Initial Lease Term—Not Renewals—Used to Determine Fraud Claim
Facts: The owner of a gas station signed a lease with a tenant. The tenant became a sublandlord when it signed a convenience store sublease for space at the gas station where a subtenant could operate its coffee shop. The sublease with the coffee shop subtenant was for a 10-year “initial term” with two five-year term renewals. The subtenant expressed concern that it would have to leave its space early if the sublandlord didn’t actually have a right to the space for the term of the sublease.