Legal Question in Landlord & Tenant Law in California
Commercial Lease late Fees
I have a Commercial tenant who is consistantly late on her Commercial Rental Payment of $2650.00 per month. Late meaning 25 to 30 days the past 5 months. She has a 3 year signed Lease that does mot state a late fee but states ''Each Installment payment shall be due in advance on the first day of each calendar month during the lease term to Landlord at the following addressXXXXXXXX. Default states that in the event of a default made by Tenant in the payment of Rent when due to Landlord, tenant shall have fifteen days after receipt of written notice thereof to cure such default. I have done this many times and she is still 25 to 30 days late. Does this breach the Commercial Lease Agreement we have? And does California have a mandatroy late Fee of 5% that I can enforce in writing or does this need to be in my original lease and if so how many days deems as being late? Thank you.
1 Answer from Attorneys
Re: Commercial Lease late Fees
Yes, it breaches the lease. The pragmatic view is -- do you want to evict the tenant for late payment, or would you rather have a tenant in there who pays, although not on time? Why not talk to the tenant and see what's going on. Maybe you can do a split rent if you're willing -- half at the first of the month, and the remainder in a week or so.