Crook Legal Group Blog

Utah employment law, Utah real estate law, and Utah business law.

Posts in Utah Real Estate Law
What happens when a commercial lease is missing terms? (Video)

Sometimes commercial landlords and tenants are so eager to sign a written lease agreement that they neglect to include all of the essential terms that will govern the relationship. When this happens, it is likely that the parties do not even have an enforceable contract.

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Can I recover attorney's fees if I win? (Video)

If you are involved in a dispute and you think you may need to hire a lawyer, you may want to know if you can make the other side pay for your attorney’s fees. The answer to this depends on the type of case you have. In Utah, the judge will order the other side to reimburse you for the money you paid your attorney only in certain types of cases. I will address five of them here.

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7 Things a Commercial Tenant Should Know Before Signing a Lease

1. Beware the Binding Nature of Your Lease

This should go without saying, and yet, far too many businesses learn this the hard way. Yes, a lease is a binding legal contract. No, a landlord is not likely to let you out of it just because your business is struggling. Let's say you sign a 5-year lease for $3,000 per month. You just signed a $180,000 contract. Every commercial tenant should go into a lease with the mindset that it will be bound to pay all or a substantial portion of the full contract price. (There are some exceptions; e.g., the landlord's duty to mitigate.)

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Resolving Disputes Over Land Use Code Violations

As a general rule, if a person owns land, that person has the right to develop it, adapt it, or otherwise use it for some beneficial purpose. In the commercial context, the beneficial purpose is usually to make money. But, as we know, the ways in which landowners can use their properties are regulated by zoning and land use laws.

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Types of Commercial Real Estate Leases

An owner of commercial real estate is usually concerned with at least five types of expenses:  (1) property taxes; (2) property insurance; (3) CAM expenses (the cost of common area maintenance, e.g. parking lots, sidewalks, and landscaping); (4) utilities; and (5) janitorial services.

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What happens when a commercial lease is missing terms?

Sometimes commercial landlords and tenants are so eager to sign a written lease agreement that they neglect to include all of the essential terms that will govern the relationship. When this happens, it is likely that the parties do not even have an enforceable contract. 

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One Tricky Sentence to Add to a Prohibition of Sublease Provision

Almost all commercial leases have a provision that in some form or another prohibits the tenant from subleasing to a third party without the landlord’s prior written consent. But what would happen if the tenant ignored that provision, subleased the property without the landlord’s knowledge, and made money off of the sublease? Would the landlord be entitled to collect that money from the tenant?

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What is a Commercial Landlord’s Duty to Mitigate?

Fact scenario: A commercial tenant breaches the lease. There are three years left on the term of the lease. The commercial landlord is therefore damaged in the amount of monthly rent for the 36 months left on the lease. But, the landlord may not be able to hold the tenant liable for all 36 months of rent. The landlord must take reasonable steps to find a new tenant and thereby reduce or “mitigate" the damages. 

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Essential Landlord Provisions in a Commercial Lease - Personal Guarantee

John Doe is an aspiring entrepreneur and wants to lease a building for his brilliant restaurant idea. John Doe sets up ABC Restaurant, Inc. ABC Restaurant, Inc. and the landlord enter a five-year lease. The landlord incurs $30,000 in tenant improvement expenses. 



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Can a Landlord Change the Locks Without a Court Order?

No. A landlord cannot lawfully evict a tenant by taking matters into his or her own hands, changing the locks, removing the tenant's property, etc. All evictions must go through the court. Only after a court issues an order allowing the landlord to change locks and remove property can these things be done.

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How To Evict A Residential Tenant In Utah

How does a landlord evict a residential tenant? Here is how the process works in a nutshell. Note that this is for a tenant renting a place to live (residential tenant), not a tenant renting a place to operate a business (commercial tenant). A contested eviction can usually be accomplished in three steps.

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