Breach of Commercial Lease Agreement
Our aggressive attorneys are experienced in handling all aspects of breach of contract claims involving commercial leases including: negotiating and drafting leases, auditing commercial leases, and prosecuting and defending breach of commercial lease agreements.
Handling Breach of Commercial Lease Disputes
Whether you are drafting a commercial lease agreement or litigating disputes involving a commercial lease, it is important to carefully consider the following terms:
- Type of Lease
- Is the commercial lease a “net lease,” “gross lease” or a hybrid of the two? A net lease requires the tenant to pay some or all of the expenses associated with the property such as property tax, insurance, utilities, cost of repairs in addition to rent. Whereas, a gross lease requires the landlord pays property taxes, insurance, and cost for all types of improvements from the received rent.
- Length of Tenancy
- Is the lease a Fixed Term Lease? The most common type of commercial lease is known as a fixed term lease. This types of lease identifies a specific time period of occupancy. Pursuant to a fixed term commercial lease agreement, the tenant is obligated to pay the agreed rent for a specific period of time. And, in the event the tenant fails to pay said rent and/or prematurely vacates the property, the landlord can seek damages consisting of lost rental income.
- Does the lease contain a Break Clause? Some leases also contain a break clause that allows the tenant and the landlord an opportunity to terminate the lease during the lease period if the conditions of the break clause have been met.
- Subleases and Assignment
- Does the lease allow the tenant to assign his or her interest in the lease property to a third party during the leased period or sublease the leased property to another tenant?
- Does the lease contain an option to renew the lease period for a specific period of time following the expiration of specific lease period? Does the lease specify the method by which the rent will be calculated if the tenant exercises his or her option to extend the lease?
- Rent Guarantee
- Does the lease require the owner or officer of a corporate tenant to provide a personal guarantee?
- Who is responsible for making improvements to the leased property?
- Fixtures versus Chattels
- How does the lease define equipment or things attached to real property?
- Use Clause
- Does the lease contain a specific use clause to define the specific purpose for which the lease property can be used?
- Compliant with Americans with Disability Act
- Is the property accessible for individuals with disability? If not, is the landlord or the tenant responsible to improve the property so that it complies with the Americans with Disability Act requirements?
Contact Our Los Angeles Breach of Commercial Lease Agreement Attorneys
If you face a dispute involving the breach of a commercial lease, contact our law firm online or call (213) 891-0777 to schedule your initial consultation. We are available to meet with you between 8:30 a.m. and 6:00 p.m. Monday through Friday. Evening and weekend consultations are available by appointment.