California Service of Process Rules are Changing - What Litigants, Landlords, and Businesses Should Know About AB 747 Assembly Bill 747 is known as the “SPARE Act.” It makes significant changes to the rules governing service of process in civil litigation. It is intended to improve accuracy and transparency in...
Commercial Landlords Update: Unlawful detainers (“evictions” or UDs”), even for commercial landlords require meticulous adherence to statutes and new regulations. For one landlord in a new case decided January 13th, Baca v. Kuang[1], this was a painful lesson. The landlord served a 30-day notice to terminate a commercial lease and...
LANDLORD NIGHTMARE SOLVED Hoarding. Residential (and even some commercial) landlords have had to deal with it. It is a nightmare for all involved. The tenant accumulates stuff. Despite landlord notices, the tenant does not/cannot clean up the premises. Other tenants, city officials and neighbors have reached their ability to cope...
BANKRUPTCY COURT REQUIRES TENANT TO CURE LEASE AND GIVE ADEQUATE ASSURANCES OF FUTURE PERFORMANCE When a tenant files bankruptcy, the tenant has a short period of time to assume the lease but must cure any defaults in payment and offer to the landlord adequate assurances of future good performance. In...
Landlords and Tenants – Eviction Moratorium Update To The Prior Update California just extended the law until June 30th that protects residential tenants who have a pending application for money to pay back rent that the tenant could not pay because of the COVID-19 pandemic. The law extension will stop...
Landlords, Tenants, Guaranties and Bankruptcy The new case of Lariat Company, Inc. v. Wigley (In re Wigley), 15 F.4th 1208 (8th Cir. 2021) shows exactly what a landlord should do in pursuing a guarantor (and his wife) when the tenant defaults and the guarantor tries shenanigans to try to avoid...
EVICTION AND RENT INCREASE MORATORIUM UPDATE Los Angeles CITY extends Local Emergency to January 8, 2023 Los Angeles City eviction moratorium is extended through January 8, 2023, and then it will be considered for further extension on a month-to-month basis. The Los Angeles Housing Department (“LAHD”) website[1], under the tenant...
COMMERCIAL LANDLORDS COVID-19: Force Majeure Clauses in Contracts – NY Court Decision We previously noted that most commercial leases contain Force Majeure clauses, that is, a provision in the lease that allows the tenant or landlord to be released from performance if there is an act of god or some...
NEW LANDLORD PROTECTIONS - COVID BANKRUPTCY FILINGS BY TENANTS The newly enacted Consolidated Appropriations Act, 2021 (“CAP”) makes several amendments to the Bankruptcy Code based upon the severe financial hardships suffered by both tenant debtors and landlords as a result of the COVID-19 pandemic. The amendments relate to the deferral...
Bankruptcies: Abatement of Rent During the Pandemic 2020 has not been kind to landlords, restaurants, and other segments of the retail industry. Commercial landlords need rents to pay the property taxes, insurance and mortgage, which may be guarantied by the owners of the corporate landlord. Commercial tenants need retail sales...