News & Analysis as of

Commercial Leases Default

Miller & Martin PLLC

5 Provisions to Carefully Negotiate as a Tenant in a Commercial Lease

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Lease agreements define the relationship between landlords and tenants. Whether you are a savvy business owner or a first-time tenant, a thoughtfully negotiated lease agreement is crucial to avoid negative impacts on your...more

Holland & Knight LLP

Tenant Estoppels, Part 2 of 2: Practical Reminders on What Landlords Should Seek

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If the tenant and/or its tenant estoppel is important, consider asking them to alert you immediately if they have concerns about meeting response obligations. Your pending refinance or sale may go smoother if you are in...more

Holland & Knight LLP

Surrender Condition: Your Lease May Lack a Key Automatic Default Provision

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For commercial landlords, ensuring that tenants return the leased premises in the agreed-upon condition is crucial to protecting their property and income. One effective way to enforce this is by making a tenant's failure to...more

Stark & Stark

Big Lots Bankruptcy Update: Pivoting from Reorganization to GOB Liquidation

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On September 9, 2024, Big Lots, Inc. filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court in Delaware. At the time, Big Lots had entered into an asset purchase agreement with an affiliate of...more

Holland & Knight LLP

Litigating Commercial Lease Terminations, Part 1 of 2: Landlord's Perspective

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Commercial leases are a critical source of income and financial stability for property owners, but the current evolving economic environment presents many risks. One of the primary concerns is when a tenant falls behind on...more

Holland & Knight LLP

Litigating Commercial Lease Terminations, Part 2 of 2: Tenant's Perspective

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Falling behind on rent or otherwise defaulting on lease obligations can lead to serious consequences for commercial tenants, including the landlord instituting legal proceedings for eviction and monetary damages. However,...more

Holland & Knight LLP

Retail Reboot: Common Mistakes to Avoid When Evicting Tenants

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When managing commercial real estate, landlords must navigate a complex array of legal, financial and operational challenges to protect their investments and ensure smooth tenant relationships. However, a series of common...more

Rivkin Radler LLP

Landlord Considerations When Navigating Personal Guarantees in Bankruptcy

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When a business leases commercial space, it is common practice for the landlord to request that the company provide a personal guaranty, a protective measure taken to ensure landlords have recourse against a commercial lessee...more

Holland & Knight LLP

What to Consider When Buying Real Estate Promissory Notes

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Recent headlines have revealed distress in the real estate market, which may lead to opportunities for investors willing to take a bit of risk. There are many examples all over the country of groups with debt looking for...more

Goodwin

Commercial Leasing in Massachusetts: SJC Confirms Enforceability of Accelerated Rent as Liquidated Damages

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On September 25, 2023, the Massachusetts Supreme Judicial Court issued an important decision that affects commercial landlords’ ability to accelerate rent as liquidated damages after a Lessee’s default in Cummings Properties,...more

Tarter Krinsky & Drogin LLP

New York City’s “Guaranty Law” is Held to be Unconstitutional and Unenforceable

In a highly-anticipated decision, Judge Ronnie Abrams of the United States District Court for the Southern District of New York ruled on March 31, 2023, in Melendez v. City of New York, that New York City's Guaranty Law is...more

Snell & Wilmer

Best Practices: Commercial Lockouts in Arizona

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If a tenant defaults under a commercial lease, Arizona law permits the landlord to re-take possession of the premises by locking out the defaulting tenant. However, if the landlord’s lockout is wrongful, the landlord may be...more

Harris Beach Murtha PLLC

Appeals Court Decision May Affect Rent Acceleration Clauses in Massachusetts Leases

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In an important recent decision for Massachusetts landlords, the Massachusetts Appeals Court determined that a rent acceleration clause in a commercial lease constituted an unenforceable penalty where it permitted the...more

Goodwin

Commercial Leasing in Massachusetts: Commercial Landlord Cannot Collect Accelerated Rent as Liquidated Damages and Rent From New...

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On December 5, the Massachusetts Appeals Court issued an important decision impacting commercial landlords’ ability to accelerate rent as liquidated damages after a Lessee’s default in Cummings Properties, LLC vs. Darryl C....more

Miller Canfield

Michigan Adopts Its Version of the Uniform Assignment of Rents Act

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In May 2017, we highlighted the Sixth Circuit’s opinion in Town Center Flats. Briefly, Town Center Flats held that ownership of a commercial property’s rents transferred to a lender when (1) a commercial loan is secured by a...more

Tucker Arensberg, P.C.

Pennsylvania Superior Court Holds that Doctrines of Frustration of Purpose and Impracticability/Impossibility of Performance are...

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In the first Pennsylvania appellate case addressing the effects of government-ordered business closures due to the Covid-19 pandemic on a commercial lease default, the Pennsylvania Superior Court has held that the traditional...more

BCLP

Landlord’s duty to mitigate after tenant default

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A recent Hong Kong Court of First Instance judgment, in Foxhill Investments Ltd v Sino Golden International Group Holdings Ltd [2021] HKCFI 3662 (HCA 2938/2018, 15 December 2021), clarifies the scope of the obligation of the...more

Rivkin Radler LLP

New York Insurance Coverage Law Update - December 2021

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New York Court of Appeals Holds That Disgorgement Payment Under SEC Settlement Not Excluded As A Penalty Imposed By Law- The Securities and Exchange Commission (SEC) alleged that Bear Stearns facilitated late trading and...more

Royer Cooper Cohen Braunfeld LLC

Restrictions on Lease Remedies Arising Under Homart

In March, when much of the country was first experiencing the effects of the COVID‐19 pandemic, it was commonly believed that things would return to normal soon. Nearly nine months later, most of us have come to realize that...more

Farrell Fritz, P.C.

First Step in Successfully Fending off a Yellowstone Application: Be Sure To Give Valid Notice of Default

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Several weeks back, we reported on an apparent uptick in commercial lease disputes over the last 18 months in this new COVID era.  It only follows that there would be a corresponding uptick in Yellowstone applications from...more

Tonkon Torp LLP

Rent Assistance Lottery For Oregon Commercial Tenants Opens March 8

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Starting March 8, small business owners in Oregon with 100 or fewer employees and who are behind on their rent can apply for a grant from Business Oregon, the state’s economic development agency. Grants are available for up...more

Tarter Krinsky & Drogin LLP

Federal Court Upholds New York City’s Recently Enacted “Guaranty Law” And Related Legislation Concerning Non-Payment Of Rent...

In a highly anticipated decision, Judge Ronnie Abrams of the United States District Court for the Southern District of New York, in Melendez v. City of New York, dismissed a challenge to the “Guaranty Law” and related...more

Barnea Jaffa Lande & Co.

COVID-19 does not justify breach or deviation of a contract When Its Arrival in Israel Was Foreseeable

An Israeli court recently rendered an interesting ruling on the impact of COVID-19. The case is question involved the lease agreement for the operation of a hotel. The lease agreement, executed in February 2020, provided...more

BCLP

BCLP Retail Insight: The Week that Was Vol. 8

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This week, the BCLP Retail team analyse the recent rent payment figures from the retail sector and discuss possible creative means of fostering resiliency for landlords and operators. We look at the reaction from retailers to...more

BCLP

COVID 19 - UK: Summary of COVID 19 Legislation / Measures impacting landlords' remedies for tenant default

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This note provides a brief summary of the measures (and applicable timescales) that have been implemented during the Covid-19 pandemic, that impact landlords’ remedies for tenant default as at 1 October 2020. ...more

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