USA - TEXAS Law and Practice Contributed by: Brad Holdbrook, Mary Mendoza, Michael Coleman and James Barnett, Haynes and Boone, LLP
damages. The landlord may also have its own insurance responsibilities specified in the lease. Lease Provisions for Termination Texas lease agreements can include specific provisions outlining how and when a lease may be terminated by either party. This might include conditions for early termination, required notice periods, and potential penalties for early termi - nation. Lockouts Section 93.002 of the Texas Property Code per - mits landlords to change the locks of a premises in the event a tenant is delinquent in paying all or a part of the rent due under the lease. Landlords may prevent a tenant from accessing the prem - ises, resulting in a “lockout” without court action. 6.17 Right to Occupy After Termination or Expiry of a Lease In Texas, a tenant’s right to continue occupy - ing commercial real estate after the expiration or termination of a lease depends on several fac - tors and the specific terms of the lease agree - ment. There is no automatic right for a tenant to remain in the premises without the landlord’s consent after the lease has expired. If the original lease isn’t renewed or a new lease isn’t signed, the tenant may enter into a tenancy at will if the landlord allows them to stay and continue paying rent. Alternatively, without the landlord’s permission, the tenant may find themselves in a tenancy at sufferance, which is less secure and can lead to eviction proceedings. 6.18 Right to Assign a Leasehold Interest In Texas, a tenant’s ability to assign a leasehold interest or sublease the leased premises largely depends on the terms of the original lease agree - ment. Generally, a landlord can prohibit a tenant
from assigning a lease agreement or subleas - ing the leased premises if such a prohibition is expressly included in the lease agreement. However, if the landlord permits assignment or subleasing, the lease agreement must specify the conditions under which the tenant may enter into an assignment or sublease agreement. 6.19 Right to Terminate a Lease In Texas, the rights to terminate a lease by both the landlord and the tenant are primarily gov - erned by the terms of the lease agreement, state laws, and specific conditions under which the lease can be terminated. For general circum - stances, leases can be terminated by mutual agreement or due to lease violations such as fail - ure to pay rent or breach of lease terms. Specific conditions include the following. Termination by Tenant Tenants can terminate residential leases early under certain conditions, such as military ser - vice deployment, major damage to the property making it uninhabitable, and situations involving family violence. For example, residential tenants have the right to vacate and avoid liability fol - lowing family violence under certain conditions outlined in Texas Property Code Section 92.016. This does not affect a residential tenant’s liabil - ity for unpaid rent before the lease termination, unless specified in the lease. Month-to-Month Arrangements After a lease expires, if no new lease is signed, it might automatically renew on a month-to-month basis, depending on the original lease terms or the landlord’s acceptance of rent payments, allowing either party to terminate the lease with proper notice, typically equal to the rent pay - ment period.
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