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.

In New Jersey, which is a common law state and not a community property state, the liability for a residential lease in the context of a divorce typically depends on whose name(s) appear on the lease agreement. If both spouses are named as tenants, they are both legally responsible for the lease obligations. During a divorce, the responsibility for the lease and any potential for early termination should be reviewed within the terms of the lease agreement itself. New Jersey law does not automatically hold one spouse liable for debts incurred by the other, including lease obligations, unless they have contractually agreed to such terms by both signing the lease. It is important for spouses to understand their individual and joint liabilities and to negotiate these matters as part of their divorce proceedings. If early termination of the lease is a consideration, they should look for any clauses in the lease that allow for this and under what conditions it can occur. Consulting with an attorney can help clarify individual rights and obligations and assist in negotiating terms that are fair and legally sound during the divorce process.