Subtitle: 
How to get out of a lease

It is a common situation. A small business signs a five-year lease and then wants to get out of the lease early. Maybe the small business is shutting down or relocating or needs more space. Unfortunately, most leases will have no early termination provision. Is the small business responsible for the remaining rent?

Important Tip There are a number of steps that can be taken to reduce a small business' liability in cases like this - consider subleasing the property by the small business and providing good communication and cooperation with the landlord.

Well, maybe according to the lease, but, Colorado courts (and others) have placed a duty on landlords to "mitigate" the responsibility of the small business to pay the remaining rents. In other words landlords must use reasonable efforts to find a new tenant and re-lease the property. The amount of rent they collect, less their costs, will be used to offset the amounts you owe on your lease.

While this is much better than the situation under the lease agreement, small businesses should be mindful of the costs that can be incurred, the possibility of not finding another renter and the chance for new lower rental amounts.

Additional Information
Important Tip: 
There are a number of steps that can be taken to reduce a small business' liability in cases like this - consider subleasing the property by the small business and providing good communication and cooperation with the landlord.
Marketing copy: 
Lease Agreements