Legal Question in Real Estate Law in California
commercial/real estate/lease/tenant/landlord rights
i am a new company, been operational since JUNE 06'. WE HAVE 2 COMPANIES IN THIS COMMERCIAL OFFICE. WE HAVE 2001, SQ. FT. OF OFFICE SPACE, THAT WE HAVE NEVER BEEN LATE WITH THE OUR RENT. WE INFORMED THE OWNER, THAT WE WERE GOING TO BE LATE THIS MONTH, DUE TO A HOLD AT THE BANK ON A LARGE DEPOSIT. NOW, WE ALREADY PAID 4 MONTHS IN ADVANCE, TO EASE THE OWNERS MIND , BECAUSE WE ALL HAD FAIRLY NEW CREDIT. $14,000. WE LOCKED OURSELVES INTO A 3 YR. LEASE. NO PROBLEM,. WE OPERATE A CALL CENTER, AND COMMERCIAl REAL ESTATE COMPANY , IN THIS BUILDING AS WELL.WE'VE HAD A T-1 SERVER INSTALLED IN THE BUILDING AS WELL AS PBX COMPONENT ALSO INSTALLED SO THAT WE CAN HANDLE THE IN/OUT GOING CALLS IN LARGE VOLUMES. ALSO. WE HAVE DOCUMENTED, AND HAVE RECORDED FOOTAGE OF THE CEILING COLLAPSING IN MY PRIVATE OFFICE , IN WHICH WE TRIED FOR OVER 6 MONTHS TO HAVE THE OWNER TAKE CARE OF IT. NOW, THIS COLLAPSE HAS A LARGE AMOUNT OF MOLD/FUNGUS, GROWING OUT OF THIS, AND FROM DAY 1, EXPALINED THAT I AM HIGHLY ALLERGIC TO MOLD. MY QUESTION. HOW CAN THE OWNER ATTEMPT TO EVICT US, FOR THIS 1 LATE PAYMENT?
4 Answers from Attorneys
Re: commercial/real estate/lease/tenant/landlord rights
If you are late, the landlord must give you a notice to pay or quit. You have the time stated in the notice to pay. If you pay, you cure. If you don't pay, the landlord can evict you.
Have you received this notice?
Re: commercial/real estate/lease/tenant/landlord rights
It must be in the owner's interest to evict you and keep any installed improvements. You need an attorney on this and our CA attorney is very experienced in this type of matter. You can find him at dwnancellc dot com
Re: commercial/real estate/lease/tenant/landlord rights
Generally, you should have a right to cure any breach of your commercial lease in your lease agreement. Do you have a triple net lease?
Re: commercial/real estate/lease/tenant/landlord rights
Mr. Amin is correct. A right to cure a relatively minor breach is common in commercial leases, particularly between sophisticated landlords and tenants. My guess is the landlord is fearful of liability on the mold issue and would like you out of there, and the late rent is his first opportunity to do so.
If you have to move, the T-1 and PBX hardware components can probably be moved with you, since they probably are trade fixtures rather than leasehold improvements that would inure to the landlord.
You should obtain and read Health and Safety Code sections 26140 to 26145 relating to the duties of sellers, landlords, tenants and others with respect to mold. If you are not familiar with these sections, reading them will give you new ammunition.
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