Legal Question in Landlord & Tenant Law in California

I am currently in a lease agreement as an LLC with 18 months left on a 3 year lease. Our business is struggling and we are faced with the possibility of having to close the business. My wife and I personally guaranteed the lease. We also have no real assets and we are underwater on our mortgage. My wife and I also currently hold jobs as teachers.

If we walk away from the lease, is it possible that the landlord could seek legal action and have our wages garnished?


Asked on 1/03/11, 5:40 pm

2 Answers from Attorneys

George Shers Law Offices of Georges H. Shers

Legally the landlord could get a judgment against you and then enforce it by garnishment. Whether he wil do so depends upon various non-legal factors. Does he know both of you have full time employment, how long will it take for him to find a new tenant, do you give him as much notice as possible as to your problems and help him to find a new tenant, how llmuch trouble did you cause before for him. He probably did not require you to personally guarantee the lease if he did not think he might go after you personally.

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Answered on 1/08/11, 7:51 pm
Ashley C L Brown Law Offices of Ashley C. L. Brown

You need to review the lease and the guaranty to see what they say, but the landlord probably can go after you personally based on the guaranty. Whether he will do so depends on a number of factors. Most landlords want their spaces to be occupied and will work with tenants that are in a difficult financial situation. So, you may be able to work some kind of permanent or temporary arrangement that will work for everybody.

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Answered on 1/10/11, 8:36 am


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