Spouses contemplating or proceeding with a divorce who have a residential lease obligation should read the lease agreement to determine if both spouses are named as tenants, and whether there are early termination provisions that may be available—if the spouses are interested in early termination of the lease.
If the spouses live in a community property state (as opposed to a common law state), both spouses may be liable for the lease payments even if both spouses are not named as tenants in the lease agreement. Community property states generally include Alaska, Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin.
Montana is not a community property state; it is a common law state. In a common law state like Montana, liability for debts such as a residential lease typically falls on the spouse whose name is on the lease agreement. If both spouses are named as tenants on the lease, they are both likely to be responsible for the lease obligations. During a divorce, the responsibility for the lease and any potential for early termination will depend on the terms of the lease agreement itself. It is important for spouses to review their lease to understand their individual and joint obligations. If there are early termination provisions, these should be carefully considered, as they may offer a legal avenue for ending the lease early. However, the specific terms of the lease will govern what options are available. If the divorce proceedings involve discussions about dividing property and debts, the lease obligation may be part of those negotiations. An attorney can provide guidance on how the lease may be handled in the divorce settlement and what steps can be taken to address the lease obligation.