Breaking a lease in North Carolina

North Carolina lets certain tenants end a lease early by written notice: victims of domestic violence, sexual assault or stalking, servicemembers protected by federal law (extended by state law to some National Guard duty), dual-status military technicians, and tenants in some foreclosed properties (N.C. Gen. Stat. § 42-45.1; 50 U.S.C. § 3955; N.C. Gen. Stat. § 127B-28; N.C. Gen. Stat. § 42-45; N.C. Gen. Stat. § 42-45.2).

• A protected tenant may end the lease by written notice effective at least 30 days after you receive it, with a non-ex-parte protective order, a criminal no-contact order or an Address Confidentiality Program card. A victim of domestic violence or sexual assault must also give a safety plan from a qualifying program, dated during the tenancy, that recommends relocation. The tenant owes prorated rent only, other tenants' tenancy continues, and these rights cannot be waived (N.C. Gen. Stat. § 42-45.1).
• Under federal law a servicemember may end a lease after entering military service or on orders for a permanent change of station or a deployment of 90 days or more; with monthly rent, termination takes effect 30 days after the next rent due date following delivery of the notice (50 U.S.C. § 3955).
• North Carolina applies the federal protections to National Guard members on State active duty for more than 30 consecutive days, and lets a Guard member whose lease expires during State active duty extend it to 10 days after that duty ends if current on rent (N.C. Gen. Stat. § 127B-27; N.C. Gen. Stat. § 127B-28; N.C. Gen. Stat. § 127B-32).
• A dual-status military technician may end the lease by written notice with the orders after permanent change of station orders (50 miles or more), an early discharge, or a deployment of 90 days or more; if you suffered actual damages, you may claim liquidated damages of up to one month's rent if less than six months were completed, or half a month's rent if six to nine months were completed. These rights cannot be waived (N.C. Gen. Stat. § 42-45).
• A tenant in a building with fewer than 15 rental units being sold in foreclosure may end the lease with notice effective 10 to 90 days after the sale date in the notice of sale (N.C. Gen. Stat. § 42-45.2).
• If the building is destroyed or damaged beyond repair costing more than a year's rent without the tenant's fault, and the lease says nothing about it, the tenant may surrender in writing within 10 days (N.C. Gen. Stat. § 42-12).
• If you negotiate an early release, put the agreed move-out date, key return, rent or other amounts remaining, deposit accounting and the names of the tenants released in a signed document. Distinguish permission to sublet or introduce a replacement from an express release of the original tenant. Keep the lease, notice, agreement, payment record and final account together. Review any statutory protection first, and do not assume a proposed fee, a conversation about moving or the handover of keys settles every remaining obligation (North Carolina Judicial Branch: landlord-tenant issues).

A tenant may enforce your repair duties by a civil action, but may not withhold rent on their own before a court decides they have the right to. North Carolina's landlord and tenant chapter contains no repair-and-deduct remedy (N.C. Gen. Stat. § 42-44(a), (c)).

• A violation of the residential rental agreements law is not negligence per se (N.C. Gen. Stat. § 42-44(d)).
• If a tenant is constructively evicted because you failed to provide fit premises, you may not keep the deposit as damages for the unfinished term (N.C. Gen. Stat. § 42-51(a)(3)).See Security deposit limit on the North Carolina page

North Carolina has no statute that sets a general rule on subletting a home. The lease controls, so state in it whether the tenant needs your written consent (N.C. Gen. Stat. ch. 42 (Landlord and Tenant)).

A month-to-month tenancy may be ended by a notice to quit given at least seven days before the end of the current monthly period (N.C. Gen. Stat. § 42-14).

• A week-to-week tenancy takes two days' notice, and a year-to-year tenancy takes one month's notice before the end of the current year (N.C. Gen. Stat. § 42-14).
• A tenancy for only a manufactured home space takes at least 60 days' notice before the end of the current rental period (N.C. Gen. Stat. § 42-14).
• A good faith notice to quit given before a tenant's protected activity remains a defense to a retaliation claim (N.C. Gen. Stat. § 42-37.1(c)(5)).See Retaliation on the North Carolina page

Within 30 days after the tenancy ends and you get possession back, you must mail or deliver the balance of the deposit with a written, itemized list of any damage you deducted (N.C. Gen. Stat. § 42-52).

• If you cannot work out your full claim within 30 days, send an interim accounting within 30 days and a final accounting within 60 days after the tenancy ends and you get possession back (N.C. Gen. Stat. § 42-52).
• If you do not know the tenant's address, you may apply the deposit as the statute allows after 30 days, and you must hold the balance for the tenant to collect for at least six months (N.C. Gen. Stat. § 42-52).
• You may not deduct for normal wear and tear or keep more than your actual damages (N.C. Gen. Stat. § 42-52).
• When your interest in the unit ends (a sale, assignment, death or receivership), within 30 days you must either transfer the remaining deposit to your successor and mail the tenant the successor's name and address, or return it to the tenant (N.C. Gen. Stat. § 42-54).
• A tenant can sue for an accounting and the balance. A willful failure to follow the deposit, bond or notice rules voids your right to keep any part of the deposit, and on a finding of willful noncompliance the court may award attorney's fees (N.C. Gen. Stat. § 42-55).