Tenant Loses

Landlord's Unlawful Detainer Action Didn’t Bar Subsequent Lawsuit

March 29, 2018    

Facts: After a retail tenant stopped paying rent, the owner of the center asked a trial court for an “unlawful detainer” so that it could physically evict the tenant. An unlawful detainer action is a summary proceeding designed to adjudicate the right of immediate...

Lease Prohibited Tenant’s Request for Declaratory Judgment

February 28, 2018    

Facts: A landlord served a notice to cure on its tenant, claiming that the tenant had failed to have the space’s fire sprinklers inspected. A dispute as to responsibility for the sprinklers ensued between the landlord and tenant. The tenant asked a trial court to issue a...

Owner Gave Required Notice to Vacate Under Temporary Lease Agreement

February 28, 2018    

Facts: A tenant that operated two retail kiosks within a mall property thought that the owner of the center wasn’t providing adequate security. It sued the owner for breach of the implied covenant of good faith and fair dealing and constructive eviction after the owner...

Tenant's Breach of Lease Couldn't Be Cured

November 30, 2017    

Facts: A nonprofit art corporation leased space from the owner of a building that was connected with another property. The owner agreed that the tenant could make improvements after getting written consent. After the tenant had altered the structure of the building’s...

Estoppel Certificates Precluded Tenants from Collecting TIA

October 31, 2017    

Facts: Tenants sued both the former and the current owner of the building in which they leased commercial space for failing to reimburse them for improvements they made to the premises, as required under their leases. The current owner challenged the complaint on the grounds...

Tenant's Inconvenience Didn't Override Owner's Decision to Terminate

April 19, 2017    

Facts: A tenant leased space in a shopping center for its restaurant. The tenant had an option to renew its lease, but had to exercise that option a year before the lease term was to expire. The tenant claimed that it sent a letter to the owner of its space, letting it know that...

Competing Restaurant Wasn’t ‘Similar in Concept’

November 30, 2016    

Facts: A restaurant with a 1950s American roadside diner theme leased space at a shopping center. Later, the owner signed a lease with a pancake house restaurant franchisee for space nearby. The tenant asserted that the new lease with the pancake restaurant violated a...

Owner Could Withhold Consent to Reduced Rent Sublease

October 31, 2016    

Facts: Two guarantors promised to carry out the lease obligations of a restaurant tenant in the event that the tenant defaulted. The lease’s assignment and subletting clause required the tenant to get the owner’s consent to an assignment or sublet.

After the...

Guaranty Plainly Stated It Was Unconditional Guarantee of Payment

September 30, 2016    

Facts: An office building tenant was in default of its lease and subsequently filed for bankruptcy. The lease had been guaranteed. The guarantor hadn’t filed for bankruptcy. When the building’s owner informed the guarantor that it would have to cover the back rent...

Assignee Had Duty to Read Lease Documents

June 29, 2016    

 Facts: A tenant assigned its lease for office space. The assignee later claimed that the owner was required to pay a tenant improvement allowance (TIA). The assignee based its argument on lease drafts that had discussed a TIA. But the final version of the...

Lease Signed by Owner's Agent Was Enforceable

June 29, 2016    

Facts: A woman purporting to be the owner of a property signed a lease with a tenant to operate its auto body shop. The lease required the tenant to make necessary repairs and improvements, and it specified that those improvements would be left behind at the end of the lease....

Lease Was Unclear Regarding Initial Buildout Construction

May 31, 2016    

Facts: An owner signed a lease with a tenant for space to operate a convenience store. After the tenant took possession of the space it notified the owner that the owner’s obligation to remove or remediate any asbestos in the building was waived. The tenant began making...

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