Owner Wins, Owner Loses

Tenant's Exclusive Use Provision Applied to Other Buildings

February 1, 2010    

Facts: A fast-food restaurant had an exclusive right to sell “sandwiches and subs” in a shopping center that consisted of three buildings (Building A, Building B, and Building C). The fast-food restaurant tenant was located in Building A.

Tenant Wasn't Ready, Willing, and Able to Buy Building

February 1, 2010    

Facts: A tenant leased space in a commercial building for its manufacturing company. The lease contained an option to buy the property at any time during the tenancy for $350,000. The option also provided that the closing of title was to take place within 90 days of the tenant's...

Township Immune from Municipal Parking Lot Lawsuit

December 28, 2009    

Facts: A woman slipped and fell on a large patch of ice in a municipal parking lot while walking to her car. The ice patch had formed as a result of water running downgrade from melting snow piled near the parked cars, and then freezing.

The woman sued the township for negligence,...

Shopping Center Needing Numerous Repairs Not in “Good Condition”

December 28, 2009    

Facts: Two owners of a shopping center alleged that a tenant defaulted on the lease because she allowed the property to fall into a deteriorated condition. The tenant refused to relinquish the premises after the termination of the lease, and the owners were forced to file an “...

Owner Not Allowed to Profit from Wrongdoing

November 23, 2009    

Facts: An owner of a Miami, Fla., office building that was still under construction signed a 10-year lease with a tenant under which the tenant would move in 90 days after completion of the building. The lease was signed by one of the owner's employees and the tenant's president...

Tenant Was Not Constructively Evicted

November 23, 2009    

Facts: A tenant operated her floral shop out of a shopping center under a three-year lease with the center's owner. After another owner bought the shopping center, the tenant agreed to extend her lease by five years. The lease extension agreement stated that the original lease would...

Owner Entitled to Replace Store with Noncompetitor

October 31, 2009    

Facts: The lease between a family shoe store and a mall owner included a “competing business” provision under which the owner was prohibited from leasing to any other shoe stores substantially similar to and/or competitive with the tenant. This included other “family...

Termination for Eminent Domain Applies to Building, Not Parking Spaces

October 18, 2009    

Facts: Under the right of eminent domain, a city took over a portion of a tenant's leased space. The portion, which the city planned to use in order to complete a road project, amounted to five out of 107 parking spaces that were part of the leased space. The space also included a...

Inventory Location Not Basis for Lease Termination

October 18, 2009    

Facts: After signing a lease and moving into its new space, a tenant was notified via inspection that its sprinkler system violated several fire code provisions and that it was storing merchandise too close to the sprinkler riser. The tenant asked the owner to correct the sprinkler system...

Owner Responsible for Tenant's Water-Damaged Goods

October 18, 2009    

Facts: The owner of a shopping center replaced its roof in February 2006. Soon after, a tenant leased retail space in the center to operate her clothing store, but water began seeping in through leaks in the roof, and by June 2006 the entire store was flooded. As a result, much of the...

Specific Performance Compelled Only for Terms Spelled Out in Lease

October 18, 2009    

Facts: A property owner leased space to a tenant for its hardware store. The lease contained an “option to purchase” clause that provided a payment timeline for the tenant to follow in the event that it wanted to purchase the space in the future.

Owner Didn't Address Dangerous Condition in Common Area

October 18, 2009    

Facts: An office tenant notified her building's manager about a dangerous condition in a common walkway. Although the manager promised to repair the walkway, it was not fixed, nor was any warning sign posted. After injuring her right foot, right arm, and both knees when she tripped on...