Taking the time to both read a lease and absorb its contents before signing it may help a tenant (Business or Individual) avoid significant stress down the line. Whether it’s either a commercial lease or a residential lease, a thorough reading of the lease will shed significant light on your rights as a tenant. It may also trigger the need to open dialogue for negotiations with the landlord.
Attorney’s Fees: In New York, a landlord may reserve the right to receive attorney’s fees from the tenant if the landlord were to seek the use of the courts to resolve an issue with that particular tenant. If the tenant were to lose in court, then the landlord may be awarded attorney’s fees. The law in New York, however, attempts to place the landlord and the tenant on equal footing because if the landlord were to lose the case then the tenant is also afforded the opportunity to seek attorney’s fees. Tenants should be aware of an attorney’s fees provision in a lease because it may either limit or maximize the options a tenant may have when faced with a landlord issue.
Proper Use: In addition, because a landlord may limit how a tenant uses his rental property, it is essential that the tenant ensure that the lease actually allows him or her to use the rental property in the manner the tenant requires. Many tenants fall into the trap of signing a lease without actually taking the time to either read it or negotiate it’s terms, only to find out a few months down the line that the manner in which the tenant was using the landlord’s property is in direct violation of the lease. A landlord seeking to terminate a lease will not hesitate to act against the tenant by enforcement of the lease.
Next time you are looking for a place to stay or a location to start/continue a business, contact one of our attorneys and we will be happy to explain your lease’s contents.
Francisco E. Mundaca, Esq. is the managing partner of Mundaca Artese LLP. He specializes in Corporations and Small Businesses, with an emphasis on serving as Corporate Counsel for his clients.
To reach Mr. Mundaca, call 212.203.8148 (ext. 101)