Legal Question in Real Estate Law in Georgia

I recently signed a commercial lease to rent a restaurant space. Approximately a week in, I discovered 2 broken pipes. I originally thought that this was a minor problem that would require a simple fix. Turns out that along with the broken pipes, the grease traps in the restaurant had not been cleaned in over 2 years, which caused a backflow problem. I immediately contacted the owner of the building, who made no effort to pay for the problem. After contacting 3 plumbers, I was prepared to pay for the repairs, which were very costly. The owner contacted me and told me that the amount that I had been quoted for the repairs was "too much money" and that she wasn't going to pay that much, but she was going to send her landscaper over to replace the pipes. I had already made a good faith payment to the plumber for the price of the materials that he was going to need. The next day, she contacted me to tell me that he said that he would not be able to do the repairs, and she told me to negotiate the price with the plumber so that [B]I[/B] would not have to pay that much. At this point I was already frustrated because I do not feel that the existing plumbing problems were my responsibility to fix.

A few days later, I met with a county inspector, who informed me that the grease traps and the sinks were not up to code. He told me what needed to be done, and I contacted another plumber. I also contacted the owner and sent her a detailed email that included everything that the inspector told me and everything that needed to be done. She did not respond for 3 days, and when she did, she had her assistant respond and basically inform me that the space was rented to me "as is", and that the company "does not run a restaurant business nor restaurant equipment servicing. It is not our company's duty or responsibility to provide you with the establishment of your business. Our company is just responsible for renting out the space together with its contents. It is up to the tenant to create a functioning business".

A few pertinent details ... the space was rented to me with all of the equipment needed to run the restaurant, with the exception of a stove. The owner represented the space as a fully functional restaurant space, telling me that all I needed to do was get my permits and open my doors. There is verbiage in my lease that states acknowledgement that the premises are "fit for its stated use". It is outlined in my lease that I am responsible for repairs and maintenance due to normal wear and tear and / or negligence on my part or the part of any employees, etc. The space has not been occupied for approximately 2 years. The owner insists that when the previous tenants were there, they were able to pass all necessary inspections with no problem, however, the code that governs the grease traps was changed in 2007, which was 2 years before that tenant vacated the premises. I have not been able to open my doors for business, although I have been in the building for almost 2 months now.

Any help that anyone can give would be greatly appreciated. If any more detail is needed, I will happily provide it. Thank you in advance for your time.


Asked on 3/20/11, 6:51 pm

1 Answer from Attorneys

Glen Ashman Ashman Law Office also dba Glen Ashman Attorney

Since you're a businessman, surely you did the one thing that is essential to the success of a business and that of course was to use your own lawyer to negotiate a lease.

The answers to your questions are in your lease, and the short excerpts you give are not helpful without the significant additional language that your attorney would have insisted you have in your lease.

So call your lawyer and discuss this. Probably an inexpensive letter from him will help.

(If you instead made the mistake of saving a tiny amount and negotiating a lease without legal counsel, it is likely you screwed up badly, and either are stuck fixing things or face costly legal bills to argue them).

The other question that your post raises is that no businessman would ever enter into a commercial lease without employing their own inspector to make sure everything was up to code and suitable. Surely you did that, so you may have a claim against your inspector. (If you also made that mistake, and your lawyer would have told you to use an inspector, you may again have screwed up badly).

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Answered on 3/20/11, 8:32 pm


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