Recent Court Rulings

Recent Court Rulings



Landlord's Promise to "Work on" Renewal Wasn’t Fraudulent Inducement

September 28, 2018    

Facts: A tenant rented space to operate its nail salon under a lease that was assigned to it by the original tenant. The lease provided for two additional five-year terms. In order to exercise a renewal option, the tenant had to give written notice 120 days prior to the end of...

Method for Determining Renewal Rent Must Be Sufficiently Definite

August 28, 2018    

Facts: A tenant that operated a market and deli entered into a lease for retail space. The lease was for five years ending in May 2016. The rental rate for the initial term was $5,500 for the first two years, and $6,000 for the remaining three years of the lease. The lease...

Lease Required Tenant to Make Interior Repairs

July 31, 2018    

Facts: A bank leased space for its branch in a retail center. Over the course of several years, the tenant experienced sewer backups and other plumbing problems. It repaired these problems without giving notice to the landlord. After the tenant suspected that water damage had...

Landlord Not Liable for Damage after Month-to-Month Tenancy Terminated

June 28, 2018    

Facts: A medical tenant clinic signed a lease that it renewed for an additional five-year term. During the initial and renewal term, the tenant paid monthly rent on time. After the renewal term was over, the tenant didn’t renew the lease formally; it continued to stay in...

Trial Necessary to Determine Whether Cotenancy Clause Constituted 'Liquidated Damages'

April 25, 2018    

Facts: A clothing retailer tenant signed a lease for space at a shopping center. The lease included cotenancy provisions that required the owner to lease space to three major tenants. If all three tenants were open and operating continuously, the retail tenant paid minimum rent...

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...

Landlord's Board Testimony Regarding Damages Was Improper

March 29, 2018    

Facts: A dry cleaning business subleased space in a shopping center. The business owner was also the guarantor on the sublease. The subtenant prematurely vacated the space. The landlord sued the subtenant. A trial court ruled in favor of the landlord, awarding it $343,000 in...

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...

Trial Required to Determine Whether Owner Took Control of Premises

January 31, 2018    

Facts: An owner and tenant signed a lease for a four-story parking garage with two retail spaces below it. The owner served the tenant with a written notice to cure 21 lease violations primarily related to the physical deterioration of the building caused by the tenant. In...

Owner Is Responsible for Common Area Maintenance

December 22, 2017    

Facts: The owner of a movie theater signed a lease for space at a mall. Over a period of time, maintenance issues, like timely garbage removal, became apparent. The tenant asked the owner to take care of maintenance and upkeep, asserting that the lease and common area...

Trial Needed to Determine Whether Site Plan Change Was Permissible

November 30, 2017    

Facts: The lease between a multiple-phase shopping center owner and national tenant indicated that the tenant would occupy a space in building A of phase one in the not-yet-constructed property. The lease contained certain provisions concerning the construction process and the...