Can You Terminate a Commercial Lease in Maryland?

Can You Terminate a Commercial Lease in Maryland?

  • May 24, 2023
  • William Heyman
  • Comments Off on Can You Terminate a Commercial Lease in Maryland?

There are many reasons that people may wish to break their commercial leases before scheduled termination dates. For example, a tenant may wish to cancel a lease because their landlord failed to make certain disclosures regarding their premises. Further, a landlord may wish to break a lease because of a dispute regarding the use of their property.

A commercial lease in Maryland may include a specific clause that provides parties with potential options for termination. However, if no such clause exists, then the process for cancellation can become more complex. When seeking to cancel a commercial lease, you must thoroughly analyze your lease agreement and any applicable state regulations to determine the proper course of action.

Get help from our experienced Maryland commercial lease dispute lawyers by calling the Heyman Law Firm today at (410) 305-9287.

Terminating a Commercial Lease in Maryland

There are multiple ways you may be able to cancel your commercial lease in Maryland. Guidance from our Maryland commercial lease dispute attorneys can be very helpful when reviewing your case and analyzing the legal options available to you.

First, your commercial lease may contain a clause that provides you with ways to cancel your agreement. For example, your lease may establish that it can be terminated if you pay a certain amount of rent in advance and provide early notice to your landlord of your intent to leave.

If your lease does not contain a section on cancellation, then it may be more difficult to terminate. In this case, you will only be able to cancel your lease under special circumstances. These circumstances generally include situations where continuation of your tenancy becomes a significant hardship. For instance, under Md. Code, Real Property Art., § 8-212.2, you may be able to terminate your lease under certain medical circumstances if your injury or illness is documented by your physician. As another example, you may be able to cancel your lease if you have been called to military duty according to Md. Code, Real Property Art., § 8-212.1.

Assessing your case can be complicated on your own. Support from our legal team can be highly valuable when determining if you have grounds to cancel your commercial lease in Maryland.

What is a Termination Clause in a Commercial Lease in Maryland?

Commercial leases usually include certain provisions that pertain to termination, most often referred to as termination clauses. These clauses describe the conditions under which a party can terminate their lease agreement. If you are seeking to terminate your commercial lease, you should thoroughly review your lease document to analyze any such clauses and review their implications. Your lease may outline various conditions that must be satisfied for termination such as advance notice and termination fees. Furthermore, your termination clause may establish potential consequences for breaching the agreement. By familiarizing yourself with these clauses, you can better navigate the termination process while avoiding legal complications.

Do You Need to Provide Notice of Your Intent to Terminate a Commercial Lease in Maryland?

In order to terminate your commercial lease in Maryland, you will most likely have to provide the other party to your lease with written notice. Your lease agreement should outline any specific requirements for notice. As an example, a notice period of 30 to 90 days is common for commercial leases.

When providing notice of your intent to terminate, you must ensure that it is delivered in an acceptable manner, such as certified mail or hand delivery. Otherwise, your attempt to provide notice may be deemed invalid. You should keep copies of all correspondence and delivery receipts for future reference and documentation.

Should You Speak with Your Landlord Before Terminating a Commercial Lease in Maryland?

It may be highly beneficial to discuss your specific situation with your landlord before attempting to terminate your commercial lease. In many cases, negotiation can lead to a mutually beneficial solution.

When speaking with your landlord, you should outline your reasons for terminating the lease and explore potential alternatives, such as finding a replacement tenant or subleasing your space. By establishing open lines of communication, you may facilitate a smoother termination process and preserve your relationship with your landlord.

What is an Early Termination Agreement in a Commercial Lease in Maryland?

When both parties to a lease agree to terminate the contact before its designated end date, the agreement should be documented in writing. This type of written agreement is referred to as an early termination agreement.

Your early termination agreement should outline the terms and conditions under which your lease will be voided, including any financial obligations, security deposit handling, and additional agreements between you and your landlord. It is crucial to ensure that your agreement covers all necessary aspects of your termination so that your interests are protected.

Are There Legal Consequences for Improperly Breaching a Commercial Lease in Maryland?

If you do not follow appropriate procedures when terminating your commercial lease in Maryland, you can face legal consequences. For instance, when a tenant cancels their lease without providing valid justification or proper notice, then their landlord can pursue legal action against them, potentially seeking unpaid rent, damages, or other remedies.

On the other hand, if a landlord terminates a lease agreement without proper cause or without adhering to their contractual obligations, then the tenant may have legal recourse. Our team can help you understand the potential implications of terminating your commercial lease and avoid the risk of facing legal action.

Can a Tenant Break a Commercial Lease in Maryland if Their Landlord Does Not Maintain Their Property?

As a tenant, you may be able to break your commercial lease in Maryland if your landlord did not properly take care of their property. However, your ability to terminate the agreement will depend on the specific circumstances of your case. If the space you are occupying has been so poorly cared for that your tenancy becomes a hardship, then lease cancellation may be an option for you.

If You Need Help Terminating Your Commercial Lease in Maryland, Call Our Law Firm Today

Seek guidance and support from our experienced Maryland commercial lease dispute attorneys at the Heyman Law Firm by dialing (410) 305-9287.