Commercial Tenancy Lawyer in Orange County
Commercial Tenancy Matter – If you require legal assistance with a commercial tenancy matter as an owner, lessor, property manager, or commercial tenant call Orange County commercial tenancy attorney Edwin Fahlen. Many people are stunned to learn just how different commercial landlord-tenant Law is from its residential landlord-tenant law. Many rights taken for granted by a residential tenant simple do not exist for a commercial tenant.
Differences Between Commercial and Residential Leases:
- Contrary to general assumption, there is no single “standard” commercial lease.
- Some commercial leases stipulate that you will lose your lease if you sublease to anyone.
- In a commercial lease, there is no implied right of habitability.
- In a commercial lease, there is no statutory right to “repair and deduct” for property defects.
- In a commercial lease, there are no foreclosure protections (e.g. “grace period” to vacate).
- In a commercial lease, the 60-day notice to quit rule after 1-year in a month-to-month tenancy does not apply.
- In a commercial lease, there is no limit to the amount of security deposit charged.
- In a commercial lease, there are mo privacy protections on the landlord “not to enter the leased space.”
- In a commercial lease, there are no penalties for turning off utilities or changing locks as in residential.
- In a commercial lease, many common maintenance responsibilities are the Tenant’s responsibility.
Shocked? – There are dozens more differences in commercial tenancy matters! Many differences exist between these two types of leases which commercial tenants and landlords should fully understand. A typical commercial lease is 5+ years. Do you really want the next 5-years of your life and finances at risk over some printed forms or lease agreement that was drafted with ‘just’ the landlord in mind?
It is critically important – to have a commercial tenancy lawyer review commercial lease documents — especially if you are the tenant. If you are a landlord, using a standard lease form from Staples or Office Depot is, frankly, stupid. There are so many overlooked pitfalls that we’ve seen over 30+ years of real estate law experience, that a lease review for your standard lease should be a top priority. Edwin Fahlen, founder of the Law Offices of Edwin Fahlen, provides competent and experienced legal advice and representation in any matter involving commercial tenancy law.
In Commercial Tenancy Matters – Legal Oversight Matters!
In most commercial tenancy matters the courts will uphold the terms of a commercial lease. Unlike, residential leases where there are many state statutes and consumer protection laws to protect people, in commercial tenancy matters and commercial leasing everything is controlled by the lease agreement. This is true even in cases where it may appear to be unfair to the tenant. The implied and real consumer protections afforded tenants in residential leases are not available to commercial tenants.
Commercial tenants are viewed as “informed” business professionals. The Courts assume that a business person entering into a commercial lease agreement should have the experience to read and understand contracts, —or— the business sense to consult a legal professional who does. That is why there are not significant statutory laws regarding commercial leases as compared to residential leases.
Tenants – When your business is going to be legally and contractually bound by a commercial lease, it is critical that you thoroughly understand your rights and obligations before signing and agreeing to that commercial lease. Most landlords will insist that newer businesses, even if incorporated, will sign the lease with a “personal guarantee” from the business owner. That means that you can be personally liable for 1, 5 or 10 years’ of rent. When you do the math, the numbers add up to a significant sized money contract. You should absolutely have your commercial lease reviewed by an experienced commercial lease attorney. There are many savvy and clever lease clause provisions that Mr. Fahlen can suggest you include or reword as you negotiate your lease page by page with your landlord.
Upshot? If you are a commercial property owner or tenant and you have a question or concern about a commercial tenancy issue, call or request an appointment to sit-down with commercial tenancy lawyer, Edwin Fahlen, to review your lease documents. Edwin can help you determine how your lease will or will not fit with your goals. Likewise, should you find yourself in a dispute over a commercial lease, you should also make an appointment to get your questions, concerns and legal options fully explored and explained to you. Call Ed Fahlen at (714) 395-5605.
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I encourage you call be for a free phone consultation by calling (714) 395-5605. If you are unable to call me, contact me with my Schedule a FREE Consultation form below. Besides being a real estate attorney, I am also a licensed California Real Estate Broker.
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