Law Office of Henry B. LaTorraca Civil Trial Attorney

How to create a favorable commercial lease

Commercial lease disputes can be harmful for California business owners. They can also be bad for those who own the land or property that is being rented. Fortunately, there are ways to reduce the chances of such disputes taking place. For example, it is imperative to have all the details of a deal in writing. This is true even if it seems trivial when the deal is first reached.

If there are conditional terms that are placed in a lease, those terms should be as clear and objective as possible. Furthermore, it is a good idea to make sure that there are contingency plans built into the contract. This is because there are some instances in which something can occur that's beyond any party's control. Accounting for such instances ahead of time could make potential issues easier to resolve.

When a commercial lease is signed, a company should keep an eye on any transfer clause that could be included. If a company lacks the ability to transfer a lease, this might delay a merger or acquisition. In some cases, inflexibility in a lease could lead to a transaction not taking place at all. That could prevent a company from growing or a business owner from exiting on his or her own terms.

Avoiding construction litigation could save a company significant time and money. However, if a dispute must be settled in court, an attorney could provide valuable representation. Legal counsel can work toward obtaining a favorable resolution to the case. Favorable outcomes may include being let out of a lease early or otherwise changing the terms.

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