In NSW, laws introduced in 2010 meant that landlords could either include fixed rental fees in the lease, or the lessor could choose to use the old system in which the tenant was asked to pay for losses (the system existing in other states and territories). If continuing the lease would create you in unreasonable financial difficulty, most states and territories have laws that allow you to apply to the court for termination of the lease. However, they may still be required to pay compensation. As a general rule, if the lessor or tenant suffers a loss as a result of the other party`s infringement, they are entitled to compensation. Compensation should be sought by an application to the court. Possible consequences that can threaten a tenant due to the early termination of a fixed-term rental agreement But what if you need a rescue before the lease expires? We outline the laws and the associated costs. A lessor must keep a copy of a written agreement and any amendment thereto in paper or electronic form at least two years after the end of the lease. The tenant must terminate in writing for at least 21 days (244.5 KB PDF) or one month if the rent is paid monthly. The owner can accept less than the necessary notification. This agreement should be in writing. If you will not reach an agreement or if you feel that the compensation claimed by the owner is inappropriate, you do not need to approve it (unless you are in NSW and your agreement sets a fixed crack fee).