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9/14/2010 11:37:04 AM
If you have a written lease agreement, you are obligated to performed under the terms of that agreement. If you terminate earlier, then you may be held responsible for the balance of the rent even though you are out of the premises. However, the landlord also has a legal duty to mitigate his damages. That means, he must try to reduce his damages by attempting in good faith to rent the premise out of other parties. Of course, you can always initiate move out negotiation with the landlord. If you continue to not pay the rent or make late payments, the landlord will probably give you a three day notice to pay or quit, then file a eviction action (unlawful detainer) to take possession of the premises legally. If you decide to file for bankruptcy, it will allow you to operate your business a bit longer without paying the rent.
