landlord can only request information that is necessary to evaluate the disability. Provided information will generally be from a medical professional or reliable third party who is in a position to know about the individual’s disability. These disabilities would usually encompass some sort of mental disability.

How to Terminate a Lease Due to a Physical or Mental Disability

Under the FHA or the ADA, a tenant with a qualified disability can request early termination of their lease as a reasonable accommodation. Once the landlord receives this letter, then they will terminate the lease.

However, if the landlord refuses to honor the tenant’s legitimate request for early termination, the tenant may need to file a Fair Housing complaint or take legal action.

9. Landlord Retaliation

In Montana, a tenant can break a lease early, without penalty, if a landlord retaliates against the tenant . Montana law does not allow a landlord to retaliate against a tenant for exercising their rights under the law.

What Qualifies as Landlord Retaliation?

Montana law sets forth specific instances that qualify as landlord retaliation. First a tenant must do one of the following:

  • Exercise or attempt to exercise their rights under the law
  • Request a repair or remedy under law or the lease
  • Complain to a governmental entity responsible for enforcing building or housing codes, a public utility, or a civic or nonprofit agency

After a tenant exercises one of these rights, any of the following actions may qualify as landlord retaliation:

  • Filing, or threatening to file, an eviction proceeding
  • Banning the tenant from common areas
  • Decreasing services (e.g., shutting off heat or hot water)
  • Refusing to make repairs
  • Increasing rent
  • Terminating the lease

How to Prove or Verify Landlord Retaliation

In Montana, a tenant can establish a case for landlord retaliation by providing evidence of the rights exercised under the law. This could include documentation of a complaint filed with a governmental agency or a copy of an eviction proceeding or an altered lease.

However, if the landlord can prove that the action was not taken for purposes of retaliation, they will not be held liable. This would require the landlord to provide evidence that they intended to take the same action before the tenant’s actions.

A landlord may also show that they exercised certain lawful rights through any of the following:

  • Increasing rent under an escalation clause in a written lease for utilities, taxes, or insurance
  • Increasing rent or reducing services as part of a pattern of rent increases or service reductions for an entire multi-unit building
  • An otherwise valid eviction or lease termination because the tenant is delinquent in rent, intentionally damages property, or materially breaches the lease

How to Terminate a Lease Due to Landlord Retaliation

To terminate a lease for landlord harassment in Montana, a tenant must get court permission. To do so, the tenant must file a complaint or petition with the Montana District Court.

After the landlord files an answer to the complaint, the court may set a hearing. If a court finds that landlord retaliation occurred, the tenant may terminate a lease and the landlord may be liable for monetary damages.

For example, by law, a tenant may recover one month’s rent plus $500, plus court costs and reasonable attorneys fees as well as moving costs (less any delinquent rents).

Can a Tenant Break a Lease Due to Job Relocation in Montana?

A tenant cannot break a lease early due to a job relocation in Montana. No laws exist in Montana to allow a tenant to automatically break a lease for a new job.

However, some leases contain a “transfer clause” which may allow a tenant to end a lease early if they are relocating for a new job.

Can a Tenant Break a Lease Due to Backing Out of a Lease After Signing?

In Montana, a tenant cannot break a lease early after signing the lease but before moving in. However, a tenant may terminate the lease under an early termination clause, if the lease contains one.

Can a Tenant Break a Lease Due to Buying a House in Montana?

In Montana, a tenant cannot break a lease early due to buying a house unless the lease contains a clause allowing the tenant to terminate the lease early because of a new home purchase.

What Happens if a Tenant Cannot Break a Lease Early?

If there is no legal justification for breaking a lease early, then the tenant will be responsible for the remaining rent due for the lease.

Montana does not have a law limiting the amount a tenant owes a landlord when breaking a lease early. A tenant could be liable for paying the remaining rent through the life of a lease. However, a landlord must mitigate damages and seek to replace the tenant.

Landlord’s Duty to Mitigate Damages in Montana

When a tenant breaks a lease early in Montana, rather than charging the tenant for the total remaining rent due under the lease, a landlord must make reasonable efforts to find another tenant so as to mitigate damages . If the landlord finds a new tenant, the original tenant will only be responsible for the amount of time the unit was vacant.

Tenant’s Right to Sublet in Montana

Montana state law does not grant tenants, by default, the right to sublease. Instead, they must have explicit, written consent from the landlord to do so. If a tenant is able to sublet the premises, they will not be liable for the total remaining rent due under the lease.

Consequences for Moving Out in Montana

In Montana, tenants will be held liable for all remaining rent and property damage unless the landlord found a new tenant.

If not, potential consequences include:

  • The landlord keeping the security deposit
  • The landlord suing the tenant for damages
  • A lower credit score
  • A potential bad reference

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