My roommate and I are co-signors on a lease of a house. She wants out before the lease expires, leaving me holding the "bag" for rent and utilities. Can she do this?
Your roommate can leave if she wants to, and you will be left "holding the bag," but if she does this, you can take legal action against her. If you sign a lease on a rental property with a co-signer, and that person chooses to move out or otherwise break the contract before the lease is expired, that person can still be held responsible for the rent and bills. A co-signer arrangement typically indicates that each person signing is responsible for an equal part of the cost, but it also indicates that should one of the parties default on the agreement, the other will pick up the slack. In other words, unless there is a clause in the agreement that states otherwise, the landlord or other party can sue you for the total amount even if your roommate chooses not to complete the contract. However, you may be able to take your own legal action against your roommate if this happens.
Your Rights and Obligations as a Lease Co-Signer
Because each party who co-signs (on a lease, credit card or any other financial document) is equally responsible for the obligation, it's important to ensure that any lease or other contract signed with a co-signer is clearly understood by both parties. Be aware that you are going to be responsible if the co-signer isn't, and in the future, only co-sign with someone you trust. At this point, of course, you are already in a bad situation - but you do have options. Should you get stuck with the bill because your roommate moves out, you have the option of suing your co-signer in order to recover the money later. This would not prevent you from having to pay up immediately in order to fulfill the terms of the existing contract with the landlord, and you'd need to be able to prove she breached her contract and that her breach cost you money in order to collect damages.
Getting Help
If you intend to take any sort of legal action against a lease co-signer, your roommate, you will want to have a lawyer on your side.