Owner Wins

Tenant's Failure to Pursue Required Zoning Change Justifies Lease Termination

April 21, 2021    

What Happened: One nonpaying tenant that didn’t catch a break from the courts was the one that leased store space for use as a boxing studio. The lease obligated the tenant to “pursue and diligently prosecute a change” in zoning that would allow the property to...

Court: Pandemic Isn't a 'Casualty' Event

April 6, 2021    

What Happened: Another retail tenant has failed in its bid to use COVID-19 as an excuse for not paying rent. The tenant in this case was a New York City outlet of national retail chain The Gap, which claimed, among other things, that the pandemic and its resulting shutdowns...

Pandemic Isn't a 'Casualty' Event

March 23, 2021    

What Happened: Another retail tenant has failed in its bid to use COVID-19 as an excuse for not paying rent. The tenant in this case was a New York City outlet of national retail chain The Gap, which claimed, among other things, that the pandemic and its resulting shutdowns...

Lockout Notice Wasn’t Defamatory Attack on Tenant’s Reputation

March 23, 2021    

What Happened: Upon arriving at his office, a tenant who was behind in his rent discovered that the landlord had changed the locks and left a paper notice taped to the inside glass door facing out. Its basic message: We’ve changed your lock. But we’re not...

Out-of-Possession Landlord Not Liable for Slip-and-Fall Injuries

March 23, 2021    

What Happened: An employee coming to work in the morning suffered serious injuries after slipping on ice in the office parking lot. Whether due to workers’ comp or just professional self-preservation, the employee decided that suing the landlord made a lot more sense than...

Eviction Moratorium Doesn't Get Guarantor Off the Hook

February 22, 2021    

What Happened: Like so many tenants affected by COVID-19, Saks Fifth Avenue stopped paying rent at its flagship New York City store. The landlord sued Saks’ parent company, the lease guarantor, for $2.7 million in unpaid rent. If these were normal times, we’d be...

Eviction Moratorium Doesn't Get Guarantor of Defaulting Tenant Off the Hook

February 18, 2021    

What Happened: Like so many tenants affected by COVID-19, Saks Fifth Avenue stopped paying rent at its flagship New York City store. The landlord sued Saks’ parent company, the lease guarantor, for $2.7 million in unpaid rent. If these were normal times, we’d be...

Tenant Waived Its Right to Arbitrate by Starting Lawsuit Against Landlord

February 18, 2021    

What Happened: If there are any disputes under this lease, we’ll try to resolve them via mediation. If that doesn’t work, we’ll go to binding arbitration. Those were the essential terms of a commercial lease between a landlord and gas station owner. Sure enough...

COVID Shutdown Orders Don't Excuse Tenant's Failure to Pay Rent

January 22, 2021    

What Happened: Stop me if you’ve heard this one before: A gym that had to shut down temporarily under the governor’s COVID-19 emergency orders stopped paying rent in March. The landlord couldn’t evict because of the state-wide moratorium on commercial evictions...

Agreeing on Specs Isn’t Condition Precedent to Tenant’s Duty to Pay Rent

January 22, 2021    

“Within thirty (30) days after the Effective Date of the Lease, the parties shall agree upon a preliminary description of the Tenant's Work, which shall be attached to the Lease as Exhibit D. Within sixty (60) days following the Effective Date of the Lease, the parties shall agree...

Bankruptcy Court Lifts Stay to Let Owner Evict Assignee in Chapter 11

November 18, 2020    

What Happened: An airport tenant assigned its lease to an assignee. In June 2020, the owner and tenant signed an agreement terminating the lease. In August, the assignee filed for Chapter 11 bankruptcy. The owner asked for permission to bring a lawsuit to evict the assignee...

Landlord Can Evict Marijuana Operation Without Giving Opportunity to Cure

October 21, 2020    

What Happened: A county in a state with legalized marijuana adopted an ordinance banning cultivation. A tenant that got its license before the ban was adopted determined that it was exempt and kept on operating. But the tenant had never gotten the required permits and thus wasn...