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.
Vermont is not a community property state; it is a common law state. In a common law state like Vermont, liability for debts such as a residential lease typically falls on the spouse whose name appears on the lease agreement. If both spouses are named as tenants on the lease, they are both likely 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. Early termination provisions, if available, may allow one or both spouses to end the lease early, possibly subject to penalties or fees as outlined in the lease. It is important for spouses to understand their individual and joint liabilities and to address the division of such liabilities in their divorce proceedings. An attorney can provide guidance on how to navigate these issues in the context of Vermont law and the specifics of the divorce case.