The terms outlined in commercial leases are integral to the security of many businesses, and, as such, these leases are a frequent source of legal disputes. Ideally, both parties worked with attorneys to draft a lease with firm foundations and unambiguous terms, but this isn’t always the case. If the landlord and tenant cannot come to an agreement through negotiation or mediation, they may need to take their dispute to court.
When facing a commercial lease dispute, a skilled attorney can help you attain fair compensation, avoid unwarranted eviction, and hold your landlord or tenant accountable. Our San Diego commercial lease dispute attorneys at Purdy & Bailey, LLP will strategically negotiate or aggressively litigate your dispute because we understand your livelihood likely depends on your success.
Common Commercial Lease Disputes in California
When a business enters into a commercial lease agreement with a landlord, both parties hold each other to a set of obligations—these obligations typically go beyond rent calculations and lease terms. Landlords may want to limit how your rented space will be used, even what type of business you will conduct on the property. Lease terms must include additional provisions outlining what the property may be used for.
Commercial lease disputes often involve disagreements concerning:
- The lease term—how long the lease binds the landlord and tenant
- Permissive use clause—explicitly listing the only commercial activities allowed on the property. This implies that other actives not on the list are "out of bounds". If you want to do something later that is not on the list, it may be cause for dispute.
- Restrictive use clause—explicitly listing the commercial activities not allowed on the property, such as selling food or retail.
- Exclusive use—the tenant’s right to be the only tenant allowed to engage in a specified type of commercial activity in the mall or building
- Security deposits, rent calculations, and payment schedule—what the tenant owes the landlord, when it’s due, and what will be returned (especially problematic when the lease is terminated early)
- Allocation of expenses and liability—who is responsible for property taxes, insurance, repairs, routine maintenance, etc.
- Eviction rights and procedures—removal of tenant because of construction issues, failure to pay rent, or violation of terms
Contact Our Commercial Lease Dispute Attorney Today
Disputes occur especially when lease provisions are ambiguous. A skilled attorney from our firm can assist you in drafting a commercial lease—we will work to give your business clear and indisputable rights, thus mitigating the need for future litigation. If you are currently facing a dispute, we will dedicate our time and resources to helping you achieve a fair resolution.
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