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NEW In-House Counsel | Insurance | Intellectual Property | Immigration | Natural Resources | Real Estate | Tax

Pay close attention to crafting rent renewal clauses

Thursday, February 23, 2017 @ 7:00 PM | By Jamie Spotswood

Relitigating a rent renewal clause in a long-term commercial lease is often unavoidable. After adjudication of the interpretation of a rent renewal clause, circumstances may change before the next renewal. The parties may then adopt conflicting interpretations, resulting in wildly divergent rent valuations. In these cases, litigation may be the only option when the alternative is a lopsided arrangement that is no longer commercially viable for one of the parties. However, absent a significant or “special” change in circumstances, a party will not be permitted to...