Online Alerts

The Word that Cost a Landlord a Rent Increase

May 31, 2022    

This. It’s such a simple, little word, one that we all use countless times per day. But used the wrong way in a commercial lease, “this” can bite a landlord in the backside. If you don’t believe it, ask the Arizona landlord that lost a juicy rent increase because...

Letting a Tenant Buy Its Way Out of a Lease

May 2, 2022    

The pandemic has illustrated the need for landlords and tenants to be flexible and work together to find solutions to leases that have become disadvantageous. One approach is to enter into a buy-out agreement allowing the tenant to end the lease early in exchange for an agreed-to sum of money....

Limit Holdover Rent Cuts to Short Holdovers

April 5, 2022    

Getting tenants to leave their space when the lease ends can be a difficult and costly proposition. For one thing, you may have to initiate an eviction suit to get the tenant out. And if you’ve already re-rented the space, holdovers expose you to the risk of being sued by the new tenant...

Follow Special Lease Requirements for Default Notice

February 23, 2022    

Before notifying a tenant that it’s in default, be sure to check the lease to see if it includes any special requirements. If so, follow those requirements to the letter, or you could end up losing your eviction and other remedy rights.

Don't Rely on Tenant's Efforts to Re-Rent Vacant Space

January 31, 2022    

Don’t ease up on your efforts to re-rent space that a tenant has vacated early—even if the tenant is doing its own search for somebody to take over its rent obligations. While spending your own time and money might seem like a needless reduplication of effort, sitting back and...

Call All Tenant Payments 'Rent' or 'Additional Rent'

December 1, 2021    

Commercial property owners should ensure that their leases describe all tenant payments and charges as either “rent” or “additional rent.” While it might seem like a legal technicality, using these terms ensures you access to fast-track eviction if the tenant later...

Pop Quiz: Why Was This Relocation Clause Unenforceable?

November 3, 2021    

SITUATION: With long-term plans to redevelop its mall, a Connecticut owner made it a point to include relocation clauses in leases with a restaurant tenant in an area slated for new construction. The clause also gave the owner the right to terminate the tenant for refusing...

Don't Inadvertently Give Defaulting Tenant an Option to Buy

October 5, 2021    

The last thing any landlord wants is to allow a tenant to purchase the property while it’s in default. Unfortunately, that’s exactly what you might have to do if the purchase option clause in your lease contains a common loophole.  

Keep Guarantors on the Hook for Attorney’s Fees

September 8, 2021    

Guaranty agreements may cap how much the guarantor has to pay if the tenant defaults. For example, the agreement may say that $100,000 is the most the landlord can collect from the guarantor. If you include dollar caps in your own lease guaranties, just be sure that they exclude attorney’s...

Specify in Lease that 'Attorney' Can Send Notices

August 3, 2021    

It's important to make your notice to a tenant valid if your attorney sends it. If a tenant violates your lease, you're probably required to notify the tenant in writing that if it doesn't cure—that is, correct—the violation by a set deadline, you can take action against...

Don't Let Today's Rent Breaks Limit Tomorrow's Rent Increases

July 13, 2021    

Granting rent concessions and abatements (which we’ll refer to collectively as “abatements”) has become standard operating procedure in these troubled times. But before you engage in the practice, check your lease for a loophole that can limit how much of a rent increase you...

Can Tenant Waive Landlord’s Duty to Mitigate Damages?

May 28, 2021    

A restaurant tenant isn’t happy about what it deems to be the landlord’s inadequate efforts to market the mall and abandons the property. Instead of immediately seeking a replacement, the landlord lets the space remain vacant and sues the tenant for rent.

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