Can you get out of a bad commercial lease early?

On Behalf of | Jun 9, 2025 | Real Estate |

Sometimes the space stops working — your landlord keeps ignoring maintenance requests, the rent is no longer sustainable or your business has outgrown the location. And when that happens, one serious question comes into focus: can you leave without triggering a legal mess? 

You signed a commercial lease, but that doesn’t necessarily mean you’re without options. The answer depends on what your lease says, how your landlord has behaved and whether there is a smarter way to exit.

Check your lease for an early termination clause

Some commercial leases in Massachusetts include early termination clauses, often located near renewal or default provisions. 

If your lease includes one, it likely outlines the notice period, financial penalties and required conditions — such as giving the landlord time to find a replacement tenant. This clause, if present, is your most straightforward path out. If it does not exist on your contract, your options may be more limited.

See if the landlord has already breached the agreement

A lease is a binding contract between two parties. If your landlord doesn’t meet their obligations under the agreement, whether it’s failing to maintain the property, not addressing safety concerns or violating any promises made in the lease, you may have legal grounds for termination. 

However, this is not a simple workaround; the breach needs to be serious, well-documented and clearly tied to your ability to operate. If you’ve been keeping records, emails or notices, now’s the time to gather them and have someone review the pattern.

Explore assignment, subleasing or renegotiation

Even if you can’t terminate the lease outright, you might be able to shift the burden. Some leases allow for subleasing or assigning the space to another tenant, with or without the landlord’s consent, depending on the contract. In many cases, landlords prefer a calm, planned transition over a messy default or months of unpaid rent. 

If you’re upfront and bring a clear, reasonable proposal to the table, they may be willing to renegotiate the terms, especially if it avoids litigation or long vacancies.

When the lease no longer supports your business goals

If staying in the space continues to drain your revenue, impact your operations or limit your growth, it may be time to cut your losses. Getting legal input early gives you more leverage and helps you make informed decisions before the situation becomes unmanageable. Waiting only makes it harder to leave on your terms.